Cement News tagged under: oversupply

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Indocement sees 3% rise in profit in 2022

05 April 2023, Published under Cement News

PT Indocement Tunggal Prakarsa Tbk (INTP), part of Heidelberg Materials , reported a profit of IDR1.84trn (US$123.2m), up three per cent YoY, in 2022. Net revenue was up 10.5 per cent to IDR16.32trn when compared with 2021, when net revenue reached IDR14.77trn. INTP’s cement sales to third parties in 2022 saw a 9.9 per cent YoY increase to IDR14.75trn, while ready-mixed concrete sales advanced 20.9 per cent YoY to IDR1.29trn. However, aggregate sales were down 48 per cent YoY to IDR19.7...

FEI: Egypt faces oversupply

20 September 2018, Published under Cement News

Cement demand declined in 1H18 to 25Mt, compared with 26Mt in 1H17, according to Noha Bakr, the head of the cement committee of the Federation of Egyptian Industries (FEI). In 2017 domestic consumption decreased 4.5 per cent YoY despite ongoing mega projects, Mr Bakr said. He added that the main challenge for the industry remains oversupply as stockpiles rose by 2.3Mt in 1H18 to 7.1Mt.

Ready to rise again?

20 August 2018, Published under Cement News

Following the country’s recent presidential election, the economy of South Africa has returned to positive growth. ICR looks at the impact this has had on its highly-competitive cement industry and how other factors such as overcapacity mean that it remains a challenging environment for producers. Cement consumption in South Africa is set to stabilise following the recent political developments The election of Cyril Ramaphosa as the South African president following the resigna...

Huaxin heads for excellence

05 April 2018, Published under Cement News

With a clinker capacity of 60Mta and a cement capacity of 90Mta, Huaxin Cement is a major player in the global cement industry. ICR spoke with Li Yeqing, CEO of Huaxin Cement, to find out more about the company’s plans going forward. Huaxin Cement’s Yangxin works in Hubei, China, is part of the company’s 59-plant strong domestic network of cement production facilities Huaxin Cement has 146 facilities, including 59 cement plants, in 10 provinces and cities. Its Chinese works ...

JK Cement chairman says consolidation will help correct oversupply issue

16 March 2018, Published under Cement News

Yadupati Singhania, chairman of JK Cement, has stated that consolidation will help correct the supply overhang in the cement industry, according to The Economic Times. "Consolidation in a way is good for the industry as it will take care of the excess supply," he said. "Today, there is at least 25 per cent excess supply as compared to the demand. This overhang is not good and it is the reason why you don't get the right price for your products." New capacity While consolidation may be g...

Najran Cement announces financial impact of line closure

15 February 2018, Published under Cement News

Saudi Arabia’s Najran Cement has halted production at a 6500tpd clinker line and resumed production at its 3000tpd second line. The second line was temporarily shut down to reduce excess capacity within the market.  The company announced that the financial impact of these developments is estimated to reach SAR11.3m (US$3.01m) on FY18.

Vietnam faces an increase in oversupply

19 December 2017, Published under Cement News

Vietnam is expected to increase its supply glut in the run-up to 2020, according to Vietnam Net. By 2020 total domestic cement capacity is expected to reach 120-130Mta while domestic demand is forecast to increase by 5-6Mta to reach 82Mt by 2020. This would result in an oversupply of 36-47Mt. The Vietnamese cement industry has been raising its supply by 6.8Mt last year as Song Lam cement plant's first phase and Long Son cement works came online. In addition, a further five projects are und...

West Africa looks to exports

18 December 2017, Published under Cement News

While lower oil prices, Ebola and civil unrest have impacted west African economies, the region’s cement market has continued to expand with further growth forecast for the next few years. However, as domestic producers have upgraded their capacities and new players have entered the market, overcapacity is creating the need to export surpluses. By Trond Waerp, Africa Consulting Services AS, Norway. HeidelbergCement operates, via its subsidiary Ghacem, the 4.2Mta Tema plant, the lar...

Indonesia: 8% growth predicted for 2017 consumption

24 October 2016, Published under Cement News

According to the Chairman of the Indonesian Cement Association (ASI), Widodo Santoso, national cement consumption is expected to grow by 8.04 per cent in 2017, reaching 68Mt. The growth is expected to come as a result of steady overall growth and higher demand for building materials for public projects. Demand is forecast to reach 62.94Mt, a 4.14 per cent increase YoY in 2016. Mr Santoso commented on the predicted growth, saying, “We expect the government-initiated projects, like the one-...

Vietnam: 2016 sales goal looks unlikely

24 October 2016, Published under Cement News

Concerns have arisen that the Vietnamese cement industry will struggle to meet its sales target of 75-77Mt this year as a result of ‘market difficulties’, as reported by Viet Nam News. The 2016 target is 3.2-6 per cent higher than 2015. To meet this target a minimum of 20Mt will need to be sold in the fourth quarter, amounting to 7Mtpm. Chairman of the Vietnam Cement Association, Nguyen Quang Cung, said meeting the target would be hard, citing the decrease in exports as a key factor. A...