Recently, Fujian Province issued the latest arrangement for the peak staggering production of the cement industry in 2024.
The author has noticed a different requirement from the usual peak staggering document. According to the document, the amount of cement clinker entering Fujian outside the province during the peak staggering period must be controlled by 50% of the normal year, and the amount of each brand entering Fujian will be counted by Conch Cement . Report to Fujian Building Materials Industry Association before the 10th of each month, and the Secretariat, together with the regional leaders, will find the Maritime Bureau and other departments for verification.
According to the Big Data Research Institute of China Cement Network, Fujian Province produced 14.8527 million tons of cement in the first quarter of 2024, down 30.84% from the same period last year, which is one of the provinces and cities with the largest decline in the country.
It is worth noting that there are about 15 million tons of foreign cement in Fujian Province every year, of which 12 million tons are conch cement, accounting for about 15% of the province's market share, which has a huge impact on the cement supply market in Fujian Province.
Peak-staggering production is the main method to improve the contradiction between supply and demand in the current cement industry, but due to the current market environment, the cross-regional liquidity of cement is enhanced. If foreign cement is imported in large quantities during the peak staggering period of Fujian cement enterprises, it will have a huge impact on the price of cement in the province .
From this point of view, the new policy of peak staggering in Fujian shows a preliminary normative intention for the limitation of cement entering Fujian during the period of peak staggering, but in my opinion, there are still places worth discussing.
The primary problem is that it is difficult to directly restrict enterprises in other provinces by a single paper document, and how to achieve a clear quantity control of cement enterprises in Fujian?
Secondly , Conch Cement, as the major part of Fujian Cement, counts the number of brands entering Fujian, how to ensure its fairness and transparency?
Finally , if foreign cement suddenly increases inventory on the eve of peak staggering and releases shocks to the market during peak staggering, will the document not exist in name only?
Generally speaking, in the face of the current situation of declining demand and sluggish market, Fujian's new measures of peak staggering are a positive attempt to alleviate the competitive pressure of local cement enterprises, but the complexity of implementation and the actual effect still need to be carefully considered. At a time when the
industry is facing severe challenges, it is of immeasurable strategic significance and practical utility to actively promote the upgrading of large-scale production equipment and actively promote the energy-saving technological innovation and environmental protection upgrading and transformation of the cement industry, so as to enhance the core competitiveness of cement enterprises and realize the grand blueprint of sustainable development of the industry.
To this end, China Cement Network will hold the 11th China Cement Energy Conservation and Environmental Protection Technology Exchange Conference-Equipment Renewal Forum in Nanjing, Jiangsu Province on June 13-14 . This forum will gather government leaders, industry technical specialist, scientific research institutions, universities, cement enterprises and equipment suppliers to discuss and analyze the practical path of equipment renewal and green upgrading in the cement industry, so as to promote the industry to move towards a more energy-efficient, greener and environmentally friendly future.
