China State Construction Engineering Explained

China State Construction Engineering Corporation
Native Name:	Chinese: 中国建筑集团有限公司
Industry:	Construction
Type:	State-owned enterprise
Location City:	Beijing
Location Country:	China
Key People:	Zhou Naixiang
Area Served:	Worldwide
Parent:	SASAC^[1]
Subsid:	China State Construction Engineering Corporation Limited (56.26%)
Owner:	Central People's Government

Order:	st
S:	中国建筑集团有限公司
T:	中國建築集團有限公司
P:	Zhōngguó jiànzhú jítuán yǒuxiàn gōngsī

The China State Construction Engineering Corporation (CSCEC;) is a Chinese state-owned construction company headquartered in Beijing. It the largest construction company in the world by revenue and the 8th largest general contractor in terms of overseas sales, as of 2020.^[2] In 2023, the company was ranked 66th in the Forbes Global 2000.^[3]

While most of the assets of CSCEC were floated in the stock exchange as China State Construction Engineering Corporation Limited (CSCECL), CSCEC retained some assets such as schools and hospitals, as well as the stake in China Construction International Corporation which was not able to be transferred. Thus, CSCEC granted the listed company supervising rights.^[4]

This construction firm has built several of the world’s tallest buildings and largest construction megaprojects (see Projects list below.)

Corporate structure

The CSCEC has numerous branches or subsidiaries. It is divided into five main divisions and twelve traditional core business areas, including eight Group's engineering offices and four Design Institutes, as well as its own national research laboratory. The main business units of the group are planning and design, project development, equipment leasing, trade, construction and facilities management.

Its subsidiary and listed company, China State Construction Engineering Corporation Limited (CSCECL), was established in 2007. It was listed on the Shanghai Stock Exchange in 2009 with its IPO price at RMB$4.18 per share. The shares closed at RMB$6.53, 56% higher than its IPO price, at the first trading day. It was the world's biggest IPO in 2009, raising the capital of US$7.3 billion.^{[5] [6]}

History

The CSCEC was founded in 1957 as a state company.^{[7] [8]} Early on the country had an international profile building heavy industry and infrastructure in Asia, Africa, and the Middle East.^[9] The predecessor company opened its first overseas office in Kuwait in the late 1970s.^[10] The company broke from its regionally confined work pattern when it entered the U.S. market in 1985, opening an office in Atlanta. The U.S. subsidiary began by building housing developments with joint venture partners before undertaking its first sole development, Lantana Lakes, a 107-acre, $27 million complex of 42 homes, in 1987 in Jacksonville, Florida.

In 2009, the company was blacklisted for six years by the World Bank for collusion in the bidding process for the Philippines National Roads Improvement and Management Project.^[11]

With the encouragement of the Chinese government and financing assistance from the Export-Import Bank of China, CSCEC has taken increasingly bold steps as a builder and investor of overseas projects. In 2011, the going abroad trend hit a new high when Baha Mar Resorts, a $3.4 billion casino and resort built and partially owned by CSCEC, opened after "extremely aggressive" efforts by the company to link with the Bahamas developer that started the project. It was the largest construction project undertaken by a Chinese company outside of China.

The China State Construction Engineering Corporation is also constructing the new Athletics and Football Stadium in Grenada.^[12]

In 2020, after the coronavirus outbreak, CSCEC built two hospitals in Wuhan in the span of 10 to 12 days. The 1,000-bed Huoshenshan hospital was finished on February 3, while the 1,600-bed hospital Leishenshan was finished on February 5.^[13]

On 28 August 2020, the United States Department of Defense released the names of companies with ties to the People's Liberation Army operating directly or indirectly in the United States. China State Construction Group Co., Ltd. was included on the list.^{[14] [15]} In November 2020, Donald Trump issued an executive order prohibiting any American company or individual from owning shares in companies that the United States Department of Defense has listed as having links to the People's Liberation Army, which included China State Construction Group.^{[16] [17]}

