Southeast Asia's Largest Cement Mill

August 2019

BIG IN CAMBODIA Southeast Asia’s largest cement mill – a Pfeiffer MVR mill with MultiDrive®. Permanent availability thanks to double active redundancy.

www.gebr-pfeiffer.com PDMD-A10169-00-7600 flender.com/original ORIGINAL. CCONTENTSONTENTS

03 Comment ENVIRONMENTAL CONTROL 05 News 53 A Hybrid Solution 80 Five Minutes... with Dr Caroline Woywadt Dr Stephen Firth, Servomex, explains how a Director – Process Technology, Gebr. Pfeiffer new hybrid analysis solution boosts cement production capability. REGIONAL REPORT: LATIN AMERICA 10 Latin American Miscellany 57 Teaming Up Commissioning Editor Paul Maxwell-Cook Peter Collins, W. L. Gore & Associates UK Ltd, considers the situation in this increasingly and Steve Kearsey and Daniel Roberts, volatile region. Breedon Group, present the results of a filter bag upgrade at Breedon’s Hope cement works. VRMs, BALL MILLS & ROLLER PRESSES 18 Making Your Grind Up DIGITALISATION & INDUSTRY 4.0 Moisés Nunez, Cemengal, explores clinker 61 Automation Verification grinding flexibility. Teddy Keller, Command Alkon, discusses how safety and load verification happen with PREHEATERS/PRECALCINERS & KILNS intelligent technology. 23 Ramp It Up Heather Harding, Bricking Solutions, explores 64 A Brave New World custom-engineered kiln access ramps. Thomas Nagel talks to Jonathan Rowland, World Cement, about Claudius Peters’ latest 29 Standing Tall steps into the digital revolution. Syed Suhail Akhtar and John Goetz, LafargeHolcim, and Dr Tahir Abbas and 69 Embracing Industry 4.0 Dr Naminda Kandamby, Cinar, discuss one of Oliver Pogmore, AVT Reliability, explores how the world’s largest cement plants. embracing Industry 4.0 can help to improve reliability. GEARS, DRIVES, BEARINGS & MOTORS 39 Going Steady 74 Driving Digital Carlos Jorge, CMD Gears, introduces a World Cement talks to Donald Weir, solution dedicated to kiln drive. Luc Rudowski, and Anne Bendzulla, thyssenkrupp Industrial Solutions, about the 45 Down In Tasmania challenges of digitalisation. Thorsten Sienk presents a case study of EMZ’s slip ring motors at a cement plant in Australia.

WASTE HEAT RECOVERY 49 Generating Green Power and Heat August 2019 Andrea Barbon, Turboden, explores a smart combination between electric power and heat for district heating. BIG IN CAMBODIA Southeast Asia’s largest cement mill – a Pfeiffer MVR mill with MultiDrive®. Permanent availability thanks to double active redundancy. ON THE COVER Operating for Chip Mong Insee Cement Corp. in Touk Meas, Cambodia, the Pfeiffer MVR cement mill, driven by the innovative MultiDrive® with ﬁ xed speed and a drive power of 7200 kW, grinds 320 tph of ordinary portland cement to a ﬁ neness of 3600 Blaine. For more information visit: www.gebr-pfeiffer.com

www.gebr-pfeiffer.com

CCOMMENTOMMENT

Managing Editor: James Little DAVID BIZLEY, EDITOR [email protected]

