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Global Cement Market Insight 2019 Analysis with Top Key Players: Aditya Birla Ultratech, CNBM International Corporation and other global players such as CEMEX S.A.B. de C.V., Heidelberg Cement AG, Italcementi, InterCement, LafargeHolcim, SCG, Taiheiyo Cem

Cement Market

Cement Market

The Demand of Cement is surging due to the growing requirement for the construction of institutional buildings for education and healthcare sectors which is anticipated to drive the market in the coming years. Moreover, supportive regulations and favorable government policies, such as Housing for All and smart cities, are expected to trigger the demand for cement in residential and commercial applications in developing and underdeveloped countries.

The initiative such as the Cement Action Plan, a part of the World Business Council for Sustainable Development´s (WBCSD) Low Carbon Technology Partnerships is accelerating the deployment of low-carbon solutions in the cement industry. Furthermore, investment in R&D for regional expansions is the key strategy adopted by the key players to strengthen their position in the cement market as smaller companies are keen to collaborate with existence key players to strengthen their foothold in the global market.

Cement is a dry powder which acts a glue to give strength to the structure. The demand of cement relies on construction and building activities, and overall infrastructure development. Cement is the major ingredient for concrete and mortar which are widely used in the construction industry and hence, rise in construction or building activities will largely spur the cement market globally. It is one of the most abundantly produced materials due to its widespread usage in concreting, minimum cost and the geographic abundance of its main raw materials. It is composed of calcium silicates, calcium aluminates and calcium aluminoferrite minerals.

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Blended cement projected to be the most dominant product of Global cement Market
Blended products segment dominates the global cement market with the maximum market share of the total cement market and projected to lead the market over the forecast period 2018-2025. Owing to its benefit such as typically lower costs and better environmental profile than straight Portland cement. Cement firms have also started increasing the use of cementitious materials such as fly ash and blast furnace slag in their products, which reduces the level of carbon dioxide emissions from the production of Portland cement clinker. The usage of this brand varies dramatically. For Instance, in China, more than 90% of demand is attributable to blended cement, while in the US, the demand is less than five percent.

Non-residential and Infrastructure sector are projected to be the leading segment of the overall Cement market during the forecast period
Non-residential/Infrastructure sector dominated the global cement market and is expected to hold its dominance in the coming years. Moreover, the mega projects such as China’s One Belt and One Road (OBOR) infrastructure program are likely to surge the demand for cement over the forecast period. Also, the increasing urbanization is leading to a steady growth of cities, which in turn is estimated to contribute to the growth of this segment. However, this factor is projected to provide a significant push to residential construction. On the other hand, residential construction across the globe has also increased significantly over the past few years. The residential sector is one of the major consumers of cement in many countries due to favorable demographics, improving disposable incomes and growing trend of nuclear families.

Key Development in Cement Industry
July 2014, Aditya Birla Ultratech acquired 2 units of Jaiprakash Associates in order to increase the firm’s production capacity to 100 metric tons per year by 2020.
During 2017-18, Ultratech commissioned a Greenfield clinker plant with a capacity of 2.5 MTPA and a cement grinding facility with 1.75 MTPA capacities in Dhar, Madhya Pradesh. The company is expecting to complete a 1.75 MTPA cement grinding facility and a 13 MW waste heat recovery system by September 2018 at the same location.
In May 2018, Ultratech Cement decided to acquire the 13.4 MTPA capacity cement business of Century Textiles and Industries.

Global Cement Market Competitive Landscape
Companies such as Aditya Birla Ultratech, CNBM International Corporation and other global players such as CEMEX S.A.B. de C.V., Heidelberg Cement AG, Italcementi, InterCement, LafargeHolcim, SCG, Taiheiyo Cement Corporation, Titan Cement Group, Votorantim, and Anhui Conch Cement are the leading players of glass packaging market across the globe. Key companies are forming joint ventures, mergers, and acquisitions to increase their market share and product portfolio.

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