Positive outlook for German cement demand

Cement consumption in Germany rose by approximately 3.2 per cent YoY in 2016 to 27.5Mt, with the positive trend expected to continue this year, according to German Cement Works Association VDZ.

"Housing, traffic infrastructure and non-residential construction – the momentum for the German cement market came from all the relevant sectors of the building industry," is how VDZ President, Christian Knell, sums up the development of cement consumption in 2016. In Germany the construction industry used around 1Mt more cement than in the previous year.  "This growth can be primarily attributed to the high level of building activity. But the good weather conditions of course also had a positive effect on cement consumption," notes Mr Knell.

Trading update
According to the figures available, almost the entire domestic demand for cement was covered by German manufacturers last year. Only 1.3Mt, or around 4.8 per cent, of cement had to be imported in 2016. In comparison to the preceding years this figure has remained largely stable. By contrast, exports of cement and clinker dropped slightly by 1.5 per cent – totalling about 6.5Mt according to the German Federal Statistical Office.

Further potential for growth
The industry views the current year with optimism. "We can see further potential for growth in the areas of both housing and infrastructure projects, and we are expecting the positive development of cement sales in Germany to continue in 2017," adds Mr Knell.