Because of the company's continued business with Russia during Russian invasion of Ukraine, China State Construction Engineering is listed among International Sponsors of War by Ukrainian National Agency on Corruption Prevention.^[18]

In December 2023, China State Construction Engineers became a strategic partner with NWTN to develop new energy vehicles and green hydrogen projects. CCSCECL was responsible for managing the complex project construction process from planning and feasibility studies, to general contracting and financing assistance. NWTN will handle the projects investment and operations.^[19]

Projects

• Participated in constructing Daxing International Airport^[20]
• Construction of the Great Mosque of Algiers ($1.5 billion)^[21]
• Realization of the new university town of Constantine ($520 million)^[22]
• New extension of Algiers airport ($550 million) ^[22]
• Construction of the New Administrative Capital of Egypt^{[23] [24] [25]}
• Cairo International Conference Center, Egypt^{[26] [27]}
• AU Conference Center and Office Complex, Ethiopia
• Commercial Bank of Ethiopia Headquarters, Ethiopia
• Addis Ababa National Stadium, Ethiopia
• Renovation of the Alexander Hamilton Bridge, New York City, New York^[28]
• Ventilation shafts for the 7 Subway Extension, New York City, New York
• Sukh Chayn Gardens Housing Estate is a gated community in the suburbs of Lahore, Pakistan.
• Federation Tower, Tower A (Ostturm), Moscow: Europe's highest skyscraper
• Shanghai World Financial Center, Shanghai
• Beijing National Aquatics Centre ("Water Cube", water cube): the new Chinese national Swimmcenter in Beijing (draft planning in community with the Australian company PTW Architects, the office Ove Arup, and China Construction Design International (CCDI)).
• Shun Hing Square, Shenzhen
• Missile test center of the Shenzhou Space Center (one of the three largest Chinese projects of the eighth five-year plan, won the 1st prize for national scientific and technical progress)
• Airport Passenger Terminal Hong Kong Chek Lap Kok
• One Thousand Museum, Miami, United States
• Leeza SOHO, Beijing, China
• Main administration building of the Bank of China, Hong Kong
• Haier companies building (refrigerator manufacturer), South Carolina, United States
• Nanyang Technological University, Singapore
• National Athletics & Football Stadium, Grenada ^[12]
• Enlargement of the Australian Embassy, Beijing
• Embassy of Malaysia, Beijing
• New German Embassy, Beijing
• Sky City, Changsha
• Villa at the Consulate General in China, New York City, United States
• Sheraton Hotel, Pine Club, Algiers, Algeria
• Marriott Hotel, Shanghai
• Kempinski Hotel, Beijing
• Xianyang International Airport, Xi'an
• Baiyun International Airport, Guangzhou
• Taoxian International Airport, Shenyang
• Stadium project Stade des Martyrs, Kinshasa, Zaire
• Cricket Stadium, Barbados
• Kathmandu-Terai expressway Nepal,($1.2 billion)
• Jinnah Stadium, Islamabad, Pakistan
• National Geological Information Center, Botswana
• Underground water reservoir, Mmankgodi (in Gaborone), Botswana
• Gerald Road, Francistown, Botswana
• Binh Thuan Roadway Project SM2/SM3, South Saigon, Vietnam
• Culasi, Antique-Patnaongon Highway, Panay, Philippines
• North irrigation project Jazir, Iraq
• New Hindiya Dam, including railway bridge, the Euphrates, Iraq
• Boukourdane Dam, Algeria
• Mae Kuang Dam, Thailand
• Rama Bridge, Bangkok, Thailand
• 21st Century Tower, Shanghai
• Arfa Karim Technology Park, Lahore, Pakistan
• Lakeville Residences, Malaysia
• Burj Qatar, Qatar
• Hilton Dhaka, Bangladesh
• University hospital of Sfax, Tunisia (since 2016).
• M5 Multan-Sukkar Motorways of Pakistan (CPEC)
• Trump International Golf Club, Dubai^[29]
• Medical project in Cambodia ($73.6 million)^[30]
• Mixed-use real estate development in Australia ($466.8 million)
• A major highway in Argentina ($2.13 billion)
• Tesla Giga Shanghai, Shanghai^[31]
• International Trade Center, Dongguan^{[32] [33]}
• Rail Transit Control and Commercial Complex, Dongguan^{[34] [35]}
• The Exchange 106 tower in Tun Razak Exchange (TRX), Kuala Lumpur^[36]
• Goldin Finance 117, Tianjin (on hold)
• MET 1 Residences @ KL Metropolis, Kuala Lumpur
• Urban Village Phase II Phnom Penh, Cambodia

