Global Cement Newsletter

Issue: GCW759 / 13 May 2026

Headlines


A report emerged this week indicating that imports of cement from China to North Korea have risen markedly in the last few months. We will use this as an opportunity to examine the state of the local cement sector in the so-called ‘Hermit Kingdom.’

Daily NK has reported cement shipments “moving through border crossings along the Yalu River have risen noticeably since early April 2026.” This is the main border crossing between China and North Korea. It includes the Sino - Korean Friendship Bridge, with road and railway lines, which links Dandong with Sinuiju. In 2023 an estimated 98% of official trade imports to North Korea came from China. The increase in imports has been linked to North Korea’s ‘20×10 Regional Development Policy,’ which has proposed building 20 infrastructure and residential projects in 20 counties for 10 years from 2024. It is also proving cheaper to use imports in border regions rather than shipping cement from the country’s own plants. Finally, the source Daily NK used has suggested that local builders prefer using Chinese cement in some cases, despite it being moreexpensive, due to its higher strength and workability.

Some of the news sources that Global Cement uses to cover North Korea are state-owned media such as the state-run Korean Central News Agency. Daily NK by contrast is based in South Korea. The use of state news sources generally means that some of the coverage is overwhelmingly positive. So it was distinctive in March 2026 when state media announced that ‘supreme leader’ Kim Jong-un had called for ‘all-out’ efforts to boost cement production during a visit to the Sangwon cement plant. This implied that the country wasn’t making enough cement! Luckily for the plant workers, Kim was described as having a 'relaxed demeanour and expression' on this tour. Perhaps the cigarette he smoked in the plant’s central control room helped his mood.

Other than this, the general trend in the sector in North Korea since 2021 has been that of capacity enlargement projects at the large Sangwon and Sunchon plants. Daily NK reported in late 2021 that there had been an explosion at the Komusan cement plant that killed two workers. It attributed the incident to the plant being forced to work at maximum output with minimal maintenance. This was allegedly done in order to reach national economic targets in time for former leader Kim Jong Il’s birthday in mid-December. Another explosion was reported at the Mount Purae plant in late 2024. This one was thankfully non-fatal but it was blamed on the factory management pushing output in response to pressure from local government officials.

Graph 1: Cement production in North Korea, 2015 - 2023. Source: Bank of Korea. 

Graph 1: Cement production in North Korea, 2015 - 2023. Source: Bank of Korea.

Bank of Korea estimates on cement production in North Korea placed the level at 6.7Mt in 2023. Output appears to have been rising again since a dip in 2019. The United States Geological Survey (USGS) concluded in 2024 that United Nations sanctions on the country’s fuel imports in 2017 had restricted heavy fuel oil imports and that this had negatively affected the cement industry. The closure of the border in early 2020 further reduced fuel imports.

One of the best pieces of research available in English on the cement sector in North Korea is a report by 38 North in 2021. An abridged version was also published in the July - August 2021 issue of Global Cement Magazine. The magazine from the Stimson Center, a US-based thinktank, used satellite images to check on the state of the industry. It identified 21 cement plants at this time that may have been active. It also assessed whether various upgrade projects had been realised or not. It concluded that it was impossible to tell by imagery whether many of the proposed production upgrade projects had been realised over the preceding decade. Since 2021, as mentioned above, there has been a steady stream of reported production increases at cement plants reported by state media.

In summary, the North Korean government has large infrastructure plans, it has been attempting to increase production at key plants but it appears to be importing cement from China to compensate. The country remains under a complex group of UN economic sanctions. Those on fuel and equipment imports pose particular challenges to the local cement sector. This may be reflected in the reports of explosions at plants in the last few years. Recent economic deals with Russia and the 20×10 plan suggest that there is scope for development of the local cement market, despite the continued hardships the general population reportedly face.


Pakistan: Fauji Cement has appointed Qaiser Mehmood as its Chief Financial Officer. He succeeds Omer Ashraf, who has become the CEO at Attock Cement. Mehmood has worked for Fauji Cement since 2006. He is a Fellow Member of the Institute of Chartered Accountants of Pakistan (FCA).


