White cement consumption to top 19 million tons on GDP growth and increasing consumer spending

Between 2018 and 2023, white cement demand is projected to rise by an average of two percent per year, according to CW Research’s 2018 update of the Global White Cement Market and Trade Report.

The lower demand growth rate anticipated for the period as compared to CW Research’s 2017 report is justified by the lower consumption anticipated in China. The slowdown in construction, already visible in the country, will have an impact not only on gray cement, but also on white cement, used mostly for aesthetical purposes.

“When it comes to such a premium product as white cement, its popularity is higher in advanced economies. However, expanding GDP and growing consumer spending in developing markets in Asia ex-China will offset slower white cement demand in China during the next five years”, observes Tea Vukicevic, CW Group’s Associate Analyst.

From a regional perspective, Asia ex-China, Eastern Europe & CIS and North America are expected to lead growth in white cement consumption. In Asia ex-China, white cement consumption is expected to reach 3.1 million tons between 2018 and 2023. North America and Western Europe are regions that already have mature economies, whose usage of white cement is widespread. Therefore, these markets are projected to show an increasing appetite for the premium commodity, albeit with smaller growth margins.

MASONRY APPLICATIONS LEAD WHITE CEMENT CONSUMPTION

The increasing trend in global white cement consumption is likely to follow that of world economic growth, which is forecasted at an annual average of 3.8 percent. Given that white cement is considered a value-added product, it is more popular in countries with advanced economies.

Therefore, GDP growth and increasing consumer spending are a combined driver for white cement consumption growth. It is, thus, unsurprising that, compared to gray cement, white cement consumption is much inferior, making for less than one percent of global cement demand.

Although the use of white cement varies from applications with aesthetic requirements to structural ones, masonry applications account for the largest share of white cement consumption from a global perspective.

UNITED STATES FRONTS WHITE CEMENT IMPORTS

Given the scarcity of raw materials and the concentrated production units, trade is an important component in the white cement market structure. Currently, over thirty percent of total white cement demand is traded.

In 2018, at the global level, Western Europe is the largest exporter of white cement, followed by Eastern Europe & CIS. Middle East emerges as the largest importing region of white cement, while North America holds the largest global importing market in 2018, the United States. So far in 2018, the United States imported about 1.2 million tons of white cement, mainly from Canada and Mexico.

“New capacities for white cement are shaping up in the US, and they are bound to ease the dependency on imports, though not eliminate it. It will matter greatly in the context of the simmering trade wars”, notes Robert Madeira, CW Group’s Managing Director and Head of Research.

There are 134 white cement plants operating at the global level, with a combined annual capacity of over thirty million tons. The largest white cement producer in the world is Cementir Holding, followed by Turkish Cimsa, and Cemex. HeidelbergCement, JK Cement, and Ultratech are also among the main global white cement producers.

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For more information, placing an order, or interview inquiries, please contact Mihnea Manea, Media and Market Services Executive, CW Group, by phone at +40 723 281 704, or e-mail at mm@cwgrp.com.

ABOUT THE REPORT

CW Research’s Global White Cement Market and Trade Report (2018 update) examines the worldwide white cement industry and presents the latest market data which cover the 2008 -2018 E period, with a medium-term forecast until 2023. The comprehensive report includes cement consumption and production figures, import and export data, as well as pricing trends and white cement capacity developments. Additionally, this data-rich research product provides extensive quantitative information on consumption, usage segments, production, local prices, trade prices, type of handling, trading facilities and trade-flows, by region and major countries. Furthermore, the report analyzes region specific user segments by white cement type and their main consumption drivers as well as perspective for 2023.

More information about the report can be found here: https://www.cwgrp.com/research/research-products/product/274-global-white-cement-market-and-trade-report-2018-update

ABOUT CW GROUP

The Greenwich (Conn.), USA-headquartered CW Group is a leading advisory, research and business intelligence boutique with a global presence and a multi-industry orientation. CW Group is particularly recognized for its sector expertise in heavy-side building materials (cement), light-side building materials, traditional and renewable power & energy, petrochemicals, metals & mining, industrial minerals, industrial manufacturing, bulk cargo & shipping, among others. We have a strong functional capability, grounded in our methodical and quantitative philosophy, including due diligence, sourcing intelligence, feasibility studies and commodity forecasting. www.cwgrp.com

CW Group
PO Box 5263, Greenwich, CT 06831, USA
Mihnea Manea (mm@cwgrp.com)

This release was published on openPR.