Subsidiaries

• China Overseas Land and Investment
• China Construction Design International
• China State Construction International Holdings
• China State Construction Engineering Corp. Middle East LLC.
• China State Construction Engineering (M) Sdn. Bhd.|China State Construction Engineering (M) Sdn Bhd
• China Construction First Group Corporation Ltd
• China Construction Second Engineering Bureau Ltd
• China Construction third Engineering Bureau Ltd
• China Construction fourth Engineering Division Corp. Ltd

Notes and References

1. Web site: Central enterprise directory . 2016-10-21 . https://web.archive.org/web/20161024143313/http://www.sasac.gov.cn/n86114/n86137/index.html . 2016-10-24 . dead . zh .
2. News: ENR's 2021 Top 250 International Contractors. Enr.com. en. 2022-06-23. https://web.archive.org/web/20210914093359/https://www.enr.com/toplists/2021-Top-250-International-Contractors-Preview. 2021-09-14. live.
3. Web site: en. The Global 2000 2023. Forbes. 2024-02-07. 2024-01-29. https://web.archive.org/web/20240129031905/https://www.forbes.com/lists/global2000/?sh=4f5ab07e5ac0.
4. Web site: 首次公开发行股票招股说明书. IPO Prospectus. 1-1-43 to 1-1-45. 27 July 2009. 21 October 2016. China State Construction Engineering Corporation Limited. zh. https://web.archive.org/web/20161022023210/http://www.cscec.com/Portals/0/pdf/zgsms.pdf. 22 October 2016. dead.
5. Web site: Giant Chinese IPO soars as trading starts - Taiwan News Online. Etaiwannews.com. 29 July 2009. 4 December 2017. https://web.archive.org/web/20160303173104/http://www.etaiwannews.com/etn/news_content.php?id=1016723&lang=eng_news. 3 March 2016. live.
6. Web site: China State Construction soars on debut. constructionnews.co.uk/. 29 July 2009. 4 December 2017. https://web.archive.org/web/20150923222434/https://www.constructionnews.co.uk/news/financial-news/china-state-construction-soars-on-debut-29-07-2009/. 23 September 2015. live.
7. Web site: CSCEC – China State Construction Engineering Corp. (Middle East) L.L.C. » CSCEC. Chinaconstruction.ae. en. 2017-03-24. https://web.archive.org/web/20170325030139/http://www.chinaconstruction.ae/cscec/. 2017-03-25. dead.
8. Web site: About China State Construction Engineering (CSCEC) - Global Players BriefGlobal Players Brief. stonecreek-partners.com. en-US. 2017-03-24. https://web.archive.org/web/20170325043347/http://stonecreek-partners.com/gpb/china-state-construction-engineering-cscec/. 2017-03-25. live.
9. News: O'Reiley. Tim. Chinese Quietly Entering U.S. Housing Market. New York Times. 1989-07-30.
10. News: Wei. Lingling. Chinese Firms Get Their Days in the Sun. The Wall Street Journal. 2011-02-16. 2017-08-03. https://web.archive.org/web/20171205042045/https://www.wsj.com/articles/SB10001424052748703312904576146520512195278. 2017-12-05. live.
11. News: World Bank bars seven firms including four from China . en . Reuters . live . 2017-12-20 . https://web.archive.org/web/20171222052442/https://www.reuters.com/article/oukwd-uk-worldbank-corruption-idAFTRE50E0GX20090115 . 2017-12-22.
12. Web site: New Grenada Stadium to be handed over in October. GrenadaSports. 29 September 2015. 29 September 2015. https://web.archive.org/web/20150930100337/http://grenadasports.gd/new-grenada-stadium-to-be-handed-over-in-october/. 30 September 2015. live.
