Displaying items by tag: Clinker

Vietnam: The Vietnam Cement Association (VNCA) has urged the government to address the cement industry's challenges, following a continuous decline in sales since 2022. Despite having 61 cement plants with a combined capacity of 117Mt/yr, the industry recorded sales of only 87.8Mt/yr in 2023, marking a 16% year-on-year fall in domestic consumption to 56.6Mt and a 1% decline in exports to 31.2Mt. The downturn in both domestic and export markets has resulted in excess inventory, leading many plants to reduce capacity or halt operations, with some facing bankruptcy or the risk of foreign acquisition.

Several factors have contributed to the industry's difficulties, including reduced domestic demand due to reliance on traditional construction techniques in major infrastructure projects, a stagnant real estate market, escalating fuel costs, and increased export taxes on clinker. To combat these issues, VNCA proposes promoting concrete use in high-speed infrastructure projects, especially in the Central region and the Mekong Delta. It also advocates maintaining or eliminating export taxes on clinker for the next two years and providing VAT exemptions. Additionally, VNCA calls for financial support, requesting banks to offer debt relief and reduced interest rates to cement companies. The association also advises against further foreign investment in Vietnam's cement sector.

Kenya: President William Ruto has commissioned a Cemtech clinker plant in Sebit, West Pokot, valued at US$345m. Construction of the plant began in 2010 and it will produce 6000t/day of clinker with a cement capacity of 2Mt/yr. After production, the clinker will be transported to a grinding plant in Eldoret.

Mining Principal Secretary Elijah Mwangi said "The production is enough feed for all cement plants in the country. The demand for this critical material will now be met with the excess available for export." The opening of this plant is a ‘major relief’ for cement companies in Kenya, which have historically had to import 60% of their clinker. Currently, National Cement and Mombasa Cement manufacture clinker, while Bamburi Cement, Savannah Cement, Rai Cement, and Ndovu Cement import it.

Located at the Sebit limestone mines in Kipkomo subcounty, the plant has generated over 2000 job opportunities.

Vietnam: In the first quarter of 2024, Vietnam's cement and clinker exports maintained a volume of 7.9Mt but represented a 11.7% year-on-year decrease in value to US$298m, according to the General Statistics Office.

The value decrease is reportedly attributed to China's sluggish real estate market and anti-dumping duties imposed by the Philippines. Export prices also declined slightly, with the average price in 2023 dropping by 3% year-on-year. The Vietnam Cement Association anticipates further challenges for these exports in 2024, facing increased competition from the Philippines, Central America and South Africa. Domestic production is expected to exceed demand, with consumption estimated at 60-62Mt, prompting intensified export efforts to manage an excess production of around 30Mt.

Jamaica: Caribbean Cement Company's first phase of its expansion project is set for completion in 2025. The expansion will increase cement production by 30%.

Managing director Jorge Martinez said "When completed, this project will further reduce our CO₂ emissions and deliver increased output from 2600 to 2850t/day of clinker to meet the increased local demand for cement. We will also have the capacity to explore options for exporting to other countries within the Caribbean community. These exports will benefit Jamaica’s economy through foreign currency income."

The US$40m plant expansion in Rockfort, Kingston is financed by the company, with 150 workers already on the project. The expansion was announced in 2022 and aims to strengthen Jamaica's cement industry, reduce import reliance and support the regional construction sector. It will also support parent company Cemex's sustainability targets, including CO₂ emission reduction and optimisation of heat consumption in cement production, as part of its Future in Action programme.

Kyrgyzstan: Kant Cement has entered the construction phase of a new dry clinker production line at its Kant cement plant. The facility has a capacity of 2500t/day and aims to produce 800,000t/yr of clinker using advanced technology and automation.

The plant will both substitute for imports and export excess cement. It is expected to generate 300 new jobs.

Azerbaijan: The latest figures from the State Statistical Committee show a 35% year-on-year increase in the value of building materials produced in Azerbaijan, to US$102m in January - February 2024. Cement production notably surged to 546,000t in the two-month period, a 30% increase. However, clinker production fell by 17% year-on-year. The production of ready-mix concrete increased by 60%, but construction lime production dropped by 57%. These trends continued an increase in building materials production from 2023, when it rose by 32% from 2022 levels.

Australia: Fremantle Ports has completed the construction of a 40m-high cement clinker storage dome at Kwinana Bulk Terminal in the Outer Harbour. This dome, a first in Western Australia and the second in Australia, can store an entire 40,000t shipment of clinker.

The new storage solution links to the adjacent Cockburn Cement plant and serves BGC, another major clinker importer. The dome was chosen for its smaller ground footprint compared to traditional dry product sheds.

CEO Michael Parker said "Without clinker, industry stops. Every tonne entering Western Australia comes through Kwinana Bulk Terminal.”

The terminal imports over 1.1Mt/yr of clinker, sourced from Indonesia, Japan, Malaysia, the Philippines and the United Arab Emirates.

Mexico: Cemex has launched a new process called clinker micronisation, developed at its Research and Development Center in Switzerland. The method enables cement producers to lower the clinker factor of their cement by up to 50%, while maintaining its strength. It also offers the additional benefit of allowing concrete users to reduce the proportion of cement in their mixes.

CEO Fernando González said “We are finding new ways to boost our decarbonisation roadmap in the production of cement and concrete. We remain committed to achieving our ambitious 2030 decarbonisation goals on the path to becoming a Net Zero company by 2050.”

India: The Ramco Cements plans to more than double the clinker capacity of its Kalavatala cement plant in Andhra Pradesh to 6.3Mt/yr at a cost of US$151m. The new Line 2 will be equipped with a 15MW waste heat recovery (WHR) unit. The line will raise the producer’s installed cement capacity to 26Mt/yr and its clinker capacity to 19Mt/yr with commissioned scheduled by early 2026. The Ramco Cements plans to source the funds through internal accruals and bank borrowings.

At the same time, the company will invest US$18.4m in the construction of a 10MW WHR plant at its Ramasamy Raja Nagar cement plant in Tamil Nadu, scheduled for commissioning by March 2025. Both WHR projects will raise The Ramco Cements’ total WHR capacity by 58% to 68MW.

The Ramco Cements said that Kalavatala plant is currently operating at full capacity utilisation. It added that it decided to expand the plant in response to this and further ‘demand potential.’ In the current, fourth quarter of the 2024 financial year (1 January – 31 March 2024), the company expects to make capital expenditure (capex) investments of US$47m, followed by US$205m in the upcoming 2025 financial year.

India: Sanghi Industries has received shareholder approval to supply its cement and clinker to ACC and Ambuja Cements. Additionally, Sanghi Industries will begin to purchase of coal from fellow Adani Group subsidiary Adani Enterprises, according to the Economic Times newspaper. Under the new arrangements, ACC and Ambuja Cements will sell Sanghi Industries’ cement and clinker under their own brands, at a price 10% above production cost. This is reportedly below industry pricing standards for comparable deals of 25 - 30% higher pricing over costs.

Adani Group subsidiary Ambuja Cements acquired a 57% stake in Sanghi Industries on 5 December 2023.