Global cement demand declines in 2022 amid geopolitical turmoil

 

• Year-to-date through December 2022, Pakistan sees a significant drop in cement sales
• Investment in construction boosts Argentina's cement demand
• China's cement output was restricted by the Zero-Covid policy in 2022

Greenwich (CT), USA, January 31, 2023 – Global cement demand and production saw a yearly drop across several markets at the end of 2022 according to CW Research’s Cement Country Market Data.

Year-to-date through December 2022, Pakistan reported the most significant decline in domestic sales, with a drop of over 10 percent, while Argentina, one of the few exceptions of rising demand, posted an increase of nearly 6 percent.

"The latest data shows an overall downward trend in cement demand and consequently production, on the back of the Russia-Ukraine conflict, which continues to negatively impact the global economy and the construction industry", highlighted Prashant Singh, Director at CW Group.

Pakistan reports a significant drop in cement sales

In 2022, domestic cement sales in Pakistan reached almost 44 million tons, compared to nearly 50 million tons in the same period last year. This represented a drop of nearly 11 percent from 2021. Morocco reported the second biggest decline with cement demand down by over 10 percent in 2022 compared to the previous year.

Meanwhile, cement demand in Saudi Arabia saw a decline of more than 2 percent in 2022, compared to the previous year.

Argentina sees solid growth in demand on the back of infrastructure investments

Year-to-date through December, cement demand in Argentina saw an increase of around 6 percent compared to 2021. In the same period, cement production was also up by over 7 percent. The cement industry in the country is expanding, propelled by increased private-home construction and low-interest financing, as well as government goals to build thousands of houses

In Brazil, during the full twelve months of 2022, cement demand was down by almost 3 percent compared to the same period last year

Zero-Covid policy curbs cement production in China

During 2022, cement production in China declined by more than 10 percent compared to 2021, as a result of the Zero-Covid policy implemented by the government. On the other hand, in Vietnam year-to-date cement production saw a 15 percent increase during the year. In Kazakhstan, production was down over 4 percent compared to the same period in 2021.

Spain posts marginal growth as Poland and Switzerland see a drop in demand

In Spain, cement demand was up by less than 1 percent for the year-to-date through December, on the back of robust growth in the first two months of 2022.

Meanwhile, In Poland, production was down by almost 3 percent compared to the same period last year, while cement sales in Switzerland saw a nearly 1 percent decline for the full year

CW Research’s Cement Country Market Data reporting covers monthly cement volume trends across the globe. The service provides data and statistics on monthly demand and supply volumes for the largest cement producing and consuming markets around the world. Presented in an objective, easy-to-understand format, the Cement Country Market Data is an indispensable tool for producers, suppliers, traders, investors and end-users that need to quickly understand developments in the world cement markets.

Find out more about Cement Country Market Data here.