{"id":3030,"date":"2025-09-05T10:04:14","date_gmt":"2025-09-05T10:04:14","guid":{"rendered":"https:\/\/eandelmagazine.com\/eandelmagazine\/?p=3030"},"modified":"2025-09-05T10:04:14","modified_gmt":"2025-09-05T10:04:14","slug":"who-is-huaxin-cement-the-chinese-firm-taking-on-dangote-and-bua","status":"publish","type":"post","link":"https:\/\/eandelmagazine.com\/eandelmagazine\/who-is-huaxin-cement-the-chinese-firm-taking-on-dangote-and-bua\/","title":{"rendered":"Who is Huaxin Cement, the Chinese firm taking on Dangote and BUA?"},"content":{"rendered":"<div class=\"article__header\">\n<div class=\"article-header\">\n<h2 class=\"article-header__excerpt\">The Chinese group\u2019s acquisition of Holcim\u2019s stake marks a significant shift in Africa\u2019s largest cement market.<\/h2>\n<\/div>\n<\/div>\n<div class=\"article__body u-format\">\n<p>Chinese cement manufacturer Huaxin Cement has agreed to acquire Swiss group Holcim\u2019s 83.81% stake in Lafarge Africa for $1bn in a deal that challenges the dominance of Nigerian billionaires\u00a0Aliko Dangote\u00a0and\u00a0Abdul Samad Rabiu\u00a0in the continent\u2019s largest cement market.<\/p>\n<p>The transaction, which includes plans to acquire the remaining Holcim shares by 2026, gives Huaxin control of four Nigerian cement plants \u2013 Sagamu, Ewekoro, Ashaka and Mfamosing \u2013 with a combined annual production capacity of 10m tonnes.<\/p>\n<p>The acquisition marks a significant expansion for the Hubei-based group, founded in 1907, which only entered the African market in 2020.<\/p>\n<h2>Brownfield acquisition in Africa<\/h2>\n<p>Nigeria\u2019s cement demand has grown to approximately 30m tonnes annually, driven by infrastructure development and urbanisation.<\/p>\n<p>Huaxin\u2019s entry positions it as the\u00a0<strong>third-largest player<\/strong>\u00a0behind market leader Dangote Cement, which controls 35m tonnes of capacity in\u00a0Nigeria\u00a0out of 52m tonnes across Africa, and BUA Cement, controlled by\u00a0Abdul Samad Rabiu.<\/p>\n<p>The Chinese group has pursued a brownfield acquisition strategy across Africa, purchasing existing assets rather than building new facilities.<\/p>\n<p>Previous deals include ARM Cement\u2019s Tanzanian operations in 2020, Lafarge\u2019s Zambian and Malawian businesses in 2021 and InterCement\u2019s South African and Mozambican assets for $265m.<\/p>\n<div class=\"widget-signup widget-signup--vertical \">\n<form action=\"https:\/\/www.theafricareport.com\/my-account\/newsletters\/submit\/\" method=\"get\" name=\"newsletters_free\" data-newsletter=\"free-vertical\">\n<div class=\"widget-signup__container\">\n<h2 class=\"widget-signup__title widget-signup__title--\">Africa Insights<\/h2>\n<div class=\"widget-signup__vertical\">\n<p class=\"widget-signup__description\">Wake up to the essential with the Editor&#8217;s picks.<\/p>\n<div class=\"widget-signup__form-inputs\">\n<div class=\"widget-signup__input\">\n<div class=\"input-with-button\">\n<div class=\"input-with-button__inputContainer\"><input id=\"newsletters_free_email_vertical\" class=\"input-with-button__input form-control\" name=\"newsletters_free[email]\" required=\"required\" type=\"email\" value=\"\" placeholder=\"Email address\" \/><button id=\"newsletters_free_save_vertical\" class=\"button button--half-radius half-radius\" name=\"newsletters_free[save]\" type=\"submit\"><span class=\"button__label\">Sign up<\/span><\/button><\/div>\n<\/div>\n<\/div>\n<div id=\"newsletters_free_newsletters\" class=\"widget-signup__checkboxes\">\n<div class=\"checkbox form-check\"><input id=\"newsletters_free_newsletters_1_vertical\" class=\"checkbox__input form-check-input\" name=\"newsletters_free[newsletters][]\" type=\"checkbox\" value=\"68\" \/><label class=\"checkbox__label form-check-label\" for=\"newsletters_free_newsletters_1_vertical\">Also receive offers from The Africa Report<\/label><\/div>\n<div class=\"checkbox form-check\"><input id=\"newsletters_free_newsletters_2_vertical\" class=\"checkbox__input form-check-input\" name=\"newsletters_free[newsletters][]\" type=\"checkbox\" value=\"67\" \/><label class=\"checkbox__label form-check-label\" for=\"newsletters_free_newsletters_2_vertical\">Also receive offers from The Africa Report&#8217;s partners<\/label><\/div>\n<\/div>\n<\/div>\n<div id=\"alert\" class=\"widget-signup__alert\"><\/div>\n<\/div>\n<\/div>\n<\/form>\n<\/div>\n<p>Li Yeqing, Huaxin\u2019s chief executive, has overseen the group\u2019s African expansion, which now totals nearly 30m tonnes of annual capacity across the continent following the Lafarge Africa acquisition.