Cement Net Weekly Report: Concrete Market Lacks Incremental Orders, Prices Decline Steadily (9.2-9.6)

2024-09-06 17:22:16

Recently, the price of raw materials has shown an upward trend again, but due to the lack of new orders in the concrete market and the fierce competition among enterprises, the focus of transactions continues to decline steadily. From August 29 to September 4, the national concrete price index closed at 113.17 points, down 0.45% annually and 11.09% year-on-year.

From August 29 to September 4, the national concrete price index closed at 113.17 points, down 0.45% annually and 11.09% year-on-year. From the perspective of different regions, the price of concrete in Xinjiang and Guangdong has been reduced by 10-20 yuan/m3; the price of concrete in Gansu and Hubei has been reduced by 10-15 yuan/m3; the price of concrete in other provinces and cities in China has remained stable.

Figure 1: Trend

of Concrete Price Index in the Past Year Data Source: Cement Big Data (https://data.ccement.com/)

1. From the perspective of regional market conditions

, from August 29 to September 4, The concrete price index of Northwest China and Central South China fell by 1.47% and 1.18% respectively, while the concrete price index of other regions in China remained stable.

Table 1: Comparison

of Concrete Price Indices in Six Regions Data Source: Cement Big Data (https://data.ccement.com/)

The concrete market in different regions is as follows:

All can be viewed after purchase
Correlation

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.