Mexico Cement Industry Research Report 2024-2033

Mexico Cement Industry Research Report 2024-2033

NAFTA's co-sponsors consist of the United States, Mexico and Canada. After many rounds of dialog and intensive negotiations, the agreement finally came into force in 1994. NAFTA was designed to eliminate trade tariffs between the member countries. The tariff barriers between the three countries have now indeed been completely eliminated.

Since NAFTA came into effect in 1994, the volume of trade between the U.S., Mexico, and Canada has realized phenomenal growth.

From a manufacturing perspective, the impact of NAFTA on the Mexican economy has been generally positive. After the agreement was signed, many foreign manufacturing companies entered in force, opening new manufacturing plants near the Mexican border. According to CRI's market research, a large number of factories are relocating or planning to relocate from China to the U.S.-Mexico border in recent years. For the cement industry in Mexico, there are good opportunities for growth in the coming years.

The construction of industrial properties such as factories and warehouses, as well as the construction of infrastructure such as roads, will contribute to the rising demand for cement in the Mexican market.

Mexico cement industry stands as a cornerstone of the nation's infrastructure development, playing a vital role in fueling construction projects across the country. Characterized by a mix of domestic and international players, the industry boasts a rich history rooted in both traditional craftsmanship and modern technological advancements.

In Mexico, the cement industry remains highly concentrated, with six key companies holding sway over the national market. These companies, namely Cemex, Grupo Cementos Chihuahua, Cemento Moctezuma, Holcim-Apasco, Cruz Azul, and Cementos Fortaleza, collectively wield significant influence. Their combined production capacity amounts to approximately 55 million tons per year, distributed across 35 cement plants strategically positioned throughout the country.

The cement market is currently navigating a landscape of both potential and volatility, largely driven by the infrastructural demands of fast-developing economies despite global economic uncertainties. With about two-thirds of global cement consumption attributed to the construction sector, the market's stability is closely linked to overall economic activity. However, this consistent expansion also exposes the industry to cyclical risks and fluctuations in raw material costs.

Despite these challenges, several factors contribute to the vitality of the cement market. Urbanization, infrastructure development, and the growing need for housing are significant drivers of growth, especially in regions like Asia-Pacific, Africa, and South America. However, environmental concerns and stricter regulatory measures may pose limitations on future expansion efforts.

Furthermore, the significance of the cement industry transcends mere production statistics; it serves as a cornerstone of Mexico's economic advancement and societal advancement. As Mexico continues its journey of urbanization and modernization, the demand for cement remains steadfastly high, underpinning a myriad of infrastructure endeavors vital for progress, including factory buildings, residential complexes, commercial edifices, highways, and bridges.

According to CRI's forecast, Mexico's cement production will rise from 47.3 million tons in 2024 to 62.8 million tons in 2033, a CAGR of 3.2% from 2024 to 2033.

According to CRI, the growth of the Mexican cement industry is driven by the rising population of Mexico, which contributes to the rising demand for housing and infrastructure, as well as the large number of foreign companies investing in Mexico, which contributes to the rising demand for industrial real estate such as factories and warehouses.

Topics covered:

• Mexico Cement Industry Overview
• Economic environment and policy environment of cements in Mexico
• Mexico cement market size from 2019 to 2023
• Analysis of major Mexico cement manufacturers
• Key Drivers and Market Opportunities of Mexico’s Cement Industry
• What are the key drivers, challenges and opportunities for the Mexico cement industry during the forecast period 2024-2033?
• What is the expected revenue of the Mexico Cement market during the forecast period 2024-2033?
• What strategies are adopted by the key players in the market to increase their market share in the industry?
• Which segment of the Mexico Cement Market is expected to dominate the market in 2033?
• Mexico Cement Market Forecast from 2024 to 2033
• What are the main headwinds facing Mexico’s cement industry?