September 2024
India: UltraTech Cement has concluded an agreement to acquire The India Cements’ 1.1Mt/yr Parli grinding unit in Maharashtra for US$37.8m. The plant will subsequently figure in a US$60.5m growth drive by the group, aimed at adding 3Mt/yr in new cement capacity in Maharashtra. Current on-going expansions and acquisitions are set to raise the Aditya Birla subsidiary’s capacity to 198Mt/yr.
Indonesia: Siam Cement Group (SCG) subsidiary PT Semen Jawa used 24,000t of alternative raw materials in its cement production during the first quarter of 2024. These circular materials included bottom ash, fly ash and slag. This corresponds to 3% of its total raw material usage. Meanwhile, the producer co-processed 15,000t of alternative fuel (AF) during the quarter, representing a 20% AF substitution rate.
SCG Indonesia director Warit Jintanawan said that the developments "Not only enhance production efficiency, but also significantly reduces our carbon footprint. This is a testament to SCG's commitment to supporting Indonesia's climate goals, aiming to reduce greenhouse gas emissions by 32%, aligned with Enhanced National Determined Contributions."
Taiwan launches first electric truck to transport cement 19 April 2024
Taiwan: Taiwan Transport and Storage unveiled its first electric truck, manufactured by Volvo Trucks, at a ceremony in Taipei. The unit will transport cement for Taiwan Cement, marking the first use of electric vehicles for construction material transport in Taiwan, according to the Taipei Times.
The electric truck unit will help to reduce aggregate carbon emissions by 32%, according to TTS chairman Koo Kung-yi. "We believe that Taiwanese companies can effectively reduce Category III CO₂ emissions through the use of electric commercial vehicles," Kung-yi said.
Schenck Process to rebrand as Qlar 19 April 2024
Germany: Schenck Process has announced its rebranding to Qlar effective 13 May 2024, as part of its focus on climate-neutral and circular economy solutions. The company will maintain its expertise in weighing, feeding, conveying, milling, and grinding, whilst serving industries including cement and steel.
CEO Dr Jörg Ulrich said "With the rebranding to Qlar, we are linking ourselves to the circular economy, focusing even more on digitalisation and green transformation."
The rebrand will not affect the Schenck Process Food and Performance Materials division in the US, which remains under Coperion's ownership.
Polish cement industry advances with CCS technology 19 April 2024
Poland: Polish cement producers are set to build carbon capture installations, supported by government policies. After a decline in production from nearly 19Mt in 2022 to about 16.5Mt in 2023, the industry is facing an increase in cheaper imports from outside the EU, particularly Ukraine, and CO₂ emission fees that account for 30% of the cost of 1t of cement, according to the Dziennik Gazeta Prawna newspaper. The EU has also introduced a carbon border adjustment mechanism (CBAM) for imports.
Despite these challenges, the Kujawy cement plant in Bielawy, owned by Holcim, is launching the large-scale implementation of carbon capture and storage (CCS) technology.
Holcim Polska's president, Maciej Sypek, said "The construction of carbon capture installations in our plants will cost between €320m and €400m. We received a €264m grant from the European Commission's Innovation Fund." According to Sypek, the project is currently in the design phase, with construction expected to start in 2025 and operations beginning in early 2028.
The implementation of CCS at the Kujawy plant could potentially lead to an industry-wide adoption of the technology, costing between US$3.7bn and US$4.9bn, according to the newspaper. Holcim Polska plans to liquefy the CO₂ and transport it by rail to a terminal in Gdańsk, where it will be shipped to the North Sea for underground storage. Cement producers are urging the Polish government to appoint a commissioner for CCS infrastructure and to enact legislative changes to support the construction of such installations. They also believe that rapid modernisation of the energy sector needs to occur to support the energy-intensive process of gas capture.