13. News: How China Built Two Coronavirus Hospitals in Just over a Week. Wall Street Journal. 6 February 2020. 5 February 2020. 10 February 2020. https://web.archive.org/web/20200210140213/https://www.wsj.com/articles/how-china-can-build-a-coronavirus-hospital-in-10-days-11580397751. live.
14. Web site: U.S. Department of Defense . DOD Releases List of Additional Companies, in Accordance with Section 1237 of FY19 NDAA . https://web.archive.org/web/20200830192407/https://www.defense.gov/Newsroom/Releases/Release/Article/2328894/dod-releases-list-of-additional-companies-in-accordance-with-section-1237-of-fy/ . 30 August 2020 . 30 August 2020 . U.S. Department of Defense.
15. Web site: U.S. Department of Defense . Qualifying Entities Prepared in Response to Section 1237 of the National Defense Authorization Act for Fiscal Year 1999 (PUBLIC LAW 105–261) . https://web.archive.org/web/20200828202056/https://media.defense.gov/2020/Aug/28/2002486689/-1/-1/1/LINK_1_1237_TRANCHE-23_QUALIFYING_ENTITIES.PDF . 28 August 2020 . 30 August 2020 . U.S. Department of Defense.
16. News: Chen . Shawna . November 12, 2020 . Trump bans Americans from investing in 31 companies with links to Chinese military . . November 12, 2020 . October 28, 2021 . https://web.archive.org/web/20211028203620/https://www.axios.com/china-military-trump-investments-ban-a0458e29-2245-4bde-920b-d1c6bc698370.html . live .
17. News: Pamuk . Humeyra . Alper . Alexandra . Ali . Idrees . 2020-11-12 . Trump bans U.S. investments in firms linked to Chinese military . en . . 2020-11-12 . 2021-10-28 . https://web.archive.org/web/20211028175811/https://www.reuters.com/article/us-usa-china-securities-exclusive-idUSKBN27S2X3 . live .
18. Web site: China State Construction Engineering Corporation . 24 August 2023 . NACP . 24 August 2023 . https://web.archive.org/web/20230824225303/https://sanctions.nazk.gov.ua/en/boycott/23/ . live .
19. Web site: en. NWTN Announces Strategic Partnership with China State Construction Engineering Corporation (Middle East). Stock Titan. 2024-02-27. 2024-02-28. https://web.archive.org/web/20240228003953/https://www.stocktitan.net/news/NWTN/nwtn-announces-strategic-partnership-with-china-state-construction-umqt9pl36ial.html.
20. Web site: Chinese Central SOEs Participate in Construction of Beijing Daxing International Airport. en.sasac.gov.cn. 2019-10-04. 2020-01-24. https://web.archive.org/web/20200124074412/http://en.sasac.gov.cn/2019/07/09/c_1854.htm. live.
21. Web site: Building the world's tallest minaret. Aidan. Lewis. 4 December 2017. 4 December 2017. Bbc.com. https://web.archive.org/web/20170924055134/http://www.bbc.com/news/world-africa-30677073. 24 September 2017. live.
22. Web site: Le chinois CSCEC a connu une fulgurante ascension en Algérie sous l'ère Bouteflika - Maghreb Emergent . 2017-04-23 . https://web.archive.org/web/20170425024117/http://www.maghrebemergent.com/actualite/maghrebine/item/38917-le-chinois-cscec-a-connu-une-fulgurante-ascension-en-algerie-sous-l-ere-bouteflika.html . 2017-04-25 . dead .
23. News: China construction to build Egypt's new parliament house. Xinhua News Agency. October 12, 2017. January 14, 2018. https://web.archive.org/web/20180115184625/http://news.xinhuanet.com/english/2016-01/22/c_135036603.htm. January 15, 2018. dead.
