Global Cement News

Armenia: The National Statistical Service of Armenia has reported that cement production dropped by 3.5% year-on-year for the first six months of 2013, from 186,300t to 180,000t. Exports doubled in the same period to 92,000t from 46,000t. A crisis in construction in Armenia has been blamed for the fall in production, whilst growth in neighbouring Georgia has been linked with the growth in exports.

"Domestic demand is also low, so we are working at low capacity. We are going to suspend our work shortly as there is no demand for cement in winter," said Naira Martirosyan, CEO of Mika Cement, one of Armenia's leading producers. She added that Mika Cement has not exported cement since 2010 due to growing energy and transportation costs.

In 2011 Armenia was reported to have exported 98,000t compared to 34,000t in 2010. In 2011 a 13.4% drop in construction to some 422,200t was also noted.

Sweden: Cementa is developing a new cement that uses fly ash for sale by 2015. The project is part of the Swedish subsidiary of HeidelbergCement's drive to reduce its carbon emissions by 2030 and to meet the growing environmental requirements of its customers.

"We see this as a natural further step in our vision of zero carbon emissions by 2030," said Fredrik Jansson, Vice President and Marketing Director at Cementa.

Germany: AVIC International Beijing Company (AVIC) has lead an offer to buy KHD Humboldt Wedag International AG in a deal worth US$433m. It hopes to acquire all of the remaining KHD shares by way of a voluntary public takeover offer.

At the same time it has entered into share purchase agreements with numerous sellers to purchase 19.03% of shares in the German cement plant builder. Through its subsidiary, Max Glory Industries, AVIC already owns 20% of KHD, which will bring its total to 39.03%.

"This is a long-term investment for us. A more stable shareholder base will benefit KHD's worldwide employees, customers, suppliers and financing partners and KHD will continue providing environmental friendly and state-of-the-arts products and services," said Mr Diao, president of AVIC Beijing Company.

China: China's State Council, the country's cabinet, has issued a guideline to tackle production overcapacity in several industrial sectors. According to a statement on the Chinese government's website and reporting by the Xinhua News Agency, the guideline targets the cement sector and four other sectors suffering from overcapacity including steel, electrolytic aluminium, sheet glass and shipping.

The move is a key measure for the government to achieve stable growth, restructuring, transformation and an 'upgraded' version of the Chinese economy, according to the 'Guideline to tackle serious production overcapacity'. The guideline will play a key part in current and future efforts to transform the economic growth mode and boost industrial restructuring, according to the statement.

Qatar: FLSmidth has confirmed reports in the Qatari media that it has entered into an agreement with Qatari Investors Group to supply equipment and machinery for a cement plant in Qatar. The Danish cement plant manufacturer provided no further details although it intends to inform the market when a contract is finalised and becomes binding.

According to local media Qatari Investors Group has entered into an agreement with FLSmidth and the CNBM International for a US$190m expansion of its subsidiary, Al Khaliji Cement. The cement plant's second line will double its clinker production capacity to 12,000t/day and its cement production capacity will rise to 14,000t/day.