Saudi Cement Companies Maintain Record Exports in 2023 Despite Production and Sales Decline
Saudi cement companies managed to sustain their record export levels
Despite a 7% drop in local sales and a 6.1% decrease in production, Saudi cement companies managed to sustain their record export levels at 8.5 million tons in 2023.
According to data from the Saudi cement market, local sales of cement companies operating in the Saudi market fell by 7% in 2023 compared to 2022. Additionally, the production of local companies decreased by 6.1%. Despite these challenges, the export of cement and clinker by these companies recorded a 5.4% annual decrease for the first time in the year.
The total production of the 17 Saudi cement companies was about 49.2 million tons in 2023, down from approximately 52.4 million tons in 2022, marking a 6.1% decrease. Local sales in 2023 reached their lowest level in four years at about 47.3 million tons compared to about 50.8 million tons in 2022, a decrease of 6.9%.
However, on the export front, the companies maintained their record levels in 2023 at about 8.5 million tons, albeit 5.4% lower than their level in 2022, which was about 9 million tons. This figure remains the highest recorded level for Saudi cement company exports. The exports had seen a significant jump in the last three years, starting in 2021 when they exceeded 8 million tons amid high regional demand for Saudi cement exports.
As a result of the decrease in local sales and exports, the inventories of the 17 companies of cement and clinker rose by 13% at the end of 2023, reaching about 41 million tons compared to about 36.3 million tons at the end of 2022.
Source:
Maaal
