Emir Adigüzel warned that cement prices in Europe could triple under current decarbonisation policies. The director of the World Cement Association (WCA) made the comments at a conference in Germany this week. He noted that most of these carbon-related costs will be passed to consumers. His view is that carbon pricing will force price rises across the industry.
That cement prices will rise due to decarbonisation policies is not in itself news. This debate is really about how much and who pays. The WCA's latest analysis asserts that the cement sector will require investment of US$200bn by 2050 to fully decarbonise. Some progress has been achieved so far. Major cement companies reduced carbon intensity from an average of 700kg CO2/t in 2019 to 640kg CO2/t in 2023. Adigüzel’s argument is that carbon capture (CCUS) in the cement sector has its place only “if applied correctly.” His view is that these technologies will have a limited effect on global industry decarbonisation as the required investment per cement plant exceeds the capital cost of an entire cement plant. The WCA prefers to promote decarbonisation instead via energy efficiency, alternative fuels, reduced clinker factor and new technologies. That last one includes CCUS but is not limited to it also covering things such as electrification and heat storage. Note today’s news that India-based Adani Cement has ordered a RotoDynamic Heater from Coolbrook. Adigüzel also criticised the European Union’s Carbon Border Adjustment Mechanism (CBAM) in incentivising non-scheme exporters to reduce their carbon footprint, particularly given the expensive investments required.
Decarbonisation is going to be expensive and CCUS is the priciest part of this. Hence, cement producers are likely to consider taking as many measures as possible before implementing CCUS. That cement companies would pass on these costs to consumers also seems likely. The other obvious outcome is that consumers will simply use less cement where possible. Yet Adigüzel doesn’t address how net zero can be achieved with continuing clinker production without using CCUS. His pricing for CCUS is at the right scale though. As Boston Consulting Group (BCG) pointed out in 2024, the cost of CCUS looks set to increase cement prices from US$90 – 130/t to at least US$160 – 240/t by 2050. As well as the capital costs to build a CCUS unit, this includes the additional energy costs required and the price of transporting the CO2 to a sequestration site. The first two large-scale Heidelberg Materials CCUS projects in Europe, for example, both connect to government-backed transport and sequestration schemes. BCG went on to posit that decarbonisation trends would create five archetypes of cement plants: export hubs and larger plants close to CO2 storage sites; former export sites far from storage; import grinding hubs; and stranded assets.
Finally, Carbon Brief reported this week that CO2 emissions in China continued to stay flat in the third quarter of 2025, suggesting a stable or falling trend since early 2024. The adoption of electric vehicles and declines from cement and steel production contributed to the picture in the latest quarter. Emissions from the production of cement and other building materials fell by 7% year-on-year in the third quarter of 2025. This was attributed to the ongoing real-estate contraction. Note that this decarbonisation trend in China has been created by market trends.
Expect plenty more sustainability stories everywhere over the next few weeks as the 2025 United Nations Climate Change Conference (COP30) started this week in Belém, Brazil. The GCCA will be present at a number of events including an update to the Brazil Cement Industry Roadmap on Saturday 15 November 2025
The Global FutureCem Conference on cement industry decarbonisation will take place on 21 - 22 January 2026 in Munich, Germany