The Portland Cement Association (PCA) has predicted cement consumption will stay at moderate growth levels though and into 2022.
Speaking at World of Concrete (WoC) 2020, PCA senior vice president Ed Sullivan, said:“The economy rests on two pillars, consumer spending and labour markets. As long as the economy continues to grow and create jobs, the economy will remain on solid ground and continue to support cyclical portions of the cement market. But the economic recovery is aging and losing its zip. Economic growth will gradually slow along with construction activity and cement consumption growth rates.”
PCA says market intelligence expects cement consumption will grow by 1.7% in 2020. The potential for stronger than expected construction in residential construction could add one full percentage point to this outlook.
According to PCA, the ageing of the recovery makes the economy, and cement consumption, more vulnerable to potential disruptions. These threats to the overall economy include slower global economic growth, declining consumer sentiment, trade issues, and the threat of coronavirus fully hitting the US, the association adds.