Editor: David Bizley hange is a leading feature of the [email protected] headlines here in the UK at the Editorial Assistant: Lucy Stewardson moment, be it political change, [email protected] economic change, or environmental Contributing Editor: Paul Maxwell-Cook Cchange. On the political side, the country has a new Production: Hayley Hamilton-Stewart [email protected] Prime Minister in the form of Boris Johnson. Johnson was elected by Conservative party Sales Director: Rod Hardy [email protected] members to replace the outgoing PM, Theresa May, who resigned in the wake of her failure to pass the UK Withdrawal Agreement through Sales Manager: Ian Lewis [email protected] Parliament. In his fi rst speech as Prime Minister, Johnson stated that the UK would leave the EU in 99 days’ time “no ifs or buts” and Sales Executive: Paul Heyworth [email protected] claimed that “after three years of unfounded self-doubt, it is time to Website Manager: Tom Fullerton change the record.” [email protected] After barely a day in the offi ce, political analysts are already Digital Editorial Assistant: John Williams anticipating further change under a Johnson government, including [email protected] a possible early general election if he fails to achieve his aim of Digital Editorial Assistant: Naomi Holliman negotiating a new withdrawal deal with the EU. The one constant [email protected] amidst this change is how concerns over Brexit continue to weigh on Administration Manager: Laura White investment in the economy, particularly the construction sector. The [email protected] IHS Markit/Cips construction purchasing manager’s index (PMI) fell Reprints to 43.1, the lowest rating since April 2009 when the country was still [email protected] reeling from the global fi nancial crisis. A PMI lower than 50 indicates a SUBSCRIPTIONS contraction of the sector. Annual subscription (published monthly): £160 UK The decline was felt across all three construction sub-sectors: including postage/£175 (e245) overseas (postage airmail)/US$280 USA/Canada (postage airmail). residential, commercial, and civil engineering. The current downturn Two year subscription (published monthly): £256 UK is expected to be brief, however, as employment was steady in June including postage/£280 (e392) overseas (postage airmail)/US$448 USA/Canada (postage airmail). and forecasts for future activity have returned to levels in line with the Claims for non receipt of issues must be made within 4 months of publication of the issue or they will not previous six months. be honoured without charge. Those headlines that aren’t discussing the new Prime Minister are Applicable only to USA and Canada: focused on the change in the weather, with various forecasting agencies WORLD CEMENT (ISSN No: 0263-6050, USPS No: 020-996) is published monthly by predicting record temperatures as high as 39˚C/102˚F as I write this. Palladian Publications, GBR and is distributed in the USA by Asendia USA, 17B S Middlesex Ave, Our readers based in sunnier climes might scoff at this fi gure, but with Monroe NJ 08831. air conditioning available in only 3% of homes, and UK buildings being Periodicals postage paid New Brunswick, NJ designed to deal with long winters and >150 days of rain each year, we and additional mailing offices. POSTMASTER: send address changes to World Cement, 701C Brits are never really prepared for a heatwave. Perhaps we could learn a Ashland Ave, Folcroft PA 19032 thing or two from the cement industry, which is adapting its operations to Copyright © Palladian Publications Ltd 2019. All rights reserved. No part of this publication may work in an increasingly climate-conscious world. be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, Inventys, for example, has partnered with Total and Lafarge Canada mechanical, photocopying, recording or otherwise, to develop and demonstrate the fi rst full-cycle solution to capture and without the prior permission of the copyright owner. All views expressed in this journal are those of the reuse CO from a cement plant, while also reducing GHG emissions. respective contributors and are not necessarily the 2 opinions of the publisher, neither do the publishers The CO2MENT project is expected to replace up to 50% of fossil fuel endorse any of the claims made in the articles or the advertisements. Uncaptioned images courtesy of use with lower carbon fuels and allow for the conversion of around Adobe Stock. Printed in the UK. 100 000 tpy of waste from local landfi lls. Palladian Publications Ltd 15 South Street, Farnham, Surrey As major global economies push towards becoming carbon neutral GU9 7QU, ENGLAND Tel +44 (0)1252 718999 by the middle of the century, projects of this kind could soon become Fax +44 (0)1252 718992 widespread. Indeed, they may become essential if the cement sector is Email: [email protected] Website: www.worldcement.com to secure its future.

August 2019 World Cement 3

NNEWSEWS thyssenkrupp sets climate targets second largest cement producing nation in the world. As part of the GCCA’s strategic thyssenkrupp has announced that it aims to be partnership with the World Business Council climate neutral from 2050 onwards. By 2013, the on Sustainable Development, Group plans to cut emissions from production and GCCA India takes over the work of the outsourced energy by around 30%. Emissions Cement Sustainability Initiative India, which from the use of the company’s products are to formerly served as the sector’s sustainability fall by 16% by 2030. The company’s new climate alliance. strategy is based on the Paris Climate Agreement The Indian cement industry has been a partner of 2015. The company’s new targets take in in India’s development and has helped accelerate thyssenkrupp’s own production operations, the key development projects, such as affordable energy it purchases, and its products. housing and infrastructure. Equally, the Indian Under the Climate Action Program for cement industry is conscious and aware of its Sustainable Solutions, thyssenkrupp will responsibility to ensure a sustainable approach to systematically work to make its products carbon its business conduct. Recently, the India Cement neutral. The Group already offers a technology for Sector Sustainable Development Goals Roadmap the cement industry that permits CO2 emissions was launched to help realise the potential of the from the combustion processes to be captured for sector to contribute to the 2030 agenda. subsequent storage or processing. In the area of GCCA India will help ensure that, in terms sustainable mobility, thyssenkrupp is working with of the sector’s commitments to sustainability, European partners to produce fuel from biomass. innovation in technology and manufacture, and

