China-based canmaker CPMC Holdings is planning a new beverage can plant with an expected eventual capacity of 1.7 billion cans.

The plans for the site in Shenyang City, the capital of north east Liaoning province are for two D&I production lines built in two phases. Construction of the first phase of the CNY600 million (US$94.3m) plant is due to begin in the first half of this year. 

When completed by mid-2023, it will be CMPC’s first beverage can plant in the region and will have an initial capacity for 1 billion 330ml and 500ml cans a year, the company said. Customers already lined up include Snow Beer and Coca-Cola, it said.

CPMC did not give a date for when it expects phase two of the programme to be finished, but said provisions were being made.

“Given the significant demand in the beer and carbonated beverages industry, the market of two-piece cans has a positive prospect,” the company, one of China’s largest canmakers, said in a statement to the Hong Kong Stock Exchange.

CPMC sells its cans throughout China and Asia with major customers also including brewers Anheuser-Busch InBev and  Tsingtao. The company also built and jointly owns the Benepack beverage can plant in Genk, Belgium, the only Chinese-controlled canmaking facility in Europe. 

Led by executive director Zhang Xin, CPMC said the Shenyang facility would help it better serve beverage makers in the north-east region, as well as in north east Asia and beyond. It said the construction of the plant will be self-funded.

Hangzhou-based CPMC, through its 37 subsidiaries and two mainland joint ventures operates at least 10 beverage can plants as well as three-piece steel canmaking facilities, aerosol lines and plastic packaging plants.

Among them are a number that have sole-supply deals with particular fillers.