Displaying items by tag: GCW702

The Pacific Cement Corporation (PACEMCO) held a groundbreaking ceremony this week officially ‘reopening’ its cement plant in Surigao City. The revival of the plant has been supported by investments by San Miguel Corporation (SMC). Various dignitaries attended the event including John Paul Ang, the chief operating officer of SMC, the mayor of Surigao City mayor and the governor of Surigao del Norte.

The plant has been closed since 2014 due to financial problems. At the time, Global Cement reported that the cement plant stopped operations in May 2014 after the Surigao del Norte Electric Cooperative cut its power supply for unsettled debts worth at least US$0.5m. PACEMCO was originally set up in 1967 and the plant had a production capacity of 0.22Mt/yr via one production line in 2014.

Earlier in March 2025 the Department of Trade and Industry (DTI) was keen to highlight the efforts that Taiheiyo Cement Philippines (TCP) is making towards supporting the country's infrastructure capacity. Company executives met with the DTI and revealed plans including building a distribution terminal in Calaca, Batangas with the aim of targeting the Luzon market. This follows the construction of a new US$220m production line at TCP’s San Fernando plant in Cebu in July 2024.

Both announcements follow the implementation in late February 2025 of a provisional tariff on cement imports. The DTI started investigating imports in the autumn of 2024 and later decided to initiate a ‘preliminary safeguard measure’ following the discovery of a “causal link between the increased imports of the products under consideration and serious injury to the domestic industry.” The tariff takes the form of a cash bond of US$6.95/t or US$0.28/40kg bag of cement. It will be in place for 200 days, to mid-September 2025, while the Philippine Tariff Commission conducts a final investigation. The two main countries that will be affected are Vietnam and Japan. A large number of countries are exempt from the tariff including, notably, China and Indonesia. Both of these two countries were larger sources of imports to the Philippines during the five-year period the DTI is investigating. However, imports from these places have declined since 2021 and 2023 respectively.

Graph 1: Import of cement to the Philippines, 2019 - 2024. Source: Department of Trade and Industry.

A preliminary report by the DTI published in late February 2025 outlines the reasons for the provisional tariff. In summary it found that imports rose from 2019 and 2024 and the share of imports increased also pushing down the domestic share of sales. In the view of the report, the domestic cement sector experienced declining sales, production, capacity utilisation, profitability and employment for each year apart from 2021. One point to note is that the imports were split roughly 50:50 between local and foreign companies. Local company Philcement, for example, was the largest importer for cement to the Philippines from 2019 to 2024. In its statement to the DTI it said that it had invested in manufacturing the processing sites in the country. It argued that overprotection of the market discouraged competition and might not be aligned with the economic goals of the country.

Last time Global Cement Weekly covered the Philippines (GCW669) in July 2024 it looked likely that the government would take further action on imports. This has now happened on a temporary basis but it looks likely that it will become permanent. Recent investment announcements from local producers such as PACEMCO and TCP may be coincidental but they suggest a tentative confidence in the local sector.

Switzerland/US: Holcim has appointed the designated executive leadership team for its planned Amrize spin-off company in the US. Jan Jenisch will be the new company’s chair and CEO and Ian Johnston will be the Chief Financial Officer (CFO).

Other roles include: Jaime Hill as President of Building Materials; Jake Gosa as President of Building Envelope; Nollaig Forrest as Chief Marketing and Corporate Affairs Officer; Steve Clark as Chief People Officer; Denise Singleton as Chief Legal Officer & Corporate Secretary; Sam Poletti, Chief Strategy and M&A Officer; Mario Gross as Chief Supply Chain Officer; and Roald Brouwer as Chief Technology Officer.

Jenisch has been a member of the board of directors of Holcim since 2021 and has worked as its chair since 2023 and as its CEO from 2017 to 2024. Before joining Holcim, Jenisch was the CEO of Sika from 2012 to 2017.
Johnston currently serves as CFO for Holcim North America. Prior to this he held the same role for the business in the US and Canada.

Jenisch said “Our leadership team includes key Holcim leaders who have played instrumental roles in the success of our business, as well as new leaders from top US companies with strong North American market expertise.”

Nigeria: Dangote Cement has appointed Gbenga Fapohunda as its Group Financial Officer.

Fapohunda holds over 22 years of experience in financial management. He has worked for Dangote Cement since 2021 first as Regional Chief Financial Officer and then as the Acting Group Financial Officer from 2022. Before this he was the Executive Finance Director (West Africa) at Japan Tobacco International, Finance Director at United Parcel Service (UPS), Executive Finance Director at British American Tobacco. Earlier in his career, he was a manager within the financial advisory team at PricewaterhouseCoopers and worked at KPMG Professional Services within the Assurance Team. He holds a Doctor of Business Administration (Strategic Management) from the Rome Business School, a master’s of business administration (MBA) in finance from the London Business School and an undergraduate degree in accounting from the University of Lagos. He is a fellow of the Institute of Chartered Accountants of Nigeria.