Finland: Coolbrook has appointed Frank Eulitz as its Chief Technology Officer.

Eulitz holds over 30 years of experience in industrial research and development, turbomachinery and academic research. Most recently, he worked as Professor and Head of the Turbomachinery & Propulsion Department at the von Karman Institute for Fluid Dynamics. Before that, he held management positions at Siemens Energy and MAN Energy Solutions.

Finland-based Coolbrook develops technologies to replace the use of fossil fuels in large processing industries including cement. Over the past 10 years, the company has developed the Roto Dynamic Reactor (RDR) and Roto Dynamic Heater (RDH). Both of these convert electrical power into thermal energy, in the form of high-temperature gas.


Italy: Buzzi’s cement and clinker sales volumes rose by 10% year-on-year to 7Mt in the first quarter of 2026, supported by consolidation of its operations in the UAE in May 2025. Consolidated sales declined by 1% year-on-year to €960m. On a like-for-like basis, it said that deliveries declined slightly due to weak European markets and adverse weather conditions, and ‘structural challenges’ in relevant markets. Volumes in the US increased due to increased demand from data centre and infrastructure projects. Brazil also recorded growth despite heavy rainfall in Minas Gerais. Buzzi said that the global economy recorded moderate growth in a context marked by high geopolitical uncertainty and persistent price volatility.  


Japan: Taiheiyo Cement reported sales of US$5.7bn in the 2026 financial year, ending 31 March 2026. Operating profit fell by 4% year-on-year to US$472m and net profit dropped by 56% to US$161m. The company said that the decline was due to impairment losses at Taiheiyo Cement Philippines. Domestic cement demand in Japan fell by 7% year-on-year to 30.5Mt, and the group’s domestic cement sales volumes declined by 9% to 11.9Mt. Cement exports increased by 10% to 3.32Mt. It said that demand was supported by countermeasure construction for ‘national resilience’, projects related to defence and urban development and construction related to the Linear Chuo Shinkansen. However, demand was impacted by ‘soaring’ construction costs, a decrease of shipments on Saturdays due to the spread of the five-day working week at construction sites, and a ‘chronic’ shortage of workers.

The company said that the Japanese economy, while showing some impact from US trade policies, maintained a gradual recovery trend throughout the year, supported by solid public investment and a rebound in customer spending. However, rising geopolitical risks, such as the escalating situation in the Middle East, created ‘uncertainty’ about the outlook of the economy.


Brazil: CSN reportedly received non-binding offers for its cement division on 7 May 2026, according to Reuters, as part of its plans to reduce debt. The company has appointed Morgan Stanley to advise on the sale process. The business is reportedly valued at more than US$2bn. The identities of the bidders were not disclosed, but companies that have shown interest include Anhui Conch Cement, Huaxin Cement, Sinoma and Votorantim Cimentos. CSN chief financial offer Marco Rabello told Reuters that a binding phase would start shortly after the receipt of non-binding offers and the selection of groups moving to the next phase.


India: IKN has commissioned a 6000t/day clinker cooler at Vicat Group subsidiary Bharathi Cement’s Kadapa plant, replacing an existing walking floor cooler. The company said that commissioning expert Dhuwarakesh Ragavan is assisting with start-up and finetuning. IKN said that the new clinker cooling system will increase operational reliability, cooling efficiency and support sustainable plant performance.


Zimbabwe: Dinson Industrial Group will invest US$15m in a cement grinding plant in Manhize, Midlands province, with a capacity of more than 0.3Mt/yr, according to The Sunday Mail. The company said that production will start by mid-2027 and will create around 150 jobs. The group already operates Dinson Iron and Steel in Manhize, and the move into cement production is reportedly part of the company’s strategy to leverage by-products from its steel operations.

Projects director at Dinson Wilfred Motsi said “We are extending our tentacles into cement production because through the steelworks project, we generate slag as a raw material. The development of the cement plant is therefore a direct response to the government’s call for beneficiation and industrialisation.”

