Global Cement Newsletter

Issue: GCW719 / 23 July 2025

Headlines


Cement consumption data for the first half of 2025 from Russia has been released this week and it is down from 2024. Added to this, Cemros announced earlier in July 2025 that it is preparing to suspend production at its Belgorod cement plant. What can these and other news stories tell us about the state of the Russian cement sector at present?

Graph 1: Cement consumption in Russia, 2019 - H1 2025. Source: Soyuzcement. 

Graph 1: Cement consumption in Russia, 2019 - H1 2025. Source: Soyuzcement.

Figures from Soyuzcement, the Union of Cement Producers, in the local press reports that consumption fell by 8.6% year-on-year to 27.2Mt in the first half of 2025 from 28.4Mt in the same period in 2024. By region the largest declines were noted in the south (-14%), the Urals (-13%) and in Siberia (-11%). Producer Sibcem released some production data for the first half, also this week, and this reflected the national picture, with a 9% fall.

The national situation has been blamed on a suspension of infrastructure projects, a fall in the domestic building sector and mounting imports. Imports rose by 5.8% to 1.9Mt. Notably those trade flows have been coming in from other countries with restricted access to international markets such as Belarus and Iran. A China-based company Jinyu Jidong Cement in the far-eastern Heilongjiang Province also started exporting cement to Russia in July 2025. Unusually though, for these kinds of stories, exports from Russia have also risen. They grew by 9% to 0.5Mt, mainly to Kazakhstan. The general picture fits with Soyuzcement’s updated forecast for the local market from 2025 to 2027. It expects a decline of 6 - 12% in 2025 as a whole, followed by a change of -6% to +1% in 2026 and then the start of a recovery in 2027 under most scenarios.

One reaction to the shrinking market became apparent earlier in July 2025 when Cemros said it was preparing to suspend production at its Belgorod cement plant. The company plans to use the stoppage to assess the market, reduce its operating costs and consider market diversification options. It blamed the decision on a decrease in demand in the domestic market in Russia along with lower profits and higher imports. Back in May 2025, Cemros, the leading Russia-based cement producer, said that it had 18 plants, a total production capacity of 33Mt/yr and a 31% share of the local market. It also reported that it had two mothballed plants: the Savinsky cement plant in Arkhangelsk and the Zhigulovskiye plant in the Samara region. Although, to be fair to Cemros, up until fairly recently it had been spending money on its plants. It resumed clinker production in mid-2024 when it restarted one production line at its Ulyanovsk plant in mid-2024. Then in May 2025 it said it was getting ready to restart the second line at the site too as part of a €8m renovation project. Once back online the unit will have a total production capacity of 0.8Mt/yr. Another recent plant project by Cemros was the upgrade of a kiln at Katavsky Cement that was completed in June 2025. Elsewhere, Kavkazcement was reportedly planning to invest US$224m on equipment upgrades in April 2025 in response to a large rise in production costs in 2024.

The larger problem facing the Russian construction industry and the building material producers that supply it is the ongoing economic fallout from the war in Ukraine. The head of the country’s national bank said at the start of July 2025 that the nation had broadly adapted to economic sanctions and that inflation was slowing down. Growing cement demand since 2021 broadly supports this view. Yet, governor Elvira Nabiullina warned of further market turmoil ahead due to a slowing economy and high labour costs. This spells uncertainty for the cement sector as underlined by Soyuzcement’s gloomy forecasts for 2025 and 2026. In this kind of environment market mergers and acquisitions seem likely but international sanctions may limit the options. One general remedy the government has been advocating for has been the formation of a common commodities exchange for the Eurasian Economic Union that was suggested in late 2024. However, Soyuzcement has been lobbying against the proposal on the grounds of price volatility, increased competition and a reluctance by producers to join it. The cement sector in Russia faces challenging times ahead.


Türkiye: OYAK Group has appointed Murat Yalçıntaş as the General Manager of its Board of Directors. He succeeds Süleyman Savaş Erdem in the post.

Yalçıntaş has worked in a wide variety of business and academic posts. Notable positions include being a member of the board of trustees of Istanbul Commerce University and CEO of BMC Automotive from 2021 to 2024. He holds a PhD in business administration from Istanbul University.


