Weekly Report of Cement Net: In the traditional off-season of demand in central and southern China, it is difficult for concrete prices to rise (7.01-7.05)

2024-07-05 16:01:37

Traditional demand off-season, concrete prices difficult to rise..

China Cement Net Market Data Center News: In the off-season of traditional demand, it is difficult for the price of concrete to rise.. (More prices of commercial concrete in central and southern China)

Guangdong and Guangxi: In July, the rainfall in Guangdong and Guangxi decreased slightly compared with the previous period. Some projects began to resume construction, but the recovery of end market demand was limited. In terms of price, at present, the quotation of concrete enterprises in Guangdong and Guangxi is basically stable. Driven by the rising price of raw material cement in Guangdong, the production cost of concrete enterprises has increased, and there is room for price increase or about 10 yuan/ton, but the market has not yet been reflected in a large area. At present, the mainstream level of C30 non-pumping in Guangzhou is maintained at about 380-400 yuan/ton.

Two lakes area: Recently, some areas in Hunan have been hit by heavy rainfall, which has seriously affected the local concrete production, resulting in some mixing stations having to temporarily suspend work. However, as the weather turned sunny in the past two days, the shipment of concrete began to show signs of recovery. At present, the mainstream market price of C30 non-pumping tax in Hunan is maintained at about 310-360 yuan per square meter. In the subsequent period of sunny, hot, high temperature and less rainfall in most areas of Hunan, the concrete shipment volume has increased, but the growth rate will be relatively limited, and the concrete market may be weak in the short term. Hubei area is affected by rainfall in a large area, the concrete sales of mixing stations are generally reduced, and some regional sales even appear to be basically stagnant. However, as the weather gradually clears up, concrete sales are expected to increase. The demand performance of the terminal market

in Henan is general, the cement prices of most enterprises have fallen back to the level at the beginning of the year, the concrete market has not improved, and most of the prices are temporarily stable.

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On November 21, the Western Construction (002302) issued a prospectus for issuing stocks to specific targets in 2021. The company plans to introduce Conch Cement as a strategic investor through this issue, and Conch Cement will subscribe for 183 million shares, accounting for 12.48% of the total equity after the issue, becoming the second largest shareholder. The purpose of this issue is to optimize the capital structure, supplement liquidity and repay bank loans, which is expected to bring the company an annual increase of 8.85 billion yuan in operating income and a total profit of 708 million yuan, up 38.71% and 78.23% respectively from 2023.