Nov 16 (Reuters) - Chinese dairy company Inner Mongolia Yili Industrial Group Co Ltd has cut its fundraising target by 2 billion yuan ($315 million), the latest firm to reduce plans amid weak markets.

The firm will now aim to raise up to 5 billion yuan via a private share placement, it said in a filing with the stock exchange late on Tuesday, down from 7 billion yuan in its previous plan announced May.

The proceeds will be used to fund projects as well as supplement working capital, it said.

In another evidence that investor demand in the primary market still remains weak, China Shipping Industry Co Ltd said last week it had reduced its fundraising plan by 3.5 billion yuan.

Despite the fragile sentiment, a slew of companies are lining up to launch initial public offerings worth billions of dollars.

China Communications Construction Co Ltd and Shaanxi Coal Industry Co Ltd have already received regulatory approval for their multi-billion dollar listings while the securities watchdog will review a $2.3 billion IPO plan by New China Life Insurance Co later on Wednesday.

Jiangsu Phoenix Media & Publishing Corp Ltd, one of China's biggest publishers, is due to announce a price target for its planned $435 million Shanghai listing, also on Wednesday.