Zhang Zhenkun: After This "Winter", the Price of Cement Will Return to About $100

2024-04-02 10:10:02

But only the surviving enterprises can eat the cake.

With poor

terminal demand and heavy pressure on the cement market, many cement enterprises have proposed to seize market share and stabilize market position as their main objectives, and to stabilize their position in the competitive environment by optimizing the allocation of resources, improving product quality and broadening sales channels. Zhang Zhenkun, CEO of

Asia Cement (China) Holding Company, said in an exchange with China Cement Network at the "Main Forum and TOP100 Award Ceremony of the 13th China Cement Industry Summit in 2024" that the cement industry will be in a difficult period in the next ten years, and 2/3 of the cement enterprises will be eliminated, and only the remaining 1/3 will be able to eat the cake.

With reference to Europe, the United States, Japan and other developed countries, their per capita annual cement consumption is about 500 ~ 700 kg during the period of rapid economic development. It is roughly estimated that China's per capita cement consumption will also be in this range in the future. The national population is 1.4 billion, and the national cement demand is about 700 ~ 1 billion tons. In terms of

price, Zhang Zhenkun said that referring to the price of cement in developed areas , the price of cement will recover to about $100 in the future, but only the surviving enterprises can eat the cake. In the future, the competition between cement enterprises is not only the competition between "quantity", but also the competition between "quality".

Zhang Zhenkun pointed out that only by optimizing product quality and achieving high-quality development can we improve brand value, stand out in the fierce market "fight" and find our own way to survive.

In addition, Zhang Zhenkun predicts that the construction of urban corridors and three-dimensional transportation networks in the first, second and third-tier cities will be an important direction to stimulate cement demand in the future. As a new type of intensive and intelligent urban infrastructure,

urban underground comprehensive pipeline corridor carries various pipelines such as power, communication, gas, heating and water supply, which can greatly save urban land resources, improve the safe operation efficiency of pipelines, and also produce a significant pulling effect on cement demand. On the other hand, the three-dimensional transportation system, covering the construction of subway, tunnel, bridge, elevated road network and other transportation facilities, is also an important engine for the future growth of cement demand.

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Recently, due to the persistent cost pressure in the south, the price of concrete has risen slightly with the raw materials, but the growth of market demand is limited, and the overall quotation is still stable. From October 31 to November 6, the national concrete price index closed at 112.47 points, up 0.31% annually and down 10.11% year-on-year.