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Portland Cement Association forecasts 2.8% growth in 2018 and 2019

05 April 2018

US: The Portland Cement Association (PCA) predicts growth of 2.8% in cement consumption in 2018 and 2019 in its Spring Forecast. Growth is then expected to climb to 4% in 2020 as impacts from potential federal infrastructure spending are likely to take effect. The analysis estimates cement consumption at 99.3Mt in 2018, 102.1Mt in 2019 and 106Mt in 2020.

Ed Sullivan, PCA senior vice president and chief economist, has attributed the forecast growth to a variety of positive economic factors including a strong economy, job market and anticipated increase in infrastructure spending. He said that in combination these factors, “suggest a modest acceleration in real GDP, construction markets and cement consumptions.”

However, the PCA projects that ‘robust’ infrastructure spending isn’t likely to occur until the fourth quarter of 2019, given the key steps that must occur, including passage of an infrastructure bill, federal and state paperwork, bid letting and review and finally contract awards leading to construction.

Published in Global Cement News
Tagged under
  • US
  • Portland Cement Association
  • Forecast
  • Infrastructure
  • Government
  • GCW348

ANCAP’s Minas cement plant shut due to union action

05 April 2018

Uruguay: The Administración Nacional de Combustibles, Alcoholes y Portland’s (ANCAP) Minas cement plant has been shut for two months due to union action. The cement producer has been forced to supply cement from its Paysandu plant instead, according to the El Pais newspaper. If the situation continues then ANCAP may need to buy cement from its competitor Cemento Artigas.

ANCAP’s cement division has accumulated debts of US$207m since the early 2000s. Revenues have been reportedly lower than costs since 2004. ANCAP started a restructuring plan at the cement producer in 2017.

Published in Global Cement News
Tagged under
  • Uruguay
  • ANCAP
  • Plant
  • Closure
  • Union
  • Cementos Artigas

Creditors ask Binani Cement to seek approval from Supreme Court on UltraTech Cement deal

05 April 2018

India: The creditors of Binani Cement have asked it to seek approval from the Supreme Court on an offer made by UltraTech Cement to buy the company outside of the on-going insolvency process. The lenders decided not to vote on UltraTech Cement’s offer, according to the Times of India newspaper. Instead, they asked for Binani Cement’s parent company, Binani Industries, to pay US$115m to show its commitment to the latest deal.

A consortium led by Dalmia Bharat won an auction for Binani Cement with a bid of US$974m in early March 2018. However, UltraTech Cement then made a direct bid to Binani Cement a few weeks later. Branches of the National Company Law Tribunal have since suggested that the companies settle the dispute ‘amicably.’ However, Binani’s creditors fear that Dalmia Bharat is likely to start legal proceedings without full court approval supporting UltraTech Cement’s direct offer.

Published in Global Cement News
Tagged under
  • India
  • Binani Cement
  • Binani Industries
  • Legal
  • Dalmia Bharat
  • UltraTech Cement
  • National Company Law Tribunal
  • Supreme Court

Pakistan cement capacity utilisation hits record high of 94%

05 April 2018

Pakistan: The All Pakistan Cement Manufacturers Association (APCMA) says that the capacity utilisation of the local cement industry reached 94% in the nine months of the local financial year to March 2018. Demand for cement has been bolstered by local demand and growing exports so far in 2018, according to the Business Recorder newspaper. Cement despatches grew by 14.7% year-on-year to 34.8Mt in the first nine months of the 2017 – 2018 year from 30.3Mt in the same period in the previous period. Despatches grew faster in the north of the country than the south.

Published in Global Cement News
Tagged under
  • Pakistan
  • All Pakistan Cement Manufacturers Association
  • Capacity utilisation
  • data
  • Export
  • GCW348

Government asks VICEM to improve operations

05 April 2018

Vietnam: Mai Tien Dung, the Minister and Head of the Government Office, has identified ways for the Vietnam Cement Industry Corporation (VICEM) to improve its operations. The measures were drawn up at a meeting with the cement producer, according to the Viet Nam News newspaper. The minister wanted ways to increase Vicem’s local market share, improve corporate governance, streamline its organisational structure, make environmental improvements and increase the quality and competitiveness of its products. He also emphasised the need for the company to coordinate with the transport sector to reduce its logistics costs.

Published in Global Cement News
Tagged under
  • Vietnam
  • VICEM
  • Government
  • GCW348
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