Chinese Cement Firms Turn To Africa Over Domestic Slump

With real-estate investment in China in freefall, Chinese cement makers are looking elsewhere. And one manufacturer is aggressively expanding its footprint in a market half a world away, capitalising on that continent's growing infrastructure needs. The continent is not America. It is Africa.

Huaxin Cement, one of Chinas largest cement makers, is expanding its African market by investing in Nigeria, Africa's most populous country.

Huaxin is taking advantage of an opportunity created by Swiss cement maker Holcim, which has announced plans to divest its Nigerian operations by selling its nearly 84 stake in Lafarge Africa.

Holcim recently signed an agreement with Huaxin Cement Ltd to sell its 83.81 shareholding in Lafarge Africa PLC at an equity value of US1 billion on a 100 basis. The transaction is expected to close in 2025, subject to regulatory approvals.

Leveraging the knowledge and experience of the management and staff of the company Lafarge Africa, combined with our experience gained from the operation of more than 60 cement plants, and other businesses, in 12 countries - including 7 in Africa - we will devise plans for the further growth of Lafarge Africa, said Huaxin Cement Vice President, Gang Xu.