These fuels reduce CO2 emissions by up to 90% collaboration across the wider built environment, compared to conventional fuels. the Indian cement sector can play a key Other key areas include the e-mobility sector, leadership role. GCCA India will develop a work where thyssenkrupp supplies battery production programme that will focus on the wider global lines and special steels for electric motors. GCCA priorities but with practical application The Group is also actively involved in the across the Indian built environment. development of energy storage solutions, for “I am delighted to ofﬁ cially launch GCCA example with electrolysis systems that convert India,” said Benjamin Sporton, CEO of the electricity into hydrogen. These storage systems GCCA, speaking at the GCCA India launch allow a constant supply of electricity from event. “Building collaboration and bringing renewables regardless of the weather. important focus to the sustainability work that is “These threats posed by climate change affect underway across the cement sector in India is us all,” said Guido Kerkhoff, CEO of thyssenkrupp. vital.” “As an industrial company with operations around the globe, we are in a particularly good position LafargeHolcim to acquire leading to reduce greenhouse gas emissions through Romanian precast producer sustainable products and processes. We take this responsibility very seriously. Now we are setting LafargeHolcim has signed an agreement with ourselves clear targets for 2030 and 2050 as the ORESA for the acquisition of Somaco, one of next logical step.” Romania’s leading precast concrete producers. The transaction will allow LafargeHolcim to GCCA India launches develop its position on the Romanian building materials market, where the company is already The Global Cement and Concrete Association present in the cement, ready-mixed concrete, and (GCCA) has announced the launch of aggregates segments. GCCA India. Somaco operates ﬁ ve precast concrete plants Based in Mumbai, GCCA India will focus and one plant for aerated blocks in Romania. on driving forward key sustainability work The company reported net sales of E56 million underway within the cement sector, in the in 2018 and has 750 employees. It has a strong

August 2019 World Cement 5 NNEWSEWS

portfolio of precast concrete solutions for bridges, tunnels, subways, DIARY and logistics platforms, and supplies products for the residential FICEM Technical sector. Romania’s precast segment is expected to grow over the Conference 2019 coming years as a result of the country’s high construction and 2 – 4 September 2019 infrastructure needs. Punta Cana, “This is our sixth bolt-on acquisition this year and we are delivering Domincan Republic on our commitment to further develop our Solutions and Products congresotecnico2019.fi cem.org business segment as part of ‘Strategy 2022 – Building for Growth’,” said Jan Jenisch, CEO of LafargeHolcim. “The acquisition enables LafargeHolcim to enter Romania’s fastest growing precast concrete International Congress on market and to become an integrated solutions provider for our local the Chemistry of Cement customers.” 16 – 20 September 2019 The transaction is subject to regulatory approvals and is expected Prague, Czech Republic to close in 4Q19. www.iccc2019.org Molinari to install its biggest shredder for tyres in Europe Alternative Fuel Symposium The Molinari shredder was installed in one of the principal plants 23 – 25 September 2019 for end life tyres (ELT) in the North of Italy, as part of an important Duisburg, Germany expansion programme. Molinari has installed its biggest shredder www.lechtenberg-partner.de of 46 t in one of the most important Italian plants active in the green economy. The machine will be used for shredding ELTs collected by the Ecopneus consortium, in order to prepare them for the BULKEX 2019 processing phases that make them recyclable. 16 – 17 October 2019 The order was commissioned in November 2018 during the Nottingham, United Kingdom Ecomondo exhibition in Rimini, and the installation was scheduled bulkex.co.uk for May. It is a double shaft shredder with independent shafts. The central blades are placed on a traverse collocated at the centre of the two shafts. The distance between rotary and fi x blades can be Cemprospects easily and rapidly adjusted. 7 – 10 November 2019 Tyres are among the most diffi cult materials to treat: they are Kraków, Poland made of rubber, harmonic steel, and synthetic fi bre. The rubber www.cimeurope.eu is elastic by defi nition and the steel wears easily, meaning sharp blades that are capable of cutting rather than tearing and a high structural rigidity of the machine is all that is required. These aspects AUCBM Arab International are particularly important when there is a desire to combine the Cement Conference and optimisation of energy consumption with a clean cut. Exhibition The Molinari project was born taking these characteristics into 24 – 26 November 2019 consideration, which are necessary conditions to face in the tyre Cairo, Egypt shredding market. The company decided to innovate despite the www.aucbm.net traditional processing schemes. The fi rst concerns a screen being installed directly on the machine. As a result, the material remains in the grinding chamber until it is reduced to a size that allows its passage International Construction through the holes of the screen. The second and most important idea Forum: Cement. Concrete. concerns the adjustable cutting system, making it possible to recover Dry Mixtures the millimetres of wear lost during working operations and keeping 27 – 30 November 2019 productivity and energy saving constant over time. Moscow, Russia Rubber is a difficult material to treat because of its elasticity. www.infocem.info In fact, it absorbs a lot of energy, transforming it into heat and

