Cement exports from Indonesia, Vietnam and other countries have shifted from China to Bangladesh, Africa, Australia ...
Due to the spread of a new coronavirus, Indonesian cement producers have stopped exporting to China. In February 2020, cement exports dropped sharply by 27.86% compared to the same period last year at 610,000 tons.
Widodo, chairman of the Indonesian Cement Industry Association (ASI), told reporters, "Unfortunately, we hope that the clinker and cement exports that can improve the performance of the cement industry are blocked by the new crown virus, so export activities to China must stop. "
He continued that cement exporting countries, such as Thailand and Vietnam, have also transferred cement exported to China to Bangladesh, Africa, Australia and the Philippines, making the situation even worse, because these countries are China's cement export markets. "I hope that the new crown virus can be resolved quickly, so that it can reach an export plan. Because of the set targets, this year's export volume will reach 7.5 million tons, which is higher than last year's 6.4 million tons."
Widodo explained that unlike the falling export market, cement consumption in the domestic market has shown improvement, although it is still lower than cement sales in the same period last year.
According to data from the Indonesian Cement Association, cement consumption in February 2020 decreased by 0.1% to 4.87 million tons compared with February 2019, and the decline in consumption was better than the 7.5% drop in January 2020.
He claimed that the increase in consumption occurred in several regions, such as Sumatra, Kalimantan, Maluku and Papua. "Every area has seen an increase. Except Java and Nusa Tenggara, I hope that infrastructure projects outside Java will be implemented immediately so that cement consumption will not decrease.
He stated that in February 2020, cement consumption in Sumatra increased by 1.6% over the same period last year to 1.04 million tons, followed by Kalimantan, which increased by 3.2% to 367,000 tons, and Sulawesi ’s growth by 4.4% to 426,000. Tons and Maluku and Papua surged 44% to 282,000 tons.
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