The project will source limestone from areas such as Lalapanzi and Masvingo. Zimbabwe’s cement industry is currently experiencing rising demand, driven by large-scale infrastructure projects, mining expansion and increased private housing construction. However, local production capacity has reportedly struggled to keep pace with demand, so the entry of new players is expected to ease supply constraints and stabilise prices. using slag from its steel operations alongside limestone sourced locally. Zimbabwe currently imports 35,000t-45,000t/month of cement to meet demand of around 1.8Mt/yr.


North Korea/China: North Korea has ‘significantly’ increased imports of Chinese cement since the beginning of May 2026, as regional construction projects increase pressure on domestic supply ‘beyond its limits’, according to independent newspaper Daily NK. A source in Jagang province told the newspaper that cement shipments moving through border crossings along the Yalu River have risen since early April 2026. “There are so many construction projects right now that domestic cement output simply cannot keep up with demand,” the source said.

The crossings reportedly connect Chinese border towns to key entry points in North Korea: The Changdian Hekou crossing links to the area near Supung Dam in Sakju county, North Pyongan province; the Ji’an crossing serves the Manpo and Jasung areas of Jagang province; and the Linjiang crossing connects to the Junggang area, also in Jagang province. Imports of Chinese-made construction materials through all three crossings have risen ‘sharply’ in recent weeks. This increase is reportedly a direct result of Kim Jong Un’s ‘20x10 Regional Development Policy’, which called for the construction of new factories, hospitals and apartment buildings in 20 counties per year for 10 consecutive years. Border crossings in Jagang and North Pyongan provinces have risen due to shortages, transport costs and quality concerns linked to domestic cement production. Transporting cement from the Sunchon Cement Complex in South Pyongan province or the Sangwon Cement Complex in North Hwanghae province also involves ‘substantial’ freight costs that make domestically produced cement difficult to secure due to the mountainous terrain of Jagang province.

With the pressure to meet state-mandated output targets, North Korean cement plants have also reportedly been rushing production in ways that compromise quality, and Chinese cement has earned a reputation on building sites for its ‘superior’ strength and workability. The source said “Domestic cement often lacks strength, and there are significant losses during transport due to packaging and storage problems. Chinese cement costs a little more, but the quality and packaging are far better.”


Poland: Holcim’s Małogoszcz cement plant and Geocycle have completed a test maintaining cement production for several days using only alternative fuels. The plant reached a thermal substitution rate of 100%, fully replacing fossil fuels in the clinker firing process as part of its decarbonisation programme, according to a social media post.


Bulgaria: Heidelberg Materials’ Bulgarian subsidiary Heidelberg Materials Devnya and renewable energy developer CWP Europe have signed a preliminary agreement to develop a wind farm, valued at more than €300m. The companies said the project will supply renewable electricity to the Devnya cement plant and will use Heidelberg Materials’ EvoZero carbon-neutral cement in turbine foundations, as part of its industrial decarbonisation plans.

The companies did not disclose a timeline for construction or commissioning.


Denmark: Aalborg Portland has won support under Denmark’s carbon capture and storage (CCS) tender for a project to capture 1.25Mt/yr of CO₂ from 2030. The project will capture CO₂ from cement production in Aalborg.


Türkiye: OYAK Cement said that domestic cement sales volumes fell by 12% year-on-year in the first quarter of 2026, due to heavy rainfall and normalisation of demand in earthquake-affected regions. The company said that domestic cement production declined by 28% year-on-year in January 2026 and by 12% in the first two months of the year, while February domestic sales fell by 12% and exports by 13%. It said that it achieved limited price increases during the quarter despite adverse weather conditions and ongoing pricing pressure in the market. The company's alternative fuel usage reached 27.4% in the first quarter of 2026, compared with a sector average of 13% in 2025, according to the company’s statement.

OYAK Cement commissioned a 115MW solar plant at Beypazarı in April 2026, which is expected to support energy costs and increase the share of renewable energy in its operations.


India: The foundation stone for a new grinding plant has been laid by Madhya Pradesh Chief Minister Mohan Yadav and Union Minister Jyotiraditya Scindia. Adani Cement’s unit in Guna, Madhya Pradesh, will receive a total investment of more than US$111m. The project will be developed in two phases, with a total capacity of 4Mt/yr. The first phase is scheduled for commissioning in 2028. The company said that the project will create around 1500 direct and indirect jobs.

