In the wind and rain of 2024, the cement industry is like a giant ship, sailing hard in the rough sea. Faced with the continuous shrinkage of demand, the low price and the sharp decline in efficiency, the cement industry has experienced unprecedented challenges this year.
From the sharp decline in production to the fierce competition in the market, from the imbalance between supply and demand to the continuous shrinkage of benefits, every event has a profound impact on the future direction of the industry. Let's use these key words to review the cement industry in 2024. They not only record the hard journey of the industry, but also indicate the dawn of future development.
Keyword One: Anti-Involution
First Mentioned at the Meeting of the Political Bureau of the CPC Central Committee! We should strengthen the mechanism of market survival of the fittest and smooth the exit channels of backward and inefficient production capacity.
The domestic cement industry has responded positively to the call of "anti-involution", and local cement associations in Zhejiang, Jilin, Yunnan, Guangdong, Sichuan, Guizhou, Shaanxi and Shandong have launched initiatives. China Cement Network, as an industry platform, has long taken promoting the healthy and orderly development of the industry as its own responsibility, organized and launched OCC (Yangtze River Cement Enterprise Alliance), and took the lead in firing the first shot of "anti-inwinding anti-dumping" in the cement industry through OCC. On September 9, the "Yangtze River Basin Cement Anti-involution Forum" hosted by OCC was successfully held in Wuhu Conch, and all the cement enterprises along the Yangtze River attended the forum to discuss the new path for the healthy development of the industry.
The meeting put forward three major proposals: 1. Rational understanding of the market situation, to build the cornerstone of healthy and orderly development of the industry; 2. Adjust the balance between production and sales; 3.
Driven by the "anti-involution" of the cement industry, the domestic cement price in the fourth quarter of 2024 is obviously warmer.
The second is to improve the way of capacity verification, cancel the regulation of capacity verification based on the diameter of cement rotary kiln and the daily melting volume of glass, and promote the unification of registered capacity and actual capacity.
The third is to implement regional difference management, and make it clear that new cement clinker production lines located in key areas of national air pollution prevention and control or in provinces where the average capacity utilization rate of cement clinker is less than 50% in the first three years should not be replaced from outside the province in principle.
The fourth is to simplify the procedures for transferring production capacity across regions, and the transfer of production capacity across provinces located in key areas of national air pollution prevention and control or within the same corporate enterprise group may not be reported to the provincial industrial and information authorities for publicity and announcement.
Fifth, we should strengthen coordination with energy efficiency and environmental protection policies, and make it clear that production capacity whose energy efficiency does not meet the requirements of the benchmark level cannot be used for replacement.
The Implementation Measures shall come into force on November 1, 2024.
Keyword 3: New Standard
of Cement The new standard of Portland Cement Clinker will be implemented
on March 15, 2024. The State Administration for Market Regulation (Standardization Administration of the People's Republic of China) approved and issued the national recommended standard of GB/T21372-2024 Portland Cement Clinker, and the implementation date of the standard is October 1, 2024. To replace the GB/T21372-2008 version issued in 2008, compared with the old standard, the new standard adds clinker varieties, clinker strength grades and physical indicators of characteristics, and at the same time adds the limit requirements of harmful components, paying more attention to the impact on people and the environment. The main changes are as follows:
First, the variety of road cement clinker is added. The corresponding technical indexes are required in detail; secondly, two indexes of chloride ion and radioactivity are added; thirdly, the selective indexes of water-soluble chromium (VI), heavy metal content and leachable heavy metal content are added; fourthly, the indexes of insoluble matter and loss on ignition are changed; fifthly, the strength grade of clinker is subdivided; Sixthly, the physical requirements for the characteristics of the sulfate-resistant cement clinker, the medium-heat cement clinker and the low-heat cement clinker are added; and seventhly, the physical property test method is specified more carefully.
Keyword 4: Carbon Market
The Work Plan for the National Carbon Emission Trading Market Covering Cement, Steel and Electrolytic Aluminum Industries (Draft for Comments) was released
on September 9. The official website of the Ministry of Ecology and Environment issued a letter on the public solicitation of opinions on the Work Program of the National Carbon Emission Trading Market Covering Cement, Steel and Electrolytic Aluminum Industries (Draft for Opinions), which clearly stated that the carbon emission quota of the cement industry would start in 2024 and be verified in 2025.
