The price is the lowest in nearly 5 years! In 2023, the ability of Zhejiang cement enterprises to "absorb money" declined sharply!

is coming to an end, is not a very pleasant year for most cement enterprises.

Even Zhejiang Province, one of the provinces with the strongest demand for cement in East China, is facing many challenges in 2023. From the "unoptimistic and unpredictable" at the beginning of the year to the "serious price decline and profit decline" at the end of the year, Zhejiang Province did not seem to usher in a reversal of the obvious recovery of the market this year.

"The annual sales target is about 94%, but the profit target is only 66%." A large cement grinding enterprise in Ningbo said.

According to the actual survey, most cement enterprises in Zhejiang are facing the situation of "sales volume is the same as last year, but profits are declining seriously". "Recently, the weather has cooled down seriously, and the shipment volume is about half of the peak period. This year's sales target has been completed, but in terms of profits, it can only be regarded as break-even." The production manager of a large grinding station in Huzhou spoke frankly.

"This year's sales are similar to last year's, but the company is losing money because we don't have a mine." Sales director of a cement clinker production base said.

Volume is stable, but profits have fallen sharply, mainly due to the low price of cement!

From the K-line chart of Zhejiang cement price tracked by China Cement Network, we can see that although Zhejiang cement price has risen slightly for many times since September, it can not make up for the overall decline trend this year. The current cement price is still the lowest level in the past five years.

"Zhejiang is in such a situation, not to mention other provinces." An industry insider said that from the analysis of cement supply and demand in Zhejiang region, Zhejiang's cement production capacity is not excessive, is a typical "cement import" province, but still did not escape the downward trend of the cement market. The situation of those regions with serious overcapacity of cement can be imagined.

"The situation is expected to be more severe next year." Under the background of uncertain industry situation, how can cement enterprises better "live a stable life"? "Reducing costs and increasing efficiency and enhancing core competitiveness are the means." In the view of some cement enterprises, the environment is not good, only by doing their own things well, constantly reducing costs and increasing efficiency, can they develop steadily for a long time.

After all, no matter how bad the market is, there are still enterprises that make money, aren't there?