Pranav Adani, managing director of Adani Enterprises, said “We will execute this project while keeping speed, quality, and the environment in mind. This is the largest investment in Guna to date." He added “This is not merely an investment in a cement plant. It is an investment based on trust in the people of Madhya Pradesh. It is an investment in the future of the local youth. And it is an investment in partnership for the progress of the state."


Argentina: Alejandro Santillán, secretary general of the Olavarría division of the Argentine Mining Workers’ Association (AOMA), said that Loma Negra’s decision to shut down one of its kilns for six months reflects weak demand caused by the slowdown in public works, according to Noticias Financieras news. He said that the mining sector was going through its worst period in decades, and that the measure goes beyond the usual maintenance shutdowns.

"While the kilns are shut down every year for maintenance, what is happening now is a direct consequence of the halt in public works," Santillán said. "There is no projection to the contrary, and in the specific case of Loma Negra, there are more than 750,000t outside the silos, so there must be even more."

The union leader described a similar situation at Cementos Avellaneda: “They have three cement bagging lines that used to operate 24 hours a day, six days a week; now, with just one line running a single shift per day, they can meet demand.” He warned that the situation would affect employment across the production chain.

“This new investor bought a debt, and now we have to see how it positions itself in the market and what will happen, but unfortunately, we face a very, very bleak outlook,” he concluded.


Mexico: La Cooperativa Cruz Azul has regained control of its cement plant in Hidalgo after a five-year internal dispute ended in February 2026 with 33 arrests. The company said that the plant accounts for up to 40% of the company’s production capacity and that rehabilitation of the plant will be completed within three months.

The company is now building a new US$300m cement plant in Campeche, due for completion later in 2026. In addition, it has commissioned a new bagging plant in Puebla, and in Oaxaca it has launched a new kiln, a mill and a primary crusher.


India: Navrattan Cement Industries, a subsidiary of Navrattan Group, will invest US$26m in a cement plant in Rajpura, Punjab. The company said that the plant will use technologies designed to reduce CO₂ emissions and increase energy efficiency compared to traditional production methods. The company plans to scale the project in phases based on market demand and future expansion opportunities.


Italy: Cementir Holding has released its 2026 first-quarter financial results, reporting sales of €344m in the first quarter of 2026, down by 7% year-on-year. It attributed this to the reduction of volumes in several regions and the negative exchange effect of €21.4m, in particular due to the devaluation of the Turkish Lira and the US Dollar against the Euro.

Earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 41% year-on-year to €41.4m. It attributed the decline to volumes reduction from adverse weather conditions and a different annual maintenance schedule. Cement and clinker sales volumes declined by 3% to 2.20Mt compared to the same period in 2025, due to the progressive completion of post-earthquake reconstruction in Türkiye, as well as the weak performance of Asia Pacific. Profit before tax was down by 63% to €14.8m. The company confirmed its 2026 guidance, targeting sales of around €1.7bn and EBITDA of €400m-€420m. It said that the ongoing conflict in the Middle East did not have a significant impact on the first quarter results in terms of energy and logistics costs.

Chair and CEO Francesco Caltagirone Jr said “The first quarter of 2026 was affected by the harshest winter in the past 20 years in Europe and Türkiye, as well as by a different maintenance schedule, which had a significant impact on volumes and profitability. In March 2026, a recovery in volumes was recorded in certain regions. Within a complex and uncertain macroeconomic and geopolitical environment and pending greater visibility in the coming months, we believe we are able to confirm the guidance for the year.”


Nigeria/UK: Dangote Cement is considering listing part of its cement business in London to attract investors and strengthen its international profile. The company said that the move would expand access to global capital and support its regional expansion across Africa. CEO Aliko Dangote said that recent changes to the UK’s listing rules had influenced the decision to list the company, as it had ‘brought down minimum listing requirements,’ according to The Financial Times.

