cement industry? A set of data directly hit the industry dilemma.
In 2000, China's cement output was 600 million tons, and the production capacity was 700 million tons. By 2022, the output rose to 2.1 billion tons, and the production capacity jumped to 3.6 billion tons. The surplus rate rose from 14% to 42%, and in 2024, the surplus rate reached 48%. Industry profits plunged from a high of 180 billion yuan in 2019 to 26 billion yuan in 2024, a decline of 85%. What is more worrying is that in August 2025, the average price of cement in Guangdong dropped from 810 yuan/ton in 2021 to 220 yuan/ton, and that in the Yangtze River Delta dropped from 750 yuan/ton to 200 yuan/ton, with most enterprises falling into losses.
Despite the introduction of a number of policies to reduce production capacity over the years, the problem of overcapacity has not been fundamentally alleviated due to the impact of local protection and short-term profit-seeking by enterprises. After 2022, the demand shrank sharply, the industry accelerated downward, and the involution and vicious competition continued to intensify. Now the cement industry has reached the most dangerous moment, anti-involution, to production capacity, return to reasonable profits, has been urgent!
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