PCA: 'global cement consumption on the rise'

Global cement consumption is expected to grow through 2015 and 2016, with North America leading recent gains in the developed world, according to a report released by the Portland Cement Association (PCA).

According to forecasts by the association, cement consumption among developed economies increased by roughly 9.2Mt in 2014, followed by another 9Mt increase in 2015.

"Most of the gains in developed world cement consumption is attributed to North America," said Edward J Sullivan, chief economist and group vice-president at PCA. "With an expected growth of more than 7.4Mt, the North American region is expected to continue to expand at a faster pace than most other developed countries due to continued national economic growth."

Continued global growth, slower rate
PCA projects global cement consumption to record sustained growth during 2015-2018, but at a less robust pace than previously expected. World cement consumption is expected to grow 2.2 percent in 2015, 3.7 per cent in 2016, and remain near 4 percent growth during 2017-2018. World cement
consumption grew an estimated 4.6 per cent in 2014 from 4bnt in 2013 to 4.3bnt.

A slowdown in Asian economic growth will reduce cement consumption growth rates compared to previous years. Although China will continue to grow, with a seven per cent economic growth rate in 2015, this is much less than then the double-digit rates it experienced in 2010 and 2011.

Modest growth will materialise in Europe in 2015, the PCA forecasts, followed by stronger gains in 2016 and beyond. This scenario reflects the gradual healing of distressed housing and nonresidential sectors, especially among several eurozone economies, it adds.