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Mr. Song Zhiping Had a Talk with Mr. Albert Manifold, CEO of CRH

Source: CNBM

Date: May 15, 2015

On May 14, Mr. Song Zhiping, Chairman of China National Building Materials Group Corporation (CNBM), had a talk with Mr. Albert Manifold, CEO of CRH, in Beijing. They had in-depth communication on the current development trends in the international and domestic cement industries, and discussed solutions to problems currently existing in the cement industry and how to cope with the future development trend.

First of all, Mr. Song Zhiping introduced the development of the Chinese cement industry and CNBM in recent years, and emphasized that the urbanization construction and urban infrastructure construction of China provided cement companies with the rare opportunity period and huge space for development in the future. A company is expected to have a holistic view and deal with current problems with a long-term view and a developing foresight. To solve the problem of excess capacity in the cement industry, we need to consider four aspects, namely eliminating outdated capacity, limiting new capacity, production based on peak load shifting, and industrial self-regulation. In addition, Mr. Song Zhiping communicated with visiting guests on how to deal with the “One Belt and One Road” strategic period of China and issues related to “going global” and expanding overseas markets. He said that CNBM would actively learn experience from Western cement companies competing in the international market, and play a leading role in building an orderly and sound market environment.

Mr. Albert Manifold said that as a leader in the Chinese cement industry, CNBM had been developing rapidly in recent years and formed a unique development mode. With vivid cases in the Western cement market, he expounded the importance of market self-regulation and cooperation between cement companies. He said that from the perspectives of history and development, it was somewhat difficult to solve the problem of excess capacity in the cement industry, but it was still controllable with some efforts, and the result would be very bad if it was not controlled. He advocated that big companies in China should cooperate with each other extensively, communicate with industrial associations actively, play the role of a link connecting the government and companies, and build an orderly market environment.

 

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