Taiheyo Cement building new P15 billion production line in Cebu

MANILA, Philippines — Japanese firm Taiheyo Cement Corp. is building a new P15-billion production line to expand its Cebu plant capacity.

In a statement, the Department of Trade and Industry (DTI) said Taiheyo Cement executives in Japan reported that the expansion plan in Cebu is underway.

The project includes a state-of-the-art facility with novel and advanced technologies from developers in Europe and other leading global technology providers.

With the expansion, Taiheyo Cement’s local subsidiary Taiheyo Cement Philippines Inc.’s cement capacity would increase by 50 percent in the immediate term and by 150 percent in the medium term.

The added capacity is expected to increase the firm’s current market share in the Philippines to 10 percent from seven percent.

The project will adhere to green economy requirements through the introduction of energy-efficient operations and reduce by 10 percent carbon dioxide emissions from energy use in clinker production.

The DTI and Taiheyo signed a letter of intent covering the latter’s plan to increase production capacity during the official working visit of President Duterte to Tokyo in October 2017.

The planned increase in production capacity includes expanding shipping bases out of Cebu to areas such as Luzon, Iloilo and Davao.

In addition, Taiheyo pledged to improve logistics and implement environmental protection programs through the installation of a two-kilometer marine belt conveyor, expansion of the berth and jetty in San Fernando, Cebu, and the adoption of energy-efficient production processes.

Lopez said the firm’s expansion plans would support the DTI’s strategy to jumpstart and reinvigorate the economy by enhancing both production capacity and revitalizing consumption.

“This partnership offers numerous opportunities that will complement economic growth opportunities in the Philippines as we aim to build back better,” he said.

Trade Undersecretary Ceferino Rodolfo said the DTI-Board of Investments (BOI) would review the new technologies of Taiheyo’s project for incentive eligibility.

He added that the BOI is ready to provide investment facilitation services through its cooperation with other government agencies for the issuance of relevant permits and licenses.

Headquartered in Tokyo, the Taiheiyo Cement Group is engaged in various businesses such as cement, mineral resources, construction materials, real estate, engineering, data processing, finance, transportation, warehousing, chemicals and sports.