Karachi, July 19, 2024 – DG Khan Cement Company Limited, a leading name in Pakistan’s cement industry, has announced plans to establish a subsidiary in the United States. The decision was communicated to the Pakistan Stock Exchange (PSX) on Friday.
The company’s board of directors has approved the establishment of a wholly owned subsidiary in Houston, Texas, under the proposed name ‘DG Cement USA LLC’. This move is contingent upon obtaining all necessary regulatory approvals from both Pakistani and U.S. authorities.
DG Khan Cement, incorporated in 1978 under Pakistan’s repealed Companies Act, 1913 (now Companies Act, 2017), is a major player in the production and sale of clinker, Ordinary Portland Cement, and Sulphate Resistant Cement. The establishment of a subsidiary in the USA marks a significant step in the company’s strategic expansion efforts.
The new subsidiary aims to tap into the U.S. market, which presents substantial growth opportunities for cement and construction materials. By setting up operations in Houston, DG Khan Cement intends to leverage its established expertise and reputation in the global market, enhancing its international presence and diversifying its revenue streams.
“This expansion aligns with our long-term strategy to grow our footprint beyond the borders of Pakistan,” said a company official. “We are excited about the potential that the U.S. market holds and look forward to contributing to the construction and infrastructure sectors there.”
The company’s move into the U.S. market reflects a broader trend of Pakistani firms seeking to establish a presence in international markets. DG Khan Cement’s expansion is expected to foster stronger trade relations and contribute to the company’s growth objectives.
The establishment of DG Cement USA LLC will proceed following the necessary regulatory approvals and formalities in both Pakistan and the USA. The company will keep stakeholders informed of further developments as it advances this strategic initiative.