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self-regulated to produce shreds of quality, classified according to well-defined standards. After the first Molinari shredder was installed for a test phase to see if it could produce shreds according to French specifications, three more machines were sold in less than 12 months. This was due to the saving in terms of energy consumption but above all to the possibility of having already calibrated output dimensions of the shreds, without the need to add external screens and bulky recycling systems. For these reasons, the largest TP series shredder for tyres produced by Molinari was chosen, showing, in a short amount of time, the recognition at national and international level of the commitment and work carried out in recent years. With this project, Molinari affirms that Italy is also ready to catch up with the other large European and non-European international markets, which see on one hand the need to manage increasingly significant quantities of tyres to be ground, and on the other represent an opportunity to export Italian technology.

HeidelbergCement strengthens vertical integration in central France

HeidelbergCement has announced that its subsidiary HeidelbergCement France has finalised the acquisition of CEMEX’s centre region aggregates and ready-mixed concrete business in France. Molinari shredder. The acquisition includes seven aggregate quarries and 28 ready-mixed concrete not into cutting energy. Molinari was able to plants. The acquired aggregates reserves overcome this problem with an innovative and resources amount to 25 million t. rotor and a new blade design. The blades are HeidelbergCement France will fully integrate trapezoidal and have a thickness of 68 mm. the operations into its own network. They are hardened and can be resharpened “With this acquisition, we strengthen our by 20 mm. These are all aspects that the vertically integrated market position in central customer considered before choosing Molinari. France,” said Dr Bernd Scheifele, Chairman The robustness of the machine also allows the of the Managing Board of HeidelbergCement. treatment of tyres with large dimensions. “The operations fit well into our existing The shredder that was installed is the network of aggregates and ready-mixed biggest shredder for tyres installed by Molinari concrete plants in the Paris region, and we in Europe. The country that showed the expect significant synergies. The acquisition is greatest interest in the factory from Bergamo part of our strategy of disciplined growth and was France, which is the only country that is increasing shareholder returns.”

8 World Cement August 2019

Latin American Miscellany Commissioning Editor fter the ﬁ rst few months of 2019, it became clear that economic activity in Paul Maxwell-Cook considers Latin America would remain soft this year, the situation in this increasingly A after a tough 2018. Focus Economics analysts, among others, said that challenging volatile region. external environmental and political uncertainty are weighing on the year’s prospects. All eyes will be on Argentina, Bolivia, El Salvador, Guatemala, Panama, and Uruguay during this year’s presidential elections. The World Bank cut its growth rate for the region from 1.6% (October 2018), to 0.9 % in April of this year, while Focus Economics predicts an expansion of 1.9% this year and 2.5 % for 2020. Not factored into the recent economic predictions is the impact of the escalating trade battle between the US and China.

