"Last year, the cement market in Henan was depressed.". Prices have not gone up since June, and most enterprises are in a state of loss or on the edge of loss. Recently, a person in charge of a cement enterprise in Xinxiang, Henan, said in an interview with China Cement Network.
According to China Cement Network, every year after the Spring Festival, especially after the Lantern Festival, cement prices will usher in a wave of rise.
However, the person in charge of the above-mentioned cement enterprises said that the price of Henan cement has not improved so far, basically maintaining the low price at the end of last year. Henan cement prices have not yet shaken off last year's "cold winter", and now it is still "chilly spring".
Talking about the reasons for the price slump, the person in charge of the cement enterprise believes that insufficient market demand and serious overcapacity are the key.
Last year, due to the repeated strong impact of the epidemic, many construction sites of engineering and real estate projects were closed, cement fell into the dilemma of "no one wants", and demand plummeted.
In addition, China Cement Network recently investigated the cement market in Henan Province and learned that 2022 was the best year for the cement industry in Henan Province to stop kilns at the wrong peak, with nearly 180 days of kiln shutdown in the whole province, an increase of 30 days over 2021. Even so, Henan's cement production capacity is still in a serious state of excess.
For off-peak production, the person in charge of the cement enterprise said that although the average kiln shutdown time in Henan last year was long, there was a big gap between the kiln shutdown time of various enterprises. Some cement enterprises could shut down their kilns for more than 200 days, while some enterprises could shut down their kilns for only 50 or 60 days.
Secondly, the sale of low-priced cement by some grinding stations is also an important reason why the price of Henan cement is difficult to improve. The person in charge of the cement enterprise disclosed that some grinding stations purchased high-standard cement from large cement enterprises for blending, and then sold the blended cement at a low price, which kept the cement at a relatively low price. The person in charge of the
cement enterprise believes that the stability of Henan cement market still depends on peak staggering production , which requires Henan cement enterprises to strengthen communication and do a good job of coordination. If the cement enterprises in Henan Province can not maintain unity, the industry situation will be more severe than in 2022.
Big rivers have no water and small rivers are dry. Some cement enterprises only consider their own interests, regardless of the overall situation, which is the biggest difficulty faced by Henan cement market, "said the head of the cement enterprise." If no consensus can be reached, maybe we can only fight a price war.
In addition, China Cement Network is scheduled to hold the "2023 China Cement Industry Summit and TOP100 Award Ceremony" in Hangzhou, Zhejiang Province, from March 15 to 16, 2023. Deeply discuss the macroeconomic trend and the development direction of cement industry, gather the power of spark, promote the high-quality development of the industry, and create a better future.
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