Displaying items by tag: Report
Ukraine: The cost to rebuild Ukraine post-war is projected at US$487bn, according to a report commissioned by the United States Agency for International Development. The report states that to support the reconstruction, Ukraine must produce 15-16Mt/yr of cement for three years, a significant increase from current capacities. Protectionist measures in place since 2019 have restricted cement imports and a decline in production and a shrinking market could lead to an increase in construction costs, according to the Kyiv Independent.
Amid these projections, CRH, which operates three plants in Ukraine, announced in summer 2023 that it aims to purchase two more from Buzzi's subsidiary Dyckerhoff. This deal is valued at €100m, with the company stressing the importance of its investments in Ukrainian cement plants to boost the country’s domestic production to 15Mt/yr, according to Forbes Ukraine. The deal is reportedly under scrutiny by Ukraine's Anti-Monopoly Committee due to market concentration concerns, which could drive up cement prices and overall reconstruction costs.
Serhiy Pylypenko, CEO of the Ukrainian building supplies firm Kovalska, Ukraine’s largest cement user, said “We need more players and to diversify the market instead of making it more compact because the competition is very weak. Market concentration allows uncontrolled pricing and the cost of construction and the cost of recovery to skyrocket."
Barbados: Trinidad Cement, owners of Arawak Cement Company, noted a decline in the Barbados cement market in 2023, according to its annual report.
Managing director Francisco Aguilera Mendoza said "In Barbados, the overall market declined by 14.3%, of which Arawak Cement Company experienced a decline of 8.8% in domestic cement volumes compared to 2022. Trinidad and Tobago’s cement export volume fell by almost 11% when compared to 2022, due to supply chain constraints and an increase in the local market demand. This drop in cement exports was almost fully compensated by our clinker exports to Barbados that started in 2023 after Arawak Cement’s change in its operating model.”
Kenya: Cemtech, a subsidiary of Devki Group, has submitted an Environmental Impact Assessment report to the National Environment Management Authority for a new clinker plant in Kitui County. The company aims to receive approval from the Kenyan government to establish the plant, according to the Business Daily newspaper. The company says that the plant will boost local cement production and increase employment opportunities.
Global Cement and Concrete Association publishes Cement Industry Net Progress Report 2023
04 December 2023World: The Global Cement and Concrete Association (GCCA) has published its Cement Industry Net Progress Report 2023. The report highlights the work of the GCCA and its members to lower their CO₂ emissions since signing the 2050 Net Zero Roadmap in October 2021. Initiatives include carbon capture and storage, renewables and alternative materials. These strategies have contributed to a 23% decline in cement and concrete’s CO2 emissions between 1990 and 2023.
GCCA president and Cemex chief executive officer Fernando González said “We are pleased to present this report, which captures the progress our industry is making towards net zero. But it will take the combined efforts of industry, governments and societies around the world to deliver on this commitment.” He added “This is the decade to deliver, and my number one priority is to facilitate the GCCA roadmap levers, designed to make full decarbonisation of our industry possible.”
The Cement Industry Net Progress Report 2023 is available here on the GCCA’s website.
FLSmidth raises sales in first half of 2023
15 August 2023Denmark: FLSmidth’s sales were US$1.82bn during the first half of 2023, up by 28% year-on-year from US$1.43bn in the first half of 2022. Its earnings before interest, taxation and amortisation (EBITA) fell by 7%, to US$83.1m from US$89.3m. The supplier recorded a new order intake worth US$1.64m, down by 14% from US$1.9m. New cement orders fell by 33% amid reduced demand, especially for FLSmidth’s product offering. In line with its de-risking strategy, FLSmidth continued to accept only those product orders that also supported its service business. The company maintained its guidance of cement sales of US$879m and an EBITA margin of 5.5 – 6.5% for the full-year 2023.
CEO Mikko Keto said “We have maintained the strong momentum on our key transformation efforts during the second quarter of 2023. While we have continued to progress on our MissionZero agenda, our safety performance has been unsatisfactory and mitigating actions have been taken.” Keto continued “While our cement business remains on target for the full year, its short-to-mid-term market outlook has deteriorated. Consequently, continued organisational rightsizing is required to preserve profitability. Going into the second half of the year we remain positive, with a continued strong focus on executing our core transformation efforts.”