Türkiye: Göltaş Çimento has appointed Gökhan Yener as Cement Production Chief. Yener previously worked as a Cement Production Chief for Çimentaş Group. Before this he held production engineering roles with OYAK Cimento and Limak Cement. He is a graduate in chemical engineering from İnönü University in Malatya.


Australia: US-based Martin Engineering has appointed Darren Gilbert as the managing director of its business in Australia. During his 30-year career, Gilbert has worked for companies in Australia, China and Germany including Rema Tip Top, VLI and Continental. He has led corporate divisions in China and India, mainly focusing on selling conveyor components and establishing service teams.


Australia: Tana Australia has appointed Al Garcia as Country & Sales Director. He will take up the position from 28 July 2025. Garcia brings over 30 years of experience in the heavy equipment industry.


Kenya: Ndovu Cement, owned by Karsan Ramji & Sons, will build a 600t/day greenfield clinker plant and a limestone quarry in Mukawa, Kajiado County, according to regulatory filings. The project has already secured approval from the National Environment Management Authority. The company said the limestone quarry will ensure a reliable supply of 900t/day of limestone.

The facility is expected to reduce reliance on imports following a 17.5% levy on clinker imports introduced in July 2023, according to the Business Daily Africa newspaper. The measure was aimed at boosting local production and creating jobs, but has since led to a drop in cement consumption due to price increases and a fall in imports. Kenya-based cement producers had reportedly opposed an attempt to increase import duty on clinker, instead requesting a grace period of four years, until 2026, to allow them to build their own clinker production facilities.

Karsan began as a quarry operator in Kitengela, Kilifi and Nakuru, before beginning cement production in 2015 and launching Ndovu Cement in June 2015.


Germany: Holcim, E.ON Energy Infrastructure Solutions and Orcan Energy have launched a large-scale waste heat recovery project at Holcim’s Dotternhausen cement plant to capture 10MW of unused heat from kiln exhaust gases. The recovered heat will supply internal processes, potential district heating networks and power generation via Orcan Energy’s eP1000 Organic Rankine Cycle (ORC) system. E.ON is responsible for the planning, construction, financing operation and maintenance of the plant as part of an Energy-as-a-Service model. This is intended to present no initial investment costs for Holcim.

Holcim South Germany plant manager Dieter Schillo said “This project marks an important milestone on our path to decarbonising cement production. The smart use of industrial waste heat not only reduces our Scope 2 emissions, but also strengthens our role as a pioneer in sustainable building materials.”


Mexico/US: Grupo Cementos Chihuahua (GCC) reported that sales in the US were up by 8% year-on-year in the second quarter of 2025 (April – June 2025), due to higher ready-mix concrete and cement volumes of 21% and 4% respectively. In Mexico, which represents 25% of consolidated net sales, it recorded a 13% decrease in ready-mix concrete volumes and a 6% decrease in cement volumes, impacted by an industrial slowdown and negative currency exchange effects.

The company recorded a fall in earnings before interest, taxation, depreciation and amortisation (EBITDA) of 12% to US$118m, while sales rose 1% to US$364m. Net income fell by 18% to US$73.5m from US$89.6m in the second quarter of 2024.


Taiwan: The Customs Administration has imposed five-year anti-dumping duties on Portland cement and clinker imported from Vietnam, according to the Taipei Times. Cement imported from Long Son and affiliate Long Son Industrials faces a 14% tariff, Thang Long Cement will be taxed at 19%, while Vissai Ninh Binh, Xuan Thanh Cement and Vicem Ha Tien Cement will be subject to a 15% rate. All other Vietnam-based producers and exporters will be taxed at 23%.

The Ministry of Finance and Ministry of Economic Affairs confirmed that companies had dumped cement and ‘caused substantial harm’ to local producers in a statement. The Ministry also found no sufficient evidence that the duties would have a markedly negative effect on Vietnam’s ‘overall economic situation.’

An investigation into dumping of cement from Vietnam began in August 2024 after the Taiwan Cement Industry Association applied for anti-dumping duties, citing suspected dumping and harm to domestic industries.


Malaysia: Cahya Mata Sarawak subsidiary Cahya Mata Cement has awarded a US$159m contract to Sinoma Industry Engineering Malaysia to build a new 6000t/day clinker line at its Mambong integrated plant in Kuching. The company said the project will raise annual clinker capacity from 0.9Mt to 1.9Mt, improving cost efficiency and eliminating future clinker imports. Construction will begin in August 2025, with clinker production starting by April 2027 and full commissioning by June 2027.

