China Cement Net: Most Cement Enterprises Lose Money in 2022! When will the depressed cement industry in Hunan recover?

2023-02-17 09:45:36

The depressed market atmosphere continues to spread, even though the price of cement in Changsha-Zhuzhou-Xiangtan area has been raised recently, but this does not seem to bring more confidence to local cement enterprises.

According to China Cement Network Market Center, the price of cement in Changsha-Zhuzhou-Xiangtan area of Hunan Province is generally low at present. In order to improve the profit, the leading enterprises in Changsha-Zhuzhou-Xiangtan area notified to raise the price of P.O42.5 bulk cement by 20-30 yuan/ton from 11th to 12th. Is the "bleak demand" repeatedly mentioned in the

2022 survey the past tense of Hunan? Can price increase bring confidence to the local cement market?

"The price increase has not been fully implemented." A person in charge of the production of a cement enterprise in Changsha said that the demand for cement in Hunan has not yet recovered significantly, and the purpose of the price increase is more to promote stability. The person in charge of another cement enterprise

in Changsha also expressed a similar view, "This price increase has not been implemented by many enterprises, and the purpose of testing the market is too much." The

past 2022 has been a particularly difficult year for most cement enterprises in Hunan. The continued decline in demand and prices, combined with high coal prices, has made many enterprises face losses.

"In 2022, almost all the cement enterprises in Hunan lost money, only a few of them made money. Our sales volume did not decline much, but the price fell too much." "In 2022, most enterprises are losing money, and our enterprises are only in a state of break-even, mainly because the price has fallen too sharply." Many cement enterprises in Hunan reported to China Cement Network. How low is the price of

cement? According to the Hunan cement price trend tracked by China Cement Network for a long time, after the beginning of 2022, the cement price in Hunan has been declining all the way. Although it rose in September and October, the annual cement price trend is still not optimistic. On the

demand side, the Department of Commerce of Hunan Province has pointed out that the cement industry as a whole is still in a weak state, and although the industry's prosperity has recovered in the peak season of 2022, it is still not as good as in previous years. Real estate accounts for more than half of the cement demand, the current cement market demand is mainly driven by infrastructure, the downturn in real estate investment has not improved significantly, and the full recovery of cement market demand still needs time. The

depressed market atmosphere continues to spread, even though the price of cement in Changsha-Zhuzhou-Xiangtan area has been raised recently, but this does not seem to bring more confidence to local cement enterprises.

"This year's situation is not clear, and it is impossible to predict the subsequent development." "Don't count on it in the first half of the year, just see if it can be better in the second half." From the feedback of cement enterprises, most of them are pessimistic about the Hunan cement market in 2023. "This year, the demand for cement in Changsha-Zhuzhou-Xiangtan area of Hunan is expected to recover, but there are too many factors affecting the price of cement, and the situation is not optimistic." Local cement companies said.

However, the demand for cement, which has been "cold" for a year, has recently received good news. On January 29, Changsha held a centralized start-up of major projects, with 340 major projects in the city, with a total planned investment of 195.1 billion yuan and an annual planned investment of 64 billion yuan. Compared with the same period in 2022, the number of centralized start-up projects increased by 74, and the annual planned investment increased by 13.4 billion yuan, 28% and 26% respectively. The rapid start of key projects after the

the Spring Festival has also brought benefits to cement demand and boosted market confidence to a certain extent.

Attention: China Cement Network will hold " 2023 China Cement Industry Summit and TOP100 Award Ceremony " in Hangzhou on March 15-16, when the national cement and related industry colleagues will gather together to discuss the future trend of the cement market, please pay attention.

All can be viewed after purchase
Correlation

The depressed market atmosphere continues to spread, even though the price of cement in Changsha-Zhuzhou-Xiangtan area has been raised recently, but this does not seem to bring more confidence to local cement enterprises.

2023-02-17 09:45:36

The title is "Cement and Clinker Inventory Statistics". The statistics include the data of storage location (%), year-on-year storage location (percentage point) and month-on-month storage location (percentage point) of clinker and cement in different regions of the country on July 25. In terms of clinker, the data of different regions are different. The change value of year-on-year storage location in East China is considerable, and the change value of month-on-month storage location in Northeast China is relatively obvious. In terms of cement, the change value of year-on-year storage location in Southwest China is more prominent, and the change value of month-on-month storage location in Central and South China is relatively small.