Cement price fell by 1.28% last week

The reporter learned from the Digital Cement Network on the 29th that the national cement market price fell by 1.28% last week. The data shows that in the major regions such as Beijing, Tianjin, Shanxi, Hubei, Chongqing, and Shaanxi, the cement prices were adjusted downward by 20-40 yuan/ton, respectively, and in the same period Liaoning increased by 30-40 yuan/ton.

Industry insiders pointed out that the current regional differences in the price of cement are relatively obvious. From the perspective of the overall industry, the protection of housing is expected to become a stimulus factor in the second half of the year. The massive start-up and construction of affordable housing is expected to bring about a further increase in industry profits.

The reporter learned that as of June 26, the national average price of cement was 330.52 yuan per ton, which was a decrease of 5.22 yuan per ton compared with last week, but the average price was higher than the 277.33 yuan per ton of the same period of last year.

It is worth noting that the price of cement in Beijing, Tianjin, and Tianjin dropped significantly, with Beijing dropping by RMB 30/ton, Tianjin by RMB 20/ton, and Shanxi by RMB 30/ton.

According to Wang Xiaoliang, an analyst of Digital Cement Network, the reasons for the reduction of cement prices in the Beijing-Tianjin-Hebei region were consistent with the previous period, with increased supply and weakened demand, resulting from competition among enterprises.

Due to the long duration of rainy weather in Hubei Province, the price of SMEs was reduced by a relatively large margin. As a result, mainstream prices in some areas such as Wuhan and Ezhou dropped by RMB 10-30/ton.

“Short-term rain weather is the main reason for the price decline, so the demand will increase after the weather improves and the market will be relatively stable.” Wang Xiaoliang said.

In addition, the price cuts in Chongqing are relatively large, reaching RMB 40-50/ton, mainly due to the end of power cuts and the increase in inventories. Companies have lowered their prices in order to run. The price drop in the Shaanxi region was mainly due to the increase in new production capacity. In order to grab a share price, the enterprises started a price war, and the current price in Xi’an is now delivered to the price P. O42.5 scattered 275 yuan / ton, Tongchuan, Xianyang, Baoji prices in different regions have 20-40 yuan / ton reduction.

The reporter learned that mainstream cement prices in East China continued to remain stable last week, but some small and medium-sized enterprises also lowered their prices, ranging from RMB 20-40/ton. "In the short term, there is pressure on the company's inventory, but it is unlikely that large companies will substantially reduce prices. The production shutdowns in leading enterprises in Jiangsu and Zhejiang are still in place, and there are still plans to suspend production in July," Wang Xiaoliang said.