Group managing director Datuk Seri Sulaiman Abdul Rahman Taib said “Mambong Clinker Line 2 is a key step in strengthening Sarawak’s cement supply chain, boosting capacity, reducing import reliance and ensuring future demand reliability.”

The new line will include a 6MW waste heat recovery system and an advanced dust filtration system, while incorporating ‘locally-sourced’ alternative raw materials and fuels to reduce emissions. The company said the project will create up to 500 jobs at peak construction.


India: UltraTech Cement recorded consolidated net sales of US$2.4bn in the first quarter of the 2026 financial year, up from US$2.09bn in the corresponding period of 2024. Profit before interest, depreciation and tax rose by 44% year-on-year to US$531m, while profit after tax grew by 49% year-on-year to US$257m.

Sales volumes rose by 10% to 36.8Mt following the acquisitions of The India Cements and the cement business of Kesoram Industries. The producer added 3.5Mt/yr of grey cement capacity and commissioned 12MW of waste heat recovery (WHR) during the quarter, raising total grey cement capacity to 192Mt/yr and WHR capacity to 363MW. Renewable energy now accounts for 39.5% of UltraTech’s energy mix.


Nigeria: Lafarge Africa reported a 70% year-on-year rise in net sales to US$176m in the second quarter of 2025, driven by higher volumes supported by improved plant stability.

Operating profit grew by 153% year-on-year in the second quarter, with first-half growth at 144%, attributed to topline growth and operational efficiencies. Profit after tax rose by 248% year-on-year to US$55m in the quarter and by 352% in the first half of 2025, strengthened by the stability of the Naira, following heavy losses due to the currency depreciating in 2024.

CEO Lolu Alade-Akinyemi said “Following our impressive first-quarter results, second-quarter performance further showcases the strength of our team, market positioning, operational efficiency, cost management and dedication to value creation. We achieved excellent financial results in the second quarter of 2025, with net sales growth of 70%, operating profit up 153%, and profit after tax up by 248% year-on-year. With this strong result, we closed the first half of 2025 with sales and operating profit growth of 75% and 144% respectively; driven by volume growth, operational excellence, innovative product offerings and our proactive market Initiatives.”


Spain: Cement consumption rose by 6.5% year-on-year to 7.8Mt in the first six months of 2025, according to the latest data from Oficemen. In June 2025, consumption grew by 14% year-on-year to 1.44Mt. Rolling year consumption between July 2024 and June 2025 reached 15.4Mt, up by 8%. Cement and clinker exports fell by 0.4% in June 2025 to 0.41Mt. Year-to-date exports declined by 5% to 2.31Mt, and rolling year exports dropped by 2% year-on-year to 4.8Mt.

Oficemen general manager Aniceto Zaragoza said “Average daily consumption in June 2025, which only includes weekdays, was somewhat more moderate, with an 8.5% increase. This ‘calendar effect’ is due to the fact that June 2024 had more holidays, with five full weekends coinciding during the month.”

Zaragoza added “Cement consumption has been the most positive trend of the last five years analysed, a trend we expect to continue in the second half of 2025. This growth is also in line with the data on tenders and construction permits for new construction, which have grown by 26% through May 2025 and 9% through April 2025, respectively.”


Kyrgyzstan: Imports of Portland cement from China in June 2025 rose 378% year-on-year to 4000t, according to China’s General Administration of Customs. The rise follows a May 2025 delivery of 2000t, after 18 months of negligible or no imports.


Germany: CI4C has installed the final modular component of its carbon purification unit (CPU) at the Schwenk Zement plant in Mergelstetten. The unit is 31m long with a cross-section of 5 x 5m, installed using a tandem lift.

The unit completes major construction work at the CO₂ capture pilot project. The CPU will clean and liquefy CO₂-rich exhaust gas from the oxyfuel kiln and processes it to food-grade quality, enabling its reuse in purified form. Final mechanical and electrical works are underway ahead of commissioning in late summer 2025.