11 It is impossible in this article to cover all the the country’s gas and energy policy, welcoming countries that constitute Latin America. Instead, the migrants, and spurring growth in impoverished areas. following is a selection of those that consistently Eric Martin, in a recent article for Bloomberg, has said attract the world’s media and attention. that the President faces a daunting task as he tries to get the economy to grow towards his target of 4%. Brazil The country has long suffered from a weak rule of In October 2018, the right leaning politician law and rampant crime. Add to that concerns from Jair Bolsonaro was elected as the country’s decisions such as his cancellation of the US$13 billion 38th President. Against a background of the airport and the suspension of oil contracts, and private country struggling with bureaucracy, tax complexity, companies are left without the certainty to invest. As juridical uncertainty, and low labour productivity, Alonso Cervera, Chief Economist for Latin America he has set goals of tackling corruption, improving at Credit Suisse AG points out, “The biggest security, and dealing with a weak economy. His challenge is to create confi dence in the business well-reported slogan of “We want to make Brazil sector so that private investment can recover and great again,” has echoes of a similar one made by accelerate.” In June, as reported in the media, the US President, Donald Trump. The two Presidents Mexican government agreed to take “unprecedented met at the White House in March to discuss closer steps” to help stem the fl ow of migrants to the ties between the two countries, Brazil’s aspiration to US, in order to avoid trade tariffs threatened by join the Organization for Economic Co-operation and President Donald Trump. Development (OECD), the crisis in Venezuela, and Mexico is expected to grow at 1.5% this year, down trade deals. from last year’s predicted fi gure of 2%. Reuters earlier this year predicted Brazil’s growth had been revised down from 2.4% to 2.0% for 2019, Cement update with a similar fi gure for 2020. Earlier this year, Cemex announced that it would increase investment in maintenance and strategic Cement update assets to US$850 million. The country’s total cement In April, the International Finance Corp. (IFC) production this year is expected to be 49 million t. announced its support for the development of the Cement Technology Roadmap. This has been Argentina initiated by the Brazilian Portland Cement Association In October, the country’s centre-right reformist (ABCP) and the National Cement Industry Union President, Mauricio Macri, will seek to win a second (SNIC). The roadmap suggests alternatives to further term in the general election. His main opponent reduce already comparatively low CO2 emissions in will be Cristina Fernandez de Kirchner, who was the country’s cement industry. Paulo Camillo Penna, President from 2007 to 2015. Whoever is elected President of SNIC and the ABCP stated, “The faces a monumental task in tackling the country’s Brazilian cement industry has one of the lowest rates chronic fi nancial problems, which has seen the of CO2 emissions in the world as a result of actions economy contract in four of the past seven years. implemented in recent decades, and we want to The current crisis began in April 2018 and the continue leading in the future.” Michel Folliet, IFC government was forced to secure a US$57 billion Chief Industry Specialist, concurs, stating that “Brazil loan from the International Monetary Fund (IMF). is on the right track to decarbonise its cement value This is the largest loan in the IMF’s history. chain, adopting best practices in energy effi ciency, Martin Guzman, an Associate Professor at use of alternative fuels, renewable energy, and the University of Buenos Aires, in an article innovative cement and concrete products.” for Project Syndicate writes, “In 2020, the new As reported towards the end of last year, government will try to regain access to international Buzzi Unicem acquired 50% of BCPAR SA, a credit markets, with the country already heavily in subsidiary of Brennand Cimentos that operates debt. If the economy shows no signs of relief, there two cement plants. In January, the Vicat Group will be a further debt crisis.” He makes clear that, to announced that it had acquired Cimento Planalto, a avoid this, the country will need sustained growth; company that operates a 3.2 million tpy plant in the changing macroeconomic policies would at least vicinity of Brasilia. Votorantim Cimentos is increasing give the country a chance. the agricultural lime capacity of its Nobre (MT) plant Analysts predict the economy will contract by about by 700 000 t. It is also installing a port terminal in 1.1% this year. Manaus. Cement update Mexico Earlier this year, Loma Negra reported that work An altogether different fi gure leads Mexico. was progressing with the expansion of its L’Amati López Obrador, a former major of Mexico City, was plant, which will add 2.7 million tpy to the company’s elected President in July 2018 on an election ticket of operations. The 5800 tpd plant, which is being built by rooting out corruption, reducing violence, rethinking Sinoma, is scheduled for completion in 2020.