Pakistan: On 18 April 2024, the Sustainable Development Policy Institute (SDPI) and the Policy Research Institute for Equitable Development (PRIED) launched two studies focusing on the decarbonisation of Pakistan's cement sector. The initiative focuses on collaboration and technology sharing to reduce the industry's carbon footprint.
Professor Muhammad Fahim Khokhar from the National University of Science and Technology (NUST) said "The global CO₂ emissions released from the cement sector are 37.4Gt, which is rising at 1.1% per year."
The study by PRIED and NUST showed a 30% increase in cement sector CO₂ emissions in 2020 relative to 1990-2000, reaching 49.6Mt/yr. The study proposed strategies for cement sector decarbonisation, such as alternative fuels, clinker substitution, renewable energy, process electrification, energy efficiency and carbon capture technologies.
According to researcher Saleha Qureshi, the major challenge for decarbonisation is that cement industries in Pakistan rely on over 65% coal in the calcination process. Other challenges identified were lack of regulatory and policy support, absence of performance-based standards, high transition cost and limited incentive available for the transition.
Mexico: Mexico's major cement producers predict modest growth in 2024 as some government infrastructure projects conclude and budget reductions take effect. These companies, including Cemex, Grupo Cementos and Holcim, have benefited from large-scale projects under President López Obrador but now face a tempered outlook.
General construction activity in Mexico grew in 2023, with a 15.6% increase driven by civil works, increasing the construction industry's GDP to US$94bn. However, with the completion of projects like the Mayan Train and anticipated budget cuts, growth expectations have cooled.
The National Cement Chamber forecasts a 2% rise in cement consumption in 2024, reaching 46.4Mt. Cement producers are adjusting strategies, with Cemex focusing on European markets and Holcim investing in plant expansions in Mexico, including a US$55m investment in its Macuspana plant in Tabasco.
China: Beijing-based China National Building Material (CNBM) anticipates its first-quarter losses to increase by more than 50% to US$180m, up from US$72.6m in 2023. The company attributes the increased losses to lower selling prices for its key products, worsening performance of associates, and higher currency losses, despite a decrease in cost of sales. Following a meeting with CNBM, Citi analysts reported a 10% year-on-year fall in demand for the cement sector in the first quarter of 2024, with a forecasted full-year decline of 3%-5%.
Pakistan: Fauji Cement Company (FCC) and DG Khan Cement Company (DGKC) are expected to reveal mixed financial results for the third quarter of the 2024 financial year. FCCL expects a decline in earnings due to increased depreciation expenses from a new cement line, forecasting a quarterly revenue of US$69.7m, down by 3% year-on-year. In contrast, DGKC anticipates improved earnings of US$2.6m, an 84% increase in earnings from the previous quarter, helped by lower repair, fuel and power costs. DGKC's expected revenue stands at US$47.8m, marking a 27% drop. Both companies have noted a sequential decline in local cement dispatches, indicating ongoing market challenges.
Global: The Global Cement and Concrete Association (GCCA) has received nearly 100 applications from worldwide tech start-ups for its Innovandi Open Challenge, which targets the decarbonisation of cement and concrete. This year's challenge is centred on carbon capture, utilisation and storage (CCUS) technologies.
Thomas Guillot, GCCA’s Chief Executive, said "There are already more than 100 CCUS cement industry pilots, projects and announcements in the pipeline across the world – with the world’s first commercial scale carbon capture and storage plant set to complete later this year. Innovation will help our industry to deploy this technology further and faster."
Claude Loréa, GCCA’s Cement, Innovation and ESG Director, said "It’s really encouraging to see nearly 100 applications for our Innovandi Open Challenge and from all parts of the world. As well as the US, UK and India, we’ve received applications from China, Greece and Australia for the first time. It demonstrates the high level of interest in working with our industry to make cement and concrete net zero. We’re looking forward to assessing all the applications, in detail."
The association, alongside over 50 experts from member companies, will now review and shortlist the most deployable technologies, offering shortlisted start-ups access to key industry resources and networks.