Global Cement News

Philippines: Holcim Philippines has suspended the operation of its manufacturing plant in Davao as the city goes on lockdown until (at least) 19 April 2020 in order to contain the ongoing coronavirus outbreak. This was due to a 4 April 2020 order by Mayor Sara Duerte that imposed enhanced community quarantine protocols. Holcim plants are now suspended in the whole of Luzon and in Davao City, prompting the company to announce that it could miss its full-year goals.

Luzon is now on the fourth week of a month-long isolation order that is formally due to end on 12 April 2020. However, government officials have already sounded the possibility that this could be extended.

Pakistan: The Pak-India Business Council (PIBC), a leading Pakistan-based organisation that advocates for stronger trade ties with India, has welcomed a relief package for the construction sector announced by Prime Minister Imran Khan. The PIBC said that the measures would be help generate business in the country, including for those taking home daily wages, who have been disproportionately affected by the coronavirus outbreak.

PIBC Chairman Noor Muhammad Kasuri said that the Khan's relief package would help provide relief to construction workers. He also welcomed an exemption of duty on construction materials, including cement, that would also help construction firms and allied businesses. Kasuri even added that the steps would open ‘new vistas of investment’ in the country after the outbreak.

Mexico: Cemex has announced that will resume operations in Mexico, just hours after announcing that it would halt all operations in the country. The turnaround was due to new government guidelines regarding essential business operations during the coronavirus outbreak.

"In accordance with the technical guidelines published today in the official Mexican gazette, the company will resume operations in Mexico to support the development and the economy of the country during the COVID-19 contingency," said Cemex in a statement on 6 April 2020. Earlier the same day it had announced that it would halt all Mexican operations until at least 30 April 2020.

Nigeria: Dangote Cement, Africa’s leading cement manufacturer, is seeking to raise up to US$260m in fresh funds from the bond market under its US$780m Debt Issuance Programme. The investor presentation document prepared by the company was themed ‘Building Prosperity in Africa.’

Mexico: Cemex has temporarily stopped production in Mexico following a government decree issue by the Health Ministry of Mexico in response to the coronavirus epidemic. The building materials company says it has maintained communication with the federal government to resume operations should the authorities decide that the construction industry should be prioritised.

“For Cemex, the health and safety of our employees, contractors, suppliers, customers and communities is a top priority,” said Fernando A Gonzalez, the chief executive officer (CEO) of Cemex. “As soon as the COVID-19 threat emerged, we activated our Rapid Response Teams to implement preventive measures in response to this unprecedented health crisis.” He added that 90% of Cemex’s customers use it Cemex Go online sales platform. The company had also identified US$200m in cost-saving initiatives for 2020 and it is evaluating the delay of certain capital expenditures that had been planned for this year, among other measures.