Dangote said “We want to do a dual listing. We have been thinking about it for seven to 10 years.” About 10% of the company’s shares would reportedly be sold. The company attempted to list the company on the London stock exchange back in 2018, but reportedly faced several challenges. The listing could take place around September 2026, subject to market conditions and investor demand.

Dangote Cement operates plants in more than 10 countries across Africa and has a capacity of around 55Mt/yr.


US: Novada Cement, part of Medcem Group, has selected ABB to deliver full plant electrification, automation and drives solutions for its new cement plant in Tampa Bay, Florida. ABB will design, supply and commission the solutions and provide integrated engineering, project management and support. The grinding plant is expected to produce more than 0.6Mt/yr of cement at full capacity. It marks a first investment in the US by Novada, which has large-scale production in Türkiye, as well as plants in Cameroon and Tunisia.

Plant manager at Novada Cement Isa Eltez said “By centralising operations with ABB technology we’ll improve energy performance, maximise throughput and deliver expected quality. We’re looking forward to the results.”


Saudi Arabia: Riyadh Cement will start trial operations at its 12.6MW waste heat recovery project in the second quarter of 2026, according to Zawya news. The company signed a US$34.8m contract with Sinoma Energy Conservation in November 2023 to build the 12.64MW project. Full operations will reportedly begin in the second half of 2026, reducing electricity consumption and operating costs, said CEO Shoeil Al Ayed. It signed a US$22.6m contract with Chengdu Design and Research Institute in December 2025 to build an electrical grid under the Ministry of Energy’s liquid fuel displacement programme. Al Ayed also said that the company would soon announce a 30MW solar panel project, expected to further reduce production costs.


US: Biocement producer Prometheus Materials has signed a 10-year partnership with Green Stream Algae (GSA), with two five-year extension options, to supply microalgae and biominerals to scale up its ProZERO low-CO₂ cement technology. The company said that this establishes GSA as its exclusive supplier in North and South America. Prometheus Materials said that it hopes to meet growing demand for sustainable low-carbon cement solutions.

"GSA has been a trusted supplier of microalgae and biomineral to our company, and this partnership reflects a major step forward in scaling our technology and delivering reliable, low-carbon cement solutions at commercial scale," said Loren Burnett, CEO of Prometheus Materials.


Greece: Titan Group reported sales of €636m in the first quarter of 2026, up by 5% year-on-year. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 12% to €138m. Net profit after tax reached €64.1m, up by 47% year-on-year.  It said that solid volumes with improved pricing led to organic sales growth. It also noted improved performance in Southeast Europe and the US, excluding the negative foreign exchange impact from the weaker US Dollar. It implemented ‘targeted’ price increases across Greece, Bulgaria and the eastern Mediterranean.


Argentina: Cement shipments in Argentina fell by 13% year-on-year and by 12% month-on-month to 0.73Mt in April 2026, with year-to-date shipments down by 4% to 3.06Mt. Domestic shipments were 0.73Mt in April 2026, down from 0.84Mt in April 2025 and from 0.83Mt in March 2026. Exports were 2860t in April 2026, compared to 7290t in April 2025 and 4650t in March 2026. Year-to-date domestic shipments reached 3.04Mt. Exports were 16,600t, bringing total shipments to 3.06Mt.

Cement consumption fell by 13% year-on-year and by 12% month-on-month to 0.73Mt in April 2026. Imports were 212t in April 2026, compared to 161t in April 2025 and 198t in March 2026. Year-to-date consumption declined by 3% to 3.04Mt, including imports of 410t.


Morocco: Cement deliveries reached 4.52Mt in the first four months of 2026, down by 0.12% year-on-year, according to the Ministry of National Territorial Planning, Urban Planning, Housing and Urban Policy. Deliveries in April 2026 totalled 1.51Mt, up by 32% year-on-year. Distribution accounted for 2.40Mt, followed by ready-mix concrete at 1.20Mt, prefabricated concrete at 0.44Mt, infrastructure at 0.32Mt, building construction at 0.15Mt and mortars at 0.20Mt. Statistics come from internal data from members of the Association Professionelle des Cimentiers (APC), namely Asment Temara, Ciments de l'Atlas, Ciments du Maroc, LafargeHolcim Maroc and Novacim.