Cement ex-works prices to increase in Europe in 2Q2022 amid spiking energy costs

GREENWICH, Conn. - April 27, 2022 - PRLog -- Cement ex-works prices are forecast to range from an increase of less than 1 percent in Oman to an increase of more than 25 percent in Russia and Spain, quarter-on-quarter, in the second quarter of 2022, according to the 1Q2022 update of the CW Research's Global Cement Trade Price Report (https://www.cwgrp.com/research/research-products/product/1-global-cement-trade-price-report).

Higher production costs attributed to fuel prices increases, supply-chain disruptions caused by Covid-19 resurgence, the Russia-Ukraine conflict, and escalating freight costs are expected to continue to pressure domestic cement prices across the globe in the second quarter of this year.

"Prices in the Mediterranean Basin are likely to see robust growth in the 2Q as soaring natural gas and coal prices continue to impact production costs, especially in Spain, Italy, and Egypt. In Russia, price increases are expected to continue to rise due to economic sanctions imposed by major economic powers," explained Vasco Teixeira, Business Analyst at CW Group.

Ex-works prices in Europe to see the steepest increases in 2Q

As the Russia-Ukraine conflict continues to unfold, in the second quarter of 2022, CW Research expects the largest increase in ex-works prices in the Mediterranean Basin to occur in Spain, up by over 25 percent, followed by Italy with an increase of almost 15 percent quarter-on-quarter, due to higher production costs.

Meanwhile, in Germany, ex-works cement prices in 2Q are forecast to increase by more than 17 percent, quarter-on-quarter. Additionally, in Eastern Europe and the CIS region ex-works prices are expected to increase, with Poland witnessing an increase of almost 11 percent and Russian prices to see a quarterly rise of 25 percent as economic sanctions take their toll.

Africa's ex-works prices driven by Nigeria

In Africa, ex-works cement prices in the second quarter of 2022 are expected to see the largest increase in Nigeria, up by about 8 percent quarter-on-quarter, driven by thriving demand.

In the Middle East, ex-works prices in the 2Q are expected to range from a growth of 0.6 percent QoQ in Oman to an increase of more than 3 percent in the UAE.

India's ex-works prices to jump by 5 percent in the second quarter

For the second quarter of 2022, Indian ex-works prices are expected to increase by over 5 percent, due to a hike in fuel prices, particularly in the Northern region.

Meanwhile, in Asia-Pacific, ex-works prices in the Philippines are expected to increase almost 4 percent on a quarter-on-quarter basis, while South Korean cement ex-work prices are forecast to jump over 5 percent.
Posted By:***@cwgrp.com Email Verified
Location:Greenwich - Connecticut - United States
Account Email Address Verified     Account Phone Number Verified     Disclaimer     Report Abuse
CW Group News
Most Viewed
Daily News

Like PRLog?
Click to Share