China’s development maintains momentum

China’s development maintains momentum
Published: 19 January 2010

Since this year, China’s cement industry has maintained favorable development momentum with stable economic operation in the mass, but the problem of surplus capacity is relatively prominent. Currently, besides maintaining growth momentum, what must be done is to pay more attention to structural adjustment and the transform of development modes, and take such works as restraining surplus cement capacity and repeated construction as the focus of structural adjustment.

Recently, China Cement Association issued a report on the operation of cement industry, which shows that from this January to October, China’s cement industry has maintained favorable development momentum: the accumulative total investment volume increased year on year, the output went on rising, the year-on-year export volume went up greatly, and the price kept stable on the whole.

Benefiting from national macro-economic policies, the cement industry has witnessed remarkable achievements in keeping growth, and the industrial investment has also increased.

From this January to October, China’s aggregated investment amount in cement industry has achieved RMB133.924bn, up 64.02 percent year on year; and the year-on-year growth rate has increased a little compared with that from January to September. The investment amount in the cement industry this October was RMB15.452bn, up 69.07 per cent  YoY; and the YoY growth rate has increased 23 percentage points compared with that of last month, jumping to the second high spot since this year. The investment on cement in southwest and northwest areas still keeps a high-level operation with the year-on-year growth rates of 147.89 per cent and 93.70 per cent respectively. Influenced by the post-disaster reconstruction, the total amount of aggregated investment in southwest area occupies 26.47 percent in the whole country, among which, the cement investment amount in Sichuan region is RMB19.073 bn with the YoY increase of 183.90 per cent.