Holcim Indonesia Competition
Now Viewing Holcim Indonesia's competition in: Cement, Concrete and Construction Material
Recent Developments
Single Family Housing Starts Drop - Single family housing starts in July 2008 fell to their lowest since January 1991. In more bad news for construction service industries such as concrete and cement companies, builder permits for single family homes decreased 5.2 percent from June 2008; builder confidence is at its lowest since 1985. Builders hope that the housing rescue package, which includes a $7,500 tax credit for first-time home buyers, will stimulate sales and provide a spark for construction.
Bridge Collapse Anniversary - The one-year anniversary of the I-35 bridge collapse in Minneapolis has spurred discussion on infrastructure spending across the country. The new I-35 bridge will have a 100-year life span and the ability to support a light rail system. It includes cast-in-place and precast concrete construction, which is characteristic of improved construction quality. With the US population expanding and an increased number of drivers and roads required to support them, the Portland Cement Association estimates that the US will need another 400,000 lanes of roads by 2032.
Winners Announced in Concrete Bridge Awards - The Portland Cement Association announced the winners of the eleventh annual competition for bridge design and construction excellence. The nine winners included bridges in Washington, California, Utah, Florida, Tennessee, Ohio, Pennsylvania, and Oregon. The bridges were evaluated on creativity, functionality, and economy.
Competitive Landscape
Because cement is a commodity product, manufacturers compete chiefly based on price. Production economies of scale are important, but are limited by the cost of transporting the finished product. The efficiencies that can be achieved with new energy-efficient (but capital-intensive) "dry" production technology are a major source of competition. Small manufacturers may not have the financial resources or production volume to justify investing in the most efficient technology, putting them at a competitive cost disadvantage. Cement imports from Canada are an important competitor in northern states.
Full Industry Overview For Cement, Concrete and Construction Material
Cement, Concrete and Construction Material Industry Forecast
from Hoover's/D&B subsidiary First Research
The output of US cement and concrete products is forecast to grow at an annual compounded rate of 3.2 percent between 2007 and 2012.
Cement and Concrete Manufacturing Slowly Recovers
First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.

First Research Opportunity Rating
The First Research Opportunity Rating is First Research's estimate of industry performance vs. industry risk over the next 12 to 24 months.

- Demand: Tied to construction levels
- Large economies of scale in production
- Risk: Slower economy cuts commercial and housing construction
Industries Where Holcim Indonesia Competes
- Construction
- Construction Materials
- Aggregates, Concrete & Cement
- Construction Materials





