Real estate investment continues to slump, cement prices in Chongqing fell twice in two weeks.

China Cement Network Market Data Center news, according to market feedback, the recent rainy weather in Chongqing, weak market demand and sales, high enterprise inventory pressure. In order to increase the sales volume, the leading enterprises in Chongqing lowered the cement price by 15-30 yuan/ton in the main city and western Chongqing around 10 days, and then continued to lower the cement price by 20 yuan/ton around 18 days, while the rest of the market quotations remained stable for the time being.

Local enterprises said that the recent price reduction was ostensibly due to weather factors, but the root cause was the downturn in real estate, and the market demand has been depressed for a long time.

Data show that in the first half of 2023, investment in real estate development in Chongqing dropped by 21.0% and continued to be in a downturn. This data shows that the real estate market in Chongqing is facing many challenges. However, compared with real estate, Chongqing's infrastructure investment shows a positive trend. Statistics show that in the first half of this year, there were 356 infrastructure projects with more than 1 billion yuan in Chongqing, and the completed investment increased by 17.4% year on year, accounting for 58.5% of infrastructure investment.

In the downturn of the real estate market, the relatively low demand for cement in real estate development has led to the decline of the cement industry, while the steady growth of investment in infrastructure construction is expected to stimulate the recovery of cement demand.

However, the problem of capital is the core of restricting the future demand for cement in Chongqing. Local enterprises said that real estate developers, mixing stations, banks and other related parties, funds have become real houses, houses are not selling well, resulting in serious capital problems, lack of market confidence, restricting the recovery of real estate investment, infrastructure is also facing similar capital problems, in the case of funds in place, there is still demand for cement in the future.