In January 2006, Russian cement producers turned out 2.7 per cent less cement than in January 2005. Russian enterprises produced 2.1Mt of cement. Over the period, the residential construction volume dropped by 14.4 per cent. Analysts blame not only the traditional seasonal reduction in demand, but also extremely low winter temperatures all across Russia that made most construction companies stop their operations. Reduced gas supplies used by cement plants as fuel was also cited at the bottom of the production slump. All these conditions made enterprises reduce their production capacity.