12 World Cement August 2019

Colombia the supply of a new Plug&Grind XTREME modular At the beginning of 2019, the World Bank predicted grinding unit for the company’s new industrial that growth in Colombia would strengthen at a development site on the outskirts of Punta Arenas in moderate pace during 2019 – 2022. Focus Economics Southern Chile. The capacity of the new mill system expects growth of 3.1% this year and 3.2% in will be 300 000 tpy. 2020. After geological problems and disputes, the As part of its Transforma 2021 Plan, long awaited US$15 billion Fourth Generation (4G) Cementos Bio Bio has inaugurated its new road-building programme was expected to begin 200 000 tpy plant at Arica in the north of the country. construction this year. The scheme, described as The plant will complement one that is developing the most ambitious in the country’s history, will see in southern Peru. The Transforma 2021 plan is the construction or upgrading of 8000 km of roads, a four year investment strategy that amounts to including 1200 km of four-lane highways. Colombia’s US$150 million in investments, modernisation, and President, Iván Duque Márquez, announced that, the expansion of its assets. The plan also includes through an economic re-activation plan, 70% of projects in Argentina, Colombia, and Ecuador. 4G projects would be fi nanced and executed in March 2019. Peru The country has taken a leading role in adopting Fitch Ratings reported that infl ation averaged 1.3% an open border policy by accepting over 1.5 million in 2018, amid economic slack and an absence of migrants who have fl ed from Venezuela. The food price and external shocks. It predicts a rise number who remain in Colombia is equivalent to in 2019 – 2020 to 2%, as private consumption 3% of Colombia’s population. The country’s foreign and non-mining investment rise moderately. minister stated that, by 2021, the country may be Focus Economics expects to see GDP expanding playing host to 4 million Venezuelans. The question 3.8% this year and 3.7% in 2020. might be: how long will it be before the country The press agency Andina reports that the becomes overwhelmed? Energy and Mines Minister, Francisco Ismodes, has projected that mining investments this year will be Cement update about US$6 billion, underpinned by better mineral In March, Reuters reported that Grupo Argos will price prospects in the long term. It is well known that invest US$816 million in its energy, construction, and Peru is a global leader in the mining industry and is cement subsidiaries this year. Electricity generator one of the world’s biggest producers of base and Celsia, Cementos Argos, and infrastructure precious metals, as well as being the third largest company Odinsa will be the focus of the spending. producer of copper and zinc. The Celsia investment will major on wind and solar Peru’s construction industry saw growth of 2.4% energy projects to generate 550 MW of electricity, in 2017 and 4.5% in 2018. GlobalData said this was while Odinsa has contracts to expand Bogota’s due to positive developments in economic conditions, El Dorado airport. a revival in investor confi dence, and investments in transport infrastructure, energy, and housing Chile construction projects. It predicts an increase of 5% At a recent World Bank meeting in Washington D.C., for 2019 – 2023. As GlobalData’s lead economist Chile’s Economy Minister, José Ramón Valente, in Danny Richards puts it, “the construction industry’s an upbeat interview with Bloomberg, confi rmed that output value will continue to expand between 2019 the country’s economy is expected to grow at 3.5% and 2023, with investments in infrastructure, health, this year, after last year’s promising growth of 4%. education, and housing projects continuing to drive He pointed out there was a reduction in minerals growth.” The cement industry should be happy output due to unusual weather conditions in the north with that! of the country, and this was one of the causes of a slowdown in the fi rst part of this year. He emphasised Cement update that entrepreneurship was fl ourishing and tourism As mentioned earlier, the Chilean cement company was on the increase. The government wants to cut Cementos Bio Bio is investing US$20 million in red tape and lift the barrier to enable entry into more building a new 200 000 tpy plant in the vicinity of markets, in a move to ease trade tensions. the Port of Matarani, in Arequipa, southern Peru. Fitch Solutions has commented that real growth for The company has stated that it could double the Chile’s construction industry will be 2.8% this year, on capacity in a second stage development. The plant is the back of stronger investment and the advance of scheduled to start producing cement in 2020. large-scale infrastructure and mining projects. These will be the drivers of the industry heading into 2020. Ecuador In February, Ecuador reached a US$4.2 billion Cement update fi nancing deal with the IMF. Reuters reported At the beginning of 2019, Cemengal confi rmed it that the country will also receive US$6 billion in had received an order from Cementos Melón for loans from the World Bank, the Inter-American

