Brazil Cement Industry Market Size & Forecast by Value and Volume Across 50+ Market Segments by Cement Products, Distribution Channel, Market Share, Import Export, End Markets - Q2 2023 Update

According to the publisher, the cement industry in Brazil is expected to grow by 3.2% on an annual basis to reach US$ 7.11 billion in 2023.

The medium to long term growth story in country remains intact. The cement industry in country is expected to grow steadily over the next four quarters. The growth momentum is expected to continue over the forecast period, recording a CAGR of 2.7% during 2023-2027. The cement output in the country is expected to increase from US$ 6.89 billion in 2022 to reach US$ 7.91 billion by 2027.

The cement industry in Brazil is projected to report weak growth in 2023 but is expected to recover part of the losses it incurred during 2022, owing to higher spending on sanitation and paving projects. With inflation, and the subsequent surge in construction material prices and drop in monthly budget spending, Brazilians have carried out fewer home improvement projects in 2022. This has resulted in a drop in cement consumption over the last 12 months in Brazil.

In 2023, the Federal government has given signs that it plans to invest more in low-income housing projects. This will, therefore, support a partial recovery in the Brazilian cement industry over the next 12 months. Furthermore, the investment in infrastructure projects, mainly highway repair projects, will also drive cement consumption in the Latin American market from the short to medium-term perspective. The projected reduction in interest rates in H2 2023, is also expected to have a positive impact on cement demand in Brazil.

The Brazilian cement sector is expected to reel under the economic uncertainty at least in H1 2023

The impact of inflation and rising costs is also having a severe impact on the growth of the cement market in Brazil. The publisher expects the trend to further continue in 2023, as the central bank continues to hike interest rates. Furthermore, the ongoing war between Russia and Ukraine will also have an impact on the Brazilian cement market over the next 12 months.

Petroleum coke prices have risen significantly due to the ongoing war, and as a result, the cement industry has faced severe cost pressure. To reduce the impact of higher coke prices, cement makers are expected to increase their adoption of alternative fuels in their manufacturing operations over the next 12 months in 2023. While the cement industry is projected to recover from the 2022 lows, it will continue to face pressures due to various macroeconomic factors.

Cement manufacturers are strengthening their foothold in the global market through mergers and acquisitions

Over the next five years, the global cement industry is projected to record strong growth, amid the growing investment in infrastructure, commercial, and housing sectors. To capitalize on the projected growth and to serve their customers better, cement manufacturers are entering into mergers and acquisition deals.

• In November 2022, Votorantim Cimentos, the largest cement manufacturer in Brazil, announced that the firm had completed the acquisition of Heidelberg Materials' businesses in Spain. As part of the acquisition, Votorantim Cimentos has gained control of the cement plant in Málaga, which produces 1.6 Mt of cement annually.
• Along with its expansion in the global market, the firm is also investing significantly in the domestic market to achieve decarbonization in its cement plants. As part of its decarbonization project, the firm has announced an investment of 1 billion euros in the domestic market.

The firm's expansion strategy and the growing investment in the domestic market will assist the firm to strengthen its position in the Brazilian and global cement industry, thereby driving the competitive landscape in the market.

Increased allocation for infrastructure spending to support cement consumption in Brazil in 2023

The Brazilian government is projected to increase its infrastructure spending significantly in 2023, compared to the last few years. According to the Transport Ministry, the government is projected to have an infrastructure budget of US$3.7 billion or 20 billion reais. This is more than three times what the government has allocated for infrastructure development in previous years.

The growing spending on transportation infrastructure, including the upgrade of road networks, will drive cement consumption in the country over the next 12 months. This along with other infrastructure projects will assist the growth of the Brazilian cement industry from the short to medium-term perspective.

This market intelligence report provides a detailed view of market opportunities in the cement industry. With over 50+ KPIs, covering construction markets, distribution channel, end-user, and products in Brazil, this databook offering primarily provides data-centric analysis with charts and tables.

• Cement Market Dynamics: Provides a comprehensive data-centric view of size and structure, industry dynamics, and cement opportunities in the various end-user industry a in the country
• Distribution Channel: Provides an in-depth analysis of distribution channel across products at country level in value terms.
• Cement Products: Provides demand analysis of market by 4 key products. Portland Cement, Blended Cement, Specialty Cement, and Green Cement. This segment also includes in depth analysis of further sub-segments of cement product types.

The research methodology is based on industry best practices. Its unbiased analysis leverages a proprietary analytics platform to offer a detailed view on emerging business and investment market opportunities.

Scope

This report provides a detailed data-centric analysis of the cement industry, covering market opportunity, and industry dynamics by cement products and end-user, construction market and distribution channel.

In addition, it also provides market size and forecast of the cement products sub-segment and its demand analysis in Brazil. With over 30+ KPIs at the country level, this report provides comprehensive understanding of market dynamics at a more granular level.

Brazil by Cement Markets, 2018-2027

• Residential Buildings
• Non-Residential Buildings
• Infrastructure & Other Markets

Brazil by Cement End-User, 2018-2027

• Ready-Mix Concrete Producers
• Consumers
• Concrete Product Manufacturers
• Other End Users

Brazil by Distribution Channel, 2018-2027

• Direct Channel
• Indirect Channel

Brazil by Cement Product, 2018-2027

• Portland cement
• Blended Cement
• Type IS (X), Portland-Slag Cement
• Type IP (X), Portland-Pozzolan Cement
• Type IL (X), Portland-Limestone Cement
• Type IT, Ternary Blended Cement
• Specialty Cement
• Rapid Hardening Cement
• High Alumina Cement
• White Cement
• Sulphate Resistant Cement
• Others
• Green Cement

Provide In-depth Understanding of Cement Market Dynamics: Market opportunity, industry dynamics, key trends, restraints and drivers across 30+ market segments.

In detail Segmentation of Cement Product Analysis: Market size and forecast by products, end-user, distribution channel, and construction markets.

Develop Market-Specific Strategies: Identify growth segments and target specific opportunities to formulate your strategy; assess market-specific key trends, drivers, and risks in the cement industry in Brazil.

Comparable Data: Get detailed and comparable data for the cement market size.