Cooperation Meeting Held on the 5th for Cement and Remicon Supply Stability
The government announced on the 6th that it held a joint cooperation meeting with related ministries and agencies, including the Ministry of Land, Infrastructure and Transport and the Ministry of Economy and Finance, on the previous day to stabilize the supply and demand of cement and ready-mixed concrete (Remicon).
At this meeting, the current status of the construction industry, which has been experiencing difficulties such as delays or interruptions in Remicon supply due to recent cement shortages, was reviewed along with the supply and demand trends of major construction materials, cement and Remicon.
In addition, measures to minimize damage occurring at construction sites due to disruptions in the supply of construction materials and response plans by relevant agencies to stabilize supply and demand were discussed.
Regarding cement, the cumulative production from January to the end of March this year was 10.61 million tons, an increase of 3.6% (370,000 tons) compared to the same period last year, but demand was confirmed to have increased by 8.0% (790,000 tons) to 10.66 million tons. This means demand increased more than production.
The recent cement supply disruption is analyzed to have occurred due to increased cement demand and concentrated demand in certain regions. The government requested the cement and Remicon industries to expand production and manage supply to stabilize supply, and the industry pledged to do their best to prevent any supply disruptions.
From April, when the regular maintenance schedule of cement production facilities (kilns) during the winter season is completed, cement production is expected to increase, which is anticipated to alleviate difficulties at construction sites.
Accordingly, the government plans to actively respond to supply and demand issues by maintaining the operating rate of facilities as much as possible to secure domestic cement volume and adjusting export timing to secure additional cement supply. Plans to expand transportation to ensure smooth cement supply are also being considered.
Furthermore, to stabilize the supply and demand of construction materials, a consultative body will be formed to facilitate smooth sharing of information such as production volume and inventory levels among the industry, and continuous communication will be maintained through meetings and discussions.
The government will continue to closely cooperate with the industry to monitor supply and demand trends of major construction materials such as cement and Remicon and actively respond to minimize damage at construction sites.
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