European cement producers Buzzi, Dyckerhoff, Heidelberg Materials, Schwenk Zement and Vicat established CI4C in 2019 to implement the catch4climate initiative. The 450t/day clinker line and CPU have been purpose-built at the plant, which has received investment of over €120m, and will be used solely for research and development.


India: JK Cement reported a strong performance for the first quarter of the 2026 financial year, with consolidated net profit up by 76% year-on-year to US$37.6m, from US$21.4m in the same quarter in 2025. Sales rose by 19% to US$388.4m, from US$325.3m. Operating profit also grew, with earnings before interest, taxation, depreciation and amortisation (EBITDA) up by 41% to US$79.7m, from US$56.3m.

The producer attributed the rise to volume growth in the grey cement segment and higher realisations in Central India and Bihar. It also recorded an 8% growth in white cement sales.

JK Cement said construction of its 4Mt/yr grey clinker unit at Panna is 76% complete. It is also developing 3Mt/yr of cement capacity across Panna, Hamirpur and Prayagraj—1Mt/yr at each site—with construction in advanced stages. A 3Mt/yr split grinding unit in Bihar is due for commissioning by December 2025. As of June 2025, the company spent US$165.6m on clinker and cement projects and US$32.9m on the Bihar unit.

It also completed the acquisition of a 60% stake in a cement and clinker unit in Jammu & Kashmir for US$17.4m in June 2025. The acquisition added 0.42Mt/yr of cement and 0.26Mt/yr of clinker capacity.


Russia: Sibcem’s five cement plants produced 2.2Mt of cement in the first half of 2025, down by 9% year-on-year.

Topkinsky Plant’s output dropped by 12% to 0.89Mt, Iskitimcement’s fell by 15% to 0.53Mt, Krasnoyarsk Cement’s fell by 5% to 0.3Mt and TimlyuiCement’s fell by 7% to 0.18Mt. Angarskcement grew production by 3% to 0.33Mt.

First vice president of Sibcem Gennady Rasskazov said “According to our calculations, in January – June of 2025, the volume of cement consumption in Siberia (within its previous borders – taking into account Buryatia and Transbaikalia) amounted to 2.8Mt, which is 10% lower than the level of the first six months of 2024. At the same time, the situation in different regions is different. For example, in Buryatia, demand increased by 8% in the first half of the year, while in Khakassia it decreased by 28%. A significant decline was also recorded in one of the most 'capacious' markets of the Siberian Federal District: cement consumption in the Novosibirsk Region decreased by 15%.”

He added “In the future, negative trends will intensify: so far, we do not see any prerequisites that allow us to talk about an imminent recovery in demand.”


Japan: Cement producers used 21.9Mt of post-consumer materials and by-products in the 2024 financial year, down by 3% year-on-year, marking the third consecutive annual decline, according to the Japan Cement Association.

Coal ash and blast furnace slag, which together make up over 50% of the total, both declined, although post-consumer plastics increased for a fourth consecutive year.

Cement production, including clinker for export, also fell by 3% to 45.7Mt. The amount of byproducts used per tonne of cement dropped from 480kg in 2023 to 478kg, but remained above 400kg for the 21st year in a row.


Rwanda: The government signed a 15-year industrial quarry licence agreement with cement producer Cimerwa on 17 July 2025, paving the way for a US$190m investment in a clinker plant in Musanze District, according to The New Times newspaper. The agreement aims to reduce cement imports, create jobs and support Rwanda’s infrastructure development through sustainable quarrying practices, according to a statement by the Rwanda Development Board.

Cement imports rose by 42% year-on-year to US$94m in 2024 from US$64m previously, according to data from the Ministry of Trade and Industry. On 16 July 2025, the Cabinet approved new mineral, quarry and exploration licences to boost mining in the country.


Türkiye: Akros Çimento has submitted a new environmental impact assessment (EIA) application for a 2.5Mt/yr cement plant in Burcun Village, Yenişehir district, Bursa. The facility will reportedly produce CEM I, CEM II and CEM IV Type 2 SDC cements. A previous proposal to build a cement plant on the site was cancelled by court order in 2008.

The plant will be built on 466,000m² of forest land, with 71,000m² allocated for the plant. It will use coal and industrial waste as fuel and draw water from underground sources.

Its proximity to Gemlik Port, 30km away, will support exports, with remaining output serving nearby provinces including Bursa, Balıkesir, Yalova, İzmit and Istanbul.