On September 14, the official website of the Ministry of Ecology and Environment issued two documents, namely, "Guidelines for Accounting and Reporting of Greenhouse Gas Emissions from Enterprises in Cement Industry" and "Technical Guidelines for Verification of Greenhouse Gas Emissions from Enterprises in Cement Industry", to clarify the technical details of accounting and verification rules, so far, the scheme of incorporating the cement industry into the carbon emission trading market in 2024 has basically taken shape. However, the core of the regulation is the free quota value of carbon dioxide per ton of clinker in 2024, and the release time has not been determined.
year, many group enterprises in the domestic cement industry have ushered in new high-level changes.". For example, Jiang Yingwu was appointed as the chairman of BBMG Group; Liu Yu was appointed as the chairman of Jidong Cement; Teng Yongjun was appointed as the party secretary and chairman of Shanshui Group; Lei Zhenbin was appointed as the party secretary and chairman of Yufeng Group.
On December 6, the Department of Industry and Information Technology of Jilin Province announced that Siping North Cement had withdrawn from a 2500t/d clinker production line, and Wangqing North Cement had 5666t/d production line. Replace and supplement 1666t/d production capacity. In
2024, the announcement of supplementary production capacity emerged in an endless stream in the cement industry, including: Hangzhou Shanya Southern Cement and Jiande Southern Cement respectively supplemented production capacity of 1000t/d; Fujian Yongding Xingxin Cement supplements 1000t/d production capacity and replaces Jining Shanshui Cement 2000t/d production capacity to complete 6000t/d project; Jixi Sailong Cement supplements 1125t/d production capacity and replaces 2500t/d production capacity of Donga Shanshui Dongchang Cement across provinces.. At present, the cement industry is facing the huge challenge of intensified contradiction between supply and demand and overcapacity. In the future, the cement industry needs to speed up the withdrawal of inefficient production capacity, strictly prohibit new production capacity, and continue to deepen structural adjustment in order to achieve high-quality and green development.
Keyword 7: Overseas Layout
Focuses on Foreign Markets Huaxin Cement's acquisition of about 6.1 billion Nigerian cement enterprises
on the evening of December 1, Huaxin Cement issued an announcement. The final target company of this transaction is the earliest cement enterprise in Nigeria, which has abundant limestone resources and good location advantages, and has considerable potential for technology and management optimization after the merger and acquisition.
In addition, Huaxin Cement's overseas mergers and acquisitions in 2024 also include: 1.
The domestic cement market situation is grim, and cement enterprises have increased their overseas layout.In 2024, the cases of overseas mergers and acquisitions of domestic cement enterprises also include: Tianshan Stock Co., Ltd. plans to be no more than 10.
Keyword 8: Industry Big Data
[Cement Observation] Data Platform Online
In November 2024, Cement Network launched a special column of cement industry production data [Cement Observation]. It is designed to provide comprehensive, timely, accurate and reliable industry production data support for the industry. The column covers the monitoring data of cement kiln operation, storage capacity and shipment rate of cement enterprises, cement output and clinker output, cement output forecast, macroeconomic data, project information, etc., providing key decision-making basis for enterprises in enterprise development, layout strategy, marketing tactics, etc.
In addition, China Cement Network will continue to promote the digital development of the industry on the big data side in 2024. Successfully launched the concrete market and released the global cement price. In addition, as always, the National Top 100 Cement Production Capacity List and its subsidiary list were released. Released the list of global and major national cement production in 2023, China's photovoltaic module production capacity TOP10 in 2023, China's solar cell production capacity TOP10 in 2023, China's cement enterprise carbon emissions TOP100 list, China's aggregate production capacity TOP20 in 2023, Top 10 of China's PV module shipments in 2023, Top 10 of China's total cement clinker sales in 2023, Top 10 of China's silicon production capacity in 2023, Top 30 of China's concrete production capacity in 2023, Top 50 of China's cement sales in 2023, and Top 100 of global cement production capacity (2024).
Keyword 9: Project Cancellation
Several clinker production line projects in the cement industry will no longer be implemented