UK: Mark Grimshaw-Smith has been appointed as a non-executive director to its Board of Logistics UK. He currently works as the Rail and Sea Manager for Cemex UK. Other appointments to this board include Jamie Hartles, Rem Noormohamed and James Wroath.

Grimshaw-Smith has worked for over 40 years in the construction materials supply chain and logistics sector, covering all modes of transport. He has worked for Cemex for over 15 years, most recently as its Rail and Sea Manager. He helped to develop Cemex's global rail safety standards, representing Cemex’s Europe, the Middle East and Africa (EMEA) region. He is a graduate in economics from the University of Oxford and holds a master’s of business administration (MBA) from the University of Warwick.

Logistics UK is a trade association representing the logistics sector, including road, rail, sea, and air.

Gabon: The Gabonese government and Ciments d'Afrique (Cimaf Gabon) have signed an investment agreement for the construction of a third cement production line. The US$41.1m project will increase Cimaf Gabon's cement production capacity by 1Mt/yr to 1.85Mt/yr.

Cimaf Gabon also holds a permit to exploit a major limestone deposit around Ntoum and will build a clinker production unit in the area, requiring more than US$148m in investment.

Cimaf Gabon’s general director Janah Idrissi El Mehdi said “This plant, located a stone's throw from Ntoum in the Estuaire province, will bring significant benefits to the entire region, particularly in terms of job creation (1400 in the project phase and 500 in the operational phase). It will contribute to improving the living conditions of the surrounding populations.”

South Africa: Cement producer PPC and independent power producer Yellow Door Energy (YDE) have signed a 24.5MWp solar power purchase agreement. The project will operate under a solar wheeling arrangement, delivering electricity from YDE’s Leeudoringstad solar park to PPC’s Slurry, Dwaalboom, De Hoek and Riebeek operations via the Eskom grid.

YDE will install over 20,000 panels, generating 57.5 million kW in the first year of operation and offsetting 59,800t of CO₂. The project includes a new 43km overhead electrical line connecting the solar park to the Eskom substation.

Nepal: Hetauda Cement Industry will restart production in the first week of April 2025 after completing machinery maintenance, securing raw materials and reaching agreement with employees, according to local news reports. The state-owned plant halted production on 1 October 2024. It has a capacity of 16,000 bags/day.

Acting general manager Nabin Kumar Karna said “It took some time to repair the machinery as it was old and damaged. The machines were installed when the industry was first established in 1977, and replacing them immediately was not possible due to financial constraints. Currently, we have about 100t of coal in stock, and more is expected to arrive starting tomorrow, so the raw material supply is not a major concern.”

Karna said that the electricity issues the company had previously faced had been resolved, and the Nepal Electricity Authority were ‘committed’ to providing a regular electricity supply.

South Korea: Domestic cement sales fell by 25% year-on-year to 4.45Mt in the first two months of 2025, according to the Korea Cement Association. This is reportedly the lowest number recorded for domestic sales in January-February in the past five years. Sales during the same period in 2020–2022 exceeded 6Mt, and in 2023 reached 7.12Mt due to delayed post-Covid construction.

Producers have suspended eight of 35 production lines and may halt two more due to high inventories, which reached 3.4Mt at the end of February 2025, close to 90% of storage capacity.

A Korea Cement Association official said “Unless the construction economy recovers, the management crisis in the cement industry caused by the severe drop in demand will continue for the time being.”

Philippines: The Department of Trade and Industry has imposed a preliminary safeguard measure on cement imports, primarily targeting Vietnam, which supplied 94% of imported cement in 2024.

The measure follows a finding that rising imports between 2019 and 2024 harmed domestic producers. The tariff applies to 40kg bags and will be in place for 200 days while the Philippine Tariff Commission conducts a final investigation. Vietnamese cement exporters have been advised to ‘monitor developments.’

UK: The University of Sheffield, the Sellafield power station, the Nuclear Decommissioning Authority and the UK National Nuclear Laboratory have launched a €1.2m research partnership to explore the use of limestone calcined clay cement (LC3) in nuclear waste encapsulation. The project will study how characteristics and amounts of calcined clays can produce cement encapsulants that support safe and reliable nuclear waste conditioning and disposal at Sellafield.

Head of the Sheffield research team Brant Walkley said “This partnership will enhance our overall programme of work focused on development of new cement technologies for the nuclear sector, and will enable our cross-sector team based at both the University of Sheffield and Sellafield to further strengthen its position as a global leader in cement science and engineering.”