<\/p>\n<h2>Slowing demand in China<\/h2>\n<p>Lafarge Africa generated revenues of $450m last year. The acquisition is expected to significantly boost Huaxin\u2019s international revenues, which totalled RMB34.2bn ($4.8bn) in 2024.<\/p>\n<p>Dangote Cement reported revenues of $2.4bn and net profit of approximately $340m last year, demonstrating comparable profitability despite operating at half the revenue scale of its Chinese competitor.<\/p>\n<p>The deal comes as Chinese cement companies increasingly look abroad for growth opportunities amid overcapacity and slowing demand in their domestic market.<\/p>\n<p>Huaxin\u2019s parent company operates 152m tonnes of annual capacity globally.<\/p>\n<h2>Legal challenge from Nigeria<\/h2>\n<p>The transaction faces a legal challenge from Strategic Consultancy Ltd, a minority shareholder in Lafarge Africa, which has filed proceedings in a Nigerian federal court claiming it was not consulted about the sale.<\/p>\n<p>The shareholder is seeking to annul the transaction, though Holcim confirmed the deal\u2019s completion in late August. Huaxin declined to comment on the ongoing litigation.<\/p>\n<p>Industry analysts suggest the acquisition could intensify competition in Nigeria\u2019s cement sector, potentially benefiting consumers through improved supply and pricing dynamics.<\/p>\n<p>The Chinese group recently invested $30m in its Zambian subsidiary to install a new kiln, signalling its commitment to modernising acquired assets across the continent.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Chinese group\u2019s acquisition of Holcim\u2019s stake marks a significant shift in Africa\u2019s largest cement&#8230;<\/p>\n","protected":false},"author":3,"featured_media":3031,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4,117,171],"tags":[],"class_list":["post-3030","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-africa","category-china","category-dangote"],"featured_image_urls":{"full":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",0,0,false],"thumbnail":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"medium":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"medium_large":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"large":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"1536x1536":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"2048x2048":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"wpucv-grid-three":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"wpucv-grid-two":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"wpucv-grid-one":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"wpucv-classic":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"wpucv-classic-small":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"wpucv-galary":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"covernews-slider-full":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"covernews-slider-center":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"covernews-featured":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"covernews-medium":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false],"covernews-medium-square":["https:\/\/eandelmagazine.com\/eandelmagazine\/wp-content\/uploads\/2025\/09\/holcim.avif",1,1,false]},"author_info":{"info":["Editor Author"]},"category_info":"<a href=\"https:\/\/eandelmagazine.com\/eandelmagazine\/category\/africa\/\" rel=\"category tag\">Africa<\/a> <a href=\"https:\/\/eandelmagazine.com\/eandelmagazine\/category\/china\/\" rel=\"category tag\">China<\/a> <a href=\"https:\/\/eandelmagazine.com\/eandelmagazine\/category\/dangote\/\" rel=\"category 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