Italy: Buzzi Unicem reduced its specific gross scope 1 CO2 emissions by 4% year-on-year to 664kg/t cementitious product in 2022 from 689kg/t in 2021. As part of its Sustainability Report for 2022 it revealed that specific CO2 emissions varied from a low of 500kg/t in Luxembourg to a high of 812kg/t in Ukraine. Its specific thermal consumption fell slightly to 4084MJ/t clinker and its thermal substitution rate was 29.9%.
The company’s Lost Time Injury Frequency Rate (LITFR) was 4.9 and two fatalities were reported. It also noted that six employees – five Ukrainian and one Russian – died as a result of the war between Ukraine and Russia that started in February 2022. In addition, six staff were wounded, one taken prisoner and two were reported missing from its Ukrainian workforce.
The building materials producer noted that it had met some of its five-year sustainability targets set in 2017, including a 5% reduction in specific CO2 emissions, the implementation of structural engagement projects at all of its production sites with a high economic, environmental and social impact and the achievement of increasingly safe working conditions.
Titan Cement Group publishes 2022 Integrated Report
06 April 2023Greece: Titan Cement Group published its 2022 Integrated Report on 6 April 2023. The report outlines the cement producer’s financial and environmental, social and governance (ESG) performance. For the full year, the group recorded a net profit of Euro110m, up by 19.3% year-on-year. It made ‘record’ capital expenditure investments of Euro242m, and increased its net debt by 12% to Euro797m.
The group says that it is ‘on track’ to meet its ESG targets for 2025 and beyond. It reduced its specific CO2 emissions by 5% decade-on-decade in 2022. Throughout the year, Titan Cement Group continued its investments in research, development and innovation activities across all markets, with an increased focus on carbon capture, storage and utilisation. It also rolled out its digital transformation to further plants around the globe.
India: UltraTech Cement sold 106Mt of cement during the 2023 financial year, which ended on 31 March 2023. This corresponds to a 12% year-on-year rise from 94Mt in the 2022 financial year. The producer sold 30Mt of cement during the fourth quarter of the financial year, up by 14% year-on-year from 28Mt.
The Hindu newspaper has reported that UltraTech Cement ended the financial year with a cement production capacity of 134Mt/yr, including 2Mt/yr-worth of white cement capacity. It also operates three wall putty plants.
Cemex publishes Integrated Report 2022
28 March 2023Mexico: Cemex has reviewed its global sustainability and financial performance during 2022 in its Integrated Report 2022. During the year, the group reduced its specific CO2 emissions by 9% from 2020 levels and by 30% from 1990 levels. It achieved a target of US$1bn-worth of investment in strategic projects over a period begun in 2020. Projects included the execution of water optimisation plans at 20% of Cemex sites in high-water stress areas. Cemex co-processed 27Mt of waste as alternative fuel (AF) in its global cement production - 67 times greater than its own non-recyclable waste footprint - and achieved an AF substitution rate of 35%. Meanwhile, the group also reduced its cement's clinker factor to 74%. Its Vertua reduced-CO2 concrete range accounted for 33% of its concrete sales. During the year, Cemex launched the world's first net zero, fully electric heavy concrete mixer truck.
In 2022, Cemex recorded sales of US$15.6bn, down by 12% year-on-year, and reduced its debt to US$408m.
US increases cement production amid consumption boom in 2022
07 February 2023US: US cement companies produced 95Mt of cement in 2022, up by 2.2% year-on-year from 93Mt in 2021, according to the United States Geological Survey (USGS). The country exported 900,000t of cement and clinker, down by 4.3% from 940,000t. The USGS recorded a 9.1% leap in apparent national consumption, to 120Mt from 110Mt. Cement imports helped to close the gap, rising by 20% year-on-year to 24Mt from 19.9Mt.
Among the US's main trade partners for cement imports, cement production fluctuated in 2022. Turkish cement production rose by 3.7% year-on-year to 85Mt, Mexican cement production fell by 3.8% year-on-year to 50Mt and Vietnamese cement production rose by 9.1% year-on-year to 120Mt. Globally, the USGS estimated a year-on-year cement production decline of 6.8% to 4.1Bnt.