However, Natural Life Conservation Society (DOĞADER) president Murat Demir is protesting the plant’s construction. He said to the Bursa Hakimiyet newspaper “They will most likely receive approval, because it's very easy to get an EIA in Turkey. If the approval decision is made, we will object.”

He added “Bursa has polluted water, polluted air and polluted soil. Laws and regulations are no longer based on protecting nature, but on exploiting it. We will be filing a lawsuit against this because it will create a polluting and destructive pressure on Bursa's natural structure, especially our forests, agricultural lands, and water resources.”


India: JSW Cement has launched CHD Waterguard, a water-repellent slag-based cement designed for the high-moisture conditions of southern India. The product uses ‘Turbo Gel’ Technology, which the company says ensures a polymer-enriched ‘hydration matrix’ for improved workability and compressive strength.

CEO Nilesh Narwekar said “The tropical climate of Southern India, with its intense humidity, coastal salt air and heavy monsoons, compromises the longevity of concrete structures. With CHD Waterguard, we’re offering a specialised solution that actively protects homes from seepage, dampness, salt corrosion and moisture-related damage.”


Fiji: Fijian Holdings subsidiary Pacific Cement (PCL) has resumed cement production following the completion of commissioning works on its repaired mill, according to the Fiji Times. Fijian Holdings deputy chair Sakiusa Raivoce said supply of bulk and bagged cement had normalised.

Production had halted in March 2025 due to a mill breakdown. Raivoce said PCL is now fast-tracking an upgrade of the existing mill to reduce future risks and improve reliability. Persistent failures in recent years had resulted in a reliance on cement imports to satisfy local demand.


Argentina: The La Metropolitana recycling plant in Donovan despatched 14.1t of end-of-life tyres for industrial co-processing at Cementos Avellaneda’s La Calera plant. The facility uses the tyres as an energy source under a circular economy model. The initiative is promoted by the Ministry of Environment and Sustainable Development to support environmental protection and proper waste management.


Philippines: Taiheiyo Cement Philippines (TCPI) has said it is on track to open its US$64.9m cement terminal in Calaca, Batangas by early 2026. The facility will produce 0.7Mt/yr of blended cement, increasing the company’s total capacity to 4Mt/yr.

The new terminal forms part of the company’s multi-phase investment programme. TCPI plans to expand its production capacity to 5Mt/yr by 2030, while securing a 10% market share. The Department of Trade and Industry confirmed in a statement that manufacturing will begin in the second quarter of 2026.


Jamaica: Caribbean Cement Company expects to increase output by 0.15Mt in 2026, according to the Jamaican Gleaner newspaper. Managing director Jorge Martinez said that only one month into the US$42m upgrade at the company’s Rockfort plant in Kingston, daily clinker production had already exceeded expectations. The upgrade targeted a rise in production capacity from 1Mt/yr to 1.3Mt/yr. The company also plans to export 28,000t of cement to Caribbean markets from August 2025, subject to demand. Martinez said the company sees no need to import cement currently.

Production fell in 2024 due to a two-month kiln shutdown for installation works, with domestic sales dropping to 0.95Mt from 1Mt.


Oman: Raysut Cement reported a consolidated net loss of US$7.5m for the first half of 2025, up from US$3.9m year-on-year, despite a 31% rise in group revenue to US$108m in the six months to 30 June 2025. The increase was reportedly driven by improved sales in domestic and export markets, including Yemen, the Maldives and East Africa.

A new board, appointed in March 2025, has launched a five-point restructuring plan to restore profitability by 2026, addressing debt, streamlining operations and improving efficiency. The company continues to face regional overcapacity, currency risks and competition from Asian producers.


Australia: Boral’s Berrima Cement Works celebrated a milestone of using more than 100,000t of alternative fuels in cement manufacturing at its facility during the 2025 financial year, according to a post by the producer on Linkedin. The facility displaced over 80,000t of coal. The fuels included high-biomass waste and tyres, which were diverted from landfill.

Boral said that it has achieved over 30% thermal energy substitution in the plant’s kiln, with successful trials reaching 45%. With recent upgrades such as the chlorine bypass and further infrastructure investment, the company targets 60% substitution in coming years.