14 World Cement August 2019

Development Bank, and the CAF Development The economy should expand this year by 4.1% and Bank. The country is trying to cope with a large fi scal by 3.7% in 2020. defi cit and heavy external debt. President Lenin Moreno has begun to implement an austerity plan, Cement update including layoffs in state-owned companies and cuts It is expected that Ecebol’s 1.3 million tpy plant, to gasoline subsidies. which is being built by Imasa Polysius, is scheduled Ecuador is the smallest member of the for completion in February 2020. Ecebol is reported Organization of the Petroleum Exporting Countries to be nearing completion on the 1.3 million tpy Oruro (OPEC). The country expects to increase oil cement plant. In a move to boost state cement production signifi cantly by the end of this year as plants, President Evo Morales has issued a decree the fi nal phase of development of the Isipingo fi eld stating that Bolivian cement will be used in concrete comes online. The government, as reported by for departmental roads, replacing asphalt that the S&P Global, has confi rmed that 90% of all crude country imports from Brazil and Peru. exports this year head towards Asia, especially China, Thailand, and India. This is to pay obligations Other countries: cement update related to loans taken out by Ecuador’s former In Guatemala, the new Cementos Progreso President, Rafael Correa. 4500 tpd plant in San Juan Sacatepéquez is expected to begin production in 2020, and tests are Venezuela currently underway. As reported earlier this year, the The crisis in this once oil-rich country has been 2500 tpy greenfi eld plant being built by FLSmidth in deepening. It really began during Chávez’s presidency Paraguay is predicted to come online in 2021. in 2010, when he declared an ‘economic war’ as increasing shortages began to bite. Low oil prices in US-China trade war 2015, and a drop in oil production under President It is important to mention the US-China trade war Maduro in his second term of offi ce, intensifi ed and its impact on the Latin American countries. matters, leading to the current desperate situation. In an article published in May of this year, The downward spiral in the country’s economy has led Evodio Kaltenecker, Fellow at Techológico de to hyperinfl ation. Food, gasoline, medical shortages, Monterrey, pointed out that, as this trade war and poverty have seen over 3 million people fl ee the unfolds, it will send impact waves on a global scale, country since the current crisis began. As mentioned with Latin American countries especially vulnerable above, more than a third of that number have crossed to a world with low economic growth. The region as the border into Colombia. a whole presents a rising dependency on commerce The President’s position is being fi ercely with China. challenged by Juan Guaidó, the opposition leader. On the one hand, Latin America is currently To date, 50 countries, including the US, regard him China’s second-largest destination for foreign as Venezuela’s legitimate interim president. At the direct investment, with regional trade having time of writing, rival rallies and demonstrations have multiplied 18 times since 2000. On the other hand, become daily occurrences. It has been noted that Latin America has historical and economic ties other Latin American countries, such as Argentina, with the US, but, as Kaltenecker suggests, with Peru, and Brazil recovered from hyperinfl ation the current US disengagement in the region, it is situations in the 1980s and 1990s, but Venezuela’s expected that the Chinese infl uence will keep on. problems have been around for two decades and go China’s Belt and Road Initiative has now extended much deeper. It could be that Venezuela’s fortunes, to some 18 countries in Latin America and the in the end, will be decided by external countries, Caribbean, with the object of expanding trade ties. such as the US, Russia, or China. Conclusion Bolivia Expectations at the beginning of 2019 for an The country’s president, Evo Morales, was fi rst improved situation in the region after a tough elected in 2016. At the forthcoming general election 2018 simply have not materialised. The results in October, he will be running for a fourth term. of the elections in six countries will be carefully The online Foreign Brief reports that he has been monitored for signs of changes in political and relatively successful in offi ce, bringing political and social attitudes. The impact of the US-China economic stability. During his presidency, the country trade war on Latin America, as observed by the has averaged about 4.6% annual growth, more World Economic Forum, will depend on how than twice the rate for the rest of Latin America. vulnerable each economy is and whether the Focus Economics suggests that growth is moderating economy is facing external or domestic imbalances. this year, as a slowdown in neighbouring economies weighs heavily on exports. Even so, Bolivia should Sources remain one of the fastest growing economies in the News agencies, BBC, company news, World Bank, region, underpinned by healthy domestic activity. Reuters, Bloomberg, GlobalData, and local media.

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