China's total cement output rose by 6.8 per cent in 1H19 to 1.045bnt. This was the fastest growth in the last six years, even though cement supply was still constrained by the policies of 'staggering peak construction' and environmentally restrictive production'. National demand for cement saw a YoY increase of more than five per cent with the northern region showing the fastest growth.
The pricing and supply-demand balance in northern China, particularly in Beijing, Tianjin and Hebei as well as peripheral regions, saw improvement compared to the 1H18. In 1H19 the average price of OPC42.5 was CNY435/t (US$60.7/t), registering a YoY increase of CNY17/t, or four per cent. In east China the average price of CNY483/t in 1H19 was the highest price from all regions. The cement price in the capital cities in the provincial capitals of Jiangsu, Zhejiang and Shanghai for OPC42.5 was CNY520/t, CNY530 and CNY515, respectively.
Data from the Chinese Cement Association reported 1H19 operating revenue of the cement industry totalled CNY455.4bn, a YoY increase of 17 per cent. Total profits for the industry reached CNY82.6bn, up 30 per cent YoY.
BBMG
BBMG informed the Stock Exhcange of Hong Kong that the company had an operating revenue of CNY44.6bn in the first half of 2019, up 26.1 per cent from 1H18. Net profit increased to CNY3.9bn, up 35.4 per cent on 1H18.
