China Cement Weekly:Price Rise Continued,Supported by Increasing Demand,Industry Profit Saw a Strong Recovery in Q32016

The strong cement price rise continued last week. The average cement price (nationwide) recovered 1.6% week-on-week to RMB313/tonne last week, up 16% YoY. Cement prices in parts of Beijing, Hebei, Fujian, Hunan, Yunnan and Guizhou were up RMB30-50/tonne, while prices in parts of Jilin were down RMB20/tonne. Market demand in the northeast and northwest areas saw a significant decline entering the winter season. However, better weather conditions in south China led to an improvement in demand in some regions. Production suspensions in Hebei, Shandong and Henan were delayed for 8 -14 days until mid-November to support increasing market demand. The average inventory level (nationwide) climbed slightly to 66.63%.