Cement News tagged under: overcapacity

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Xinjiang cement industry returns to profit

19 October 2017, Published under Cement News

The cement industry in Xinjiang province is faced with higher rates of overcapacity than any other part of China, making losses in three consecutive years. However, sector reform is expected to return the industry to profit, according to a government official. Cement makers in Xinjiang have taken on a staged approach to operation, under which they stop production during the winter heating period and pick back up in the spring, which has played a positive role in reducing overcapacity. ...

PT Indocement

19 October 2016, Published under Cement News

PT Indocement, along with Indonesia’s other cement producers, is waiting on new regulations from the country’s government designed to curb expansion of the cement sector. The number of cement producers in Indonesia has risen from nine in 2012 to 19 this year, causing total annual cement production to jump from 59.3Mt in 2012 to 92.7Mt in 2016, while demand remains around the 65Mt mark. According to Fitch Ratings, capacity utilisation, which was approximately 85 per cent over the last three t...

Morgan Stanley: cement consumption to grow 4% YoY to 2020

25 April 2016, Published under Cement News

New research from Morgan Stanley predicts that worldwide cement demand excluding China has turned a corner and will grow at an annualised rate of four per cent between 2016 and 2020. The investment firm is particularly bullish about India, South Asia and sub-Saharan Africa, all of which it forecasts will see consumption grow by more than five per cent per year over the period (with Indian demand set to expand at 6.7 per cent). However, consumption in China is predicted to fall by 1.2 per ...

PT Indocement

26 January 2016, Published under Cement News

Despite cement sales in Indonesia being forecast to rise by around 10 per cent YoY in 2016, increased competition and rising production capacity will have an adverse effect on cement producers’ profit margins, according to Indonesian securities brokerage firm Ciptadana Securities. At least seven new plants are expected to push the country’s installed production capacity to over 90Mta by the end of this year, compared to 77Mta at the start of 2015. 2015 was a disappointing year for the cou...

Shanshui Cement issues first-half profit warning, China

17 August 2015, Published under Cement News

Shanshui Cement on Friday said it expects to record a loss in net profit for the six months ended 30 June 2015 compared to the net profit of the same corresponding period in 2014, adding that the loss is expected to be "relatively significant." Management attributes the loss to two main factors. Firstly, the group has seen sluggish cement demand in the regions where it operates, particularly in the northeastern and Shanxi regions. Secondly, severe overcapacity led to a "substantial" decr...

Morocco’s market demand falls 5% in August

17 September 2014, Published under Cement News

The Moroccan cement market is not about to recover. The latest figures indicate a third-consecutive year of contraction, according to APC, the Moroccan cement producers' association. The cement market has contracted at the end of August by 4.98 per cent to 9.3Mt, the latest data shows. The fall in sales, which started in 2012, has been due to a low residential housing demand, attributed to rising real estate and building material prices. In the first quarter of 2014, housing starts feel...