In 2022, the cement industry will face many severe challenges, such as high cost, intensified contradiction between supply and demand, and continued downturn in the market. The cement output will hit a new low in the past 11 years, with a year-on-year decline of 10.5%. The industry competition and cooperation relationship that has been built for many years will crack, and the total profit of the industry will decline by about 60%. Facing the current industry situation, cement enterprises are seeking to reduce costs, increase efficiency and innovate development.
"Enterprises can benefit from the new mode of transaction, warehousing and logistics warehousing to reduce costs and increase efficiency." Dong Feng, general manager of Qianhai Joint Trading Center, said in an exchange with China Cement Network. In September
2020, Shenzhen Qianhai Administration formally approved the launch of cement trading varieties by Shenzhen Qianhai United Trading Center Co., Ltd. and increased the scope of cement business. Dong Feng said that as a new trading mode, the emergence of spot trading in recent years has brought new changes to the cement industry.
Alleviate the contradiction between cement supply and demand. In China, the seasonal fluctuation of cement demand often causes the seasonal contradiction between supply and demand in the cement industry. However, when the cement industry has serious overcapacity, the contradiction has been temporarily alleviated when the demand of the industry is still acceptable and the profit is better. Now, the industry's prosperity has declined, the demand has declined sharply, and the problem of serious overcapacity has to be paid great attention to by the industry.
In this regard, Dong Feng said that through the certification and network layout of cement delivery warehouses, the social inventory of finished cement products can grow from scratch, which provides a new solution to alleviate the seasonal contradiction between supply and demand of cement. Low-cost
capital enters the production and circulation of cement. In the past two years, the cement cost has shown an upward trend due to the rise in energy prices, the increase in investment in environmental protection, the investment in technological upgrading, mergers and acquisitions and other factors. How to alleviate the liquidity pressure has become the focus of many cement mixing stations and dealers.
Dong Feng said that the application of Internet of Things, blockchain, intelligent identification and other scientific and technological means in the certification warehouse can provide a new path for low-cost bank funds to enter the production and circulation of cement, and the degree of integration of industry and finance can also be improved.
In addition, Dong Feng also mentioned the application of new modes such as bidding transaction, which provides a fair, fair, open, convenient and efficient platform for both buyers and sellers, and helps cement enterprises to balance sunshine compliance and maximize benefits. As a rising "new star", what changes will the
cement spot trading mode bring to the cement industry in the face of the current severe industry situation? On March 15-16, 2023, China Cement Network cordially invited Dong Feng, General Manager of Qianhai United Trading Center, to attend the "2023 China Cement Industry Summit" . At that time, he will discuss in depth the topics related to building a unified market relying on spot exchanges and helping the digital transformation of the cement industry. Let's wait and see.
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