24. News: Chinese firm finalizes deal for building huge business district in Egypt's new capital. People's Daily. October 12, 2017. January 14, 2018. https://web.archive.org/web/20180116135903/http://en.people.cn/n3/2017/1012/c90000-9278780.html. January 16, 2018. live.
25. News: Egypt's prime minister breaks ground on new capital's $3 billion business district. Al-Ahram. 19 Mar 2018. 2018-03-19. https://web.archive.org/web/20180319201512/http://english.ahram.org.eg/NewsContent/3/12/293096/Business/Economy/Egypts-prime-minister-breaks-ground-on-new-capital.aspx. 19 March 2018. live.
26. Web site: 中埃成功合作项目--开罗国际会议中心. Ministry of Foreign Affairs of the People's Republic of China. 2004-06-16. 2018-07-29. https://web.archive.org/web/20180729143047/http://www.fmprc.gov.cn/ce/ceegy/chn/zaigx/t138687.htm. 2018-07-29. live.
27. Web site: Projects. China State Construction Engineering Corporation Pakistan. 2004-06-16. 2018-07-29. https://web.archive.org/web/20180729171035/http://www.cscec.com.pk/index.php?page=projects. 2018-07-29. live.
28. News: China Construction Co. Involved in New York's Public Works . . Kirk . Semple . 10 August 2011 . 26 February 2017 . https://web.archive.org/web/20161119054307/http://www.nytimes.com/2011/08/11/nyregion/china-construction-co-involved-in-new-yorks-public-works.html . 19 November 2016 . live .
29. News: Trump's Dubai resort project has hired a Chinese state-owned firm. Wilkie. Christina. 2017-09-11. CNBC. 2017-11-29. https://web.archive.org/web/20171201030937/https://www.cnbc.com/2017/09/11/trumps-dubai-resort-project-has-hired-a-chinese-state-owned-firm.html. 2017-12-01. live.
30. Web site: 'Belt and Road' Drives Into Argentina with $2 Billion Contract - Caixin Global. caixinglobal.com. en. 2018-08-13. https://web.archive.org/web/20180813112104/https://www.caixinglobal.com/2018-08-10/belt-and-road-drives-into-argentina-with-2-billion-contract-101313794.html. 2018-08-13. live.
31. News: Tesla's Gigafactory 3 in China starts preparations with 6-month construction permit. Simon. Alvarez . Teslarati. 3 January 2019. 6 January 2019. https://web.archive.org/web/20190107072211/https://www.teslarati.com/tesla-gigafactory-3-china-ramps-construction-6-month-permit/ . 7 January 2019. live.
32. News: 东莞第一高楼民盈·国贸中心2号楼正式封顶. 20 August 2019. 4 September 2020. Government of the City of Dongguan. 4 September 2020. https://web.archive.org/web/20200904044157/http://www.dg.gov.cn/dongcheng/dcdt/dcyw/content/post_2527105.html. live.
33. News: 东莞国贸中心项目刷新东莞天际线. 14 November 2018. 4 September 2020. China State Construction Engineering Corporation. 11 February 2019. https://web.archive.org/web/20190211194824/http://www.cscec.com/xwzx_new/zqydt_new/201811/2892940.html. live.
34. News: 轨道交通大厦 地面商业 简介. Dongguan Rail Transit Corporation, Limited. 2020-09-04. 2020-09-03. https://web.archive.org/web/20200903182739/http://www.dggdjt.com/node/175.htmx. live.
35. News: 新动态！东莞轨道交通大厦全面启动招商今年8月交付使用. 6 January 2020. 4 September 2020. NetEase News. 27 February 2021. https://web.archive.org/web/20210227210941/https://gd.news.163.com/dongguan/20/0106/17/F27OA4S504179HVA.html. live.
36. Web site: CSCEC Housing Construction. live. 7 October 2021. english.cscec.com. https://web.archive.org/web/20181204084112/http://english.cscec.com:80/Business_en/HousingConstruction/ . 2018-12-04 .