The most typical is the joint reorganization of cement business. After listing, faced with the situation of overcapacity, low concentration, fierce vicious competition and long-term deviation of product prices, China Building Materials formulated the development strategy of "big cement", taking "regionalization" as the strategy, steadily promoted large-scale joint reorganization across regions and ownership, and quickly became a regional leading enterprise. In the past six years, China Building Materials has established Southern Cement, Northern Cement and Southwest Cement through the development of Zhonglian Cement, reorganized about 300 cement enterprises, and built a strategic framework of cement business consisting of Huaihai, Southeast, North and Southwest, with a cement production capacity of 300 million tons, ranking first in the world.
The joint reorganization promoted by China Building Materials provides strong evidence for whether the cement industry can improve its concentration and efficiency through reorganization. 20 1 1 year, the total profit of China cement industry exceeded 1000 billion, reaching the best level in history; With the continuous improvement of concentration, the market share of pre-industry 10 enterprises doubled from 15.3% in 2005 to nearly 30%.