The State Of The Cement Industry And Import Penetration In The United States ? Introduction

Many changes have taken place in the "World Cement Market" since Joseph Aspdin discovered portland cement in the early 1800's. At the turn of the century, production of cement world wide was a few million tons; today, it is over one billion tons. By 1995, world production is estimated to reach 1.2 billion tons. Cement processing has changed from inefficient, small vertical kilns to large efficient, precalcining kilns, and large automated crushing, blending and grinding systems. Consequently the cost of production has declined in real terms, resulting in significant economic benefits to the general public. In addition, quality and uniformity of cement have increased, strengths have increased, and at least 25% fewer pounds of cement are needed for each cubic yard of concrete. Today, cement moves thousands of miles on the inland rivers and great lakes of the U. S., across Siberia and across the oceans of the world. The volume of cement moving more than a few hundred miles is almost 100 million tons, or 10% of world production. Today, on a per ton basis, it costs no more to move 40,000 tons of cement to the United States from the Western Pacific rim or from Europe than it does to truck cement 200 miles. For example, cement shipped by water from Spain costs $5.00 to $7.00 per ton compared to cement shipped by truck 200 miles at $16.00 per ton. This low cost water transportation has been a major factor for the increased movement of cement between countries. Table 1, Cement Production Summary-World, gives a global picture of production, export and import tonnages in recent years. Figure 1 is a graph showing CEMENT PRODUCTION SUMMARY WORLD WIDE.