In fast-growing economies and emerging markets, cement is as vital as oil. The material is among the most versatile as it’s essential for infrastructure, roads and building construction. With annual revenues in the hundreds of billions of dollars, cement is also a big business. With cement production on the rise, the need for construction drying solutions will also increase to keep contractors in pace with the fast-paced market.
Cement Production Statistics
1. China leads in global cement production.
At the time of publication, the Asia-Pacific region of the world accounts for over 55 percent of overall cement market share. CemNet anticipates that the region will continue to dominate the market through 2020 because of the influx of construction projects.
China experienced a 2.5 percent increase in cement demand in 2016 after experiencing a decrease in 2015. While some expect the demand for cement to slow in 2017 because of industrial reorganization, China will keep its spot as top cement producer.
2. North America leads in cement consumption in the developed world.
Even though cement-related growth in Canada declined in 2016, the United States experienced accelerated consumption levels during the same year. With a projected growth of more than 7.4 million metric tons in 2017 by CemNet, the U.S. may attribute its fast expansion to its continued economic growth.
Statista projects that between 2011 and 2019, cement production in the U.S. will amount to about 98 million metric tons. In December 2016, the Portland Cement Association estimated that U.S. cement consumption would grow by 3.1 percent in 2017.
3. Cement consumption across the globe will continue to increase.
While only 3 percent of global cement production is traded across borders, its consumption follows the same path as widely traded commodities related to economic expansion. According to The Economist, emerging economies consumed 90 percent of the world’s cement production in 2013.
Statista estimates that in 2020, the total world production of cement will reach 4.4 billion metric tons. Similarly, Technavio reported in 2016 that the global industry will grow at a steady compound annual rate of 9 percent or greater by 2020 as the purchasing capacity of emerging markets will continue to improve.
4. The residential segment is the greatest cement consumer.
Technavio identified three major cement-related markets worldwide: residential, nonresidential and infrastructure. The research company estimates that the residential segment accounts for the greatest cement-related market share at 59 percent between 2016 and 2020. Factors contributing to the outlook include changes in population density as rural residents move to more urban settings in developing countries, as well as increases in single- and multi-family residential construction. The rise in urban populations has spurred the demand for residential projects across the globe. The increasing number of projects will drive construction, which will support the demand for cement through 2020.
5. Proper concrete preparations and drying hasten projects and lower costs.
With construction booming across the globe, contractors increasingly look to temporary climate control solutions. The benefits of concrete drying using Polygon’s tailored solutions include meeting project deadline, avoiding costly delays, mold mitigation, predictable drying and curing times, ensuring the success of flooring adhesives and surface coatings, and the prevention of slab sweating. The solutions also help workers feel more comfortable, which increases their productivity rates. Because climate control equipment gives you control over temperatures, relative humidity levels, dew points and other factors that are important concrete drying and curing, you are no longer at the mercy of the weather or inefficient HVAC systems.
Optimism regarding the growth of cement production and demand is high. Overall, volumes will be humbly positive in 2017 as emerging international market growth will boost the need for the versatile material throughout 2017 and 2018, restoring the supply-demand balance for the first time since 2013.