According to market news, recently, cement prices in Kezhou, Kashgar, Tacheng and other places in Xinjiang have loosened and declined. In 2023, the price of cement in Xinjiang has been stable for more than half a year. Why did it decline in the last two months? In this regard, China Cement Network contacted the relevant responsible persons of several local cement enterprises.
According to the feedback from the local industry, in the fourth quarter, some enterprises did not complete the sales tasks in the previous quarters, so they reduced prices to promote sales. At the same time, the poor implementation of peak staggering in some enterprises has disrupted the market, leading to a price war among enterprises, and even the price of cement has dropped by about 100 yuan.
"I thought this year would be a success, but I didn't expect a price war in the last two or three months." A cement enterprise in Kezhou said that due to the poor implementation of peak staggering in an enterprise, a price war began between our enterprises, and the price of cement per ton dropped by 100 yuan. Recently, however, it began to pull back slowly, or before the price war. Industry insiders
in Kashgar said that the decline in cement prices was mainly due to the fact that construction projects have been shut down one after another, demand has decreased, and prices have been lowered in order to increase sales.
"Many projects in Tacheng area have been shut down, basically no demand, the price decline is mainly due to the surrounding large enterprises, the impact of the local market, enterprises to reduce prices to stabilize the market." A person from a cement enterprise in Wusu said that Wusu belongs to the cement price depression in the whole Tacheng area, and the surrounding clinker production capacity is concentrated and many large enterprises are distributed, so the competition is relatively fierce and the price is difficult to be high. Low
inventory, next year's market or will meet a small climax
in the exchange that the above industry is optimistic about the cement market in Xinjiang next year. Mainly due to two aspects, one is that the demand is expected to be good, and the other is that the current inventory is at a low level. The weather in some parts of
Xinjiang has been relatively warm this year, and the late shutdown of many major projects has supported the demand for cement. At the same time, some areas in Xinjiang have begun to shut down kilns since October and November, resulting in low cement clinker stocks.
"This year's cement demand is a little better than last year's, because the temperature is relatively high, there are still cement shipments here, but this time last year has not, so far this year's cement sales have increased by about 18% year-on-year." An industry insider in Kezhou said that the civil market and major projects are continuing, and he is optimistic about the cement market next year. An industry insider
in Kashgar said that since the second half of this year, the demand for cement in Xinjiang has increased significantly, and the sales volume of enterprises has increased slightly year on year. Enterprises have begun to shut down kilns on November 1, but they did not expect that the weather was warm this year, some projects lasted for a long time, and cement stocks gradually decreased. Our side requires production to start on March 15, so if demand does not decrease, cement prices are expected to usher in a small climax due to insufficient inventory.
"Next year, Yili and other major projects will increase, and the factories around our enterprises will be transported outward, when the pressure on the local market will be greatly reduced, and prices will be raised one after another." A business person in Wusu disclosed.
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