Eurocement reduces Russian production
01 October 2008
Following Strabag’s announcement that it was putting on hold the development of cement production plans in Russia, Eurocement has followed suit.
The country’s largest cement producer has stated it is cutting back production and staffing levels at most of its facilities according to The Moscow Times newspaper. Furthermore, it is also shutting down most of its brick-firing kilns.
“Eurocement’s investment program is also being reconsidered, with some resources shifted away from cement and bricks towards other products,” the paper quoted a spokeswoman as saying.
The move follows a steady drop in Russian cement prices following June’s high of US$ 125 per tonne.
Cement prices in the country are expected to fall -10% to the end of November following a -23% drop over the summer after import tariffs were lifted.
A drop in demand as well as cheap Turkish and Chinese cement flooding the market has seen the price of cement slide in Russia over the past 3 months.STAY CONNECTED
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