Cement province encourages enterprises to merge and reorganize!

Recently, the General Office of the People's Government of Henan Province issued the Action Plan for Upgrading the Quality of Building Materials Industry in Henan Province, in which the key tasks will promote the optimization and upgrading of the cement industry. Strengthen capacity management and control, strictly prohibit new cement clinker production capacity in key areas, encourage enterprises to merge and reorganize, and enhance industrial concentration .

In addition, Hubei Province recently issued the "Three-year Action Plan for Promoting Green Building Materials Industry (2025-2027)", which also mentioned in the key tasks: to create a new industrial pattern of "leading, echelon follow-up". We will support superior enterprises to merge and integrate excess capacity , promote the agglomeration of production capacity to superior enterprises, and improve industrial concentration.

It is understood that in recent years, many documents have been issued to actively advocate and support the regional cement industry to adopt the strategy of resource integration and merger and reorganization to integrate resources within the industry.

Industry insiders pointed out that merger and reorganization is the only way for the cement industry to transform and upgrade and achieve high-quality development. At present, the problem of overcapacity in China's cement industry is more prominent, which restricts the overall efficiency improvement and sustainable development of the industry to a certain extent.

Through mergers and reorganizations, we can effectively eliminate backward production capacity, optimize industrial layout, improve industry concentration, and release space for the healthy development of the industry. The support policies for the merger and reorganization of cement and other building materials industries issued by various regions not only conform to the trend of industrial upgrading, but also provide a clear direction for the high-quality development of the industry. These measures will promote the gathering of resources to superior enterprises, enhance the overall competitiveness of the industry and the level of green development, and help the building materials industry to a new level in the process of transformation.