The local cement industry is expected to rebound in the medium term as infrastructure spending remains strong and housing demand continues to rise.

Speaking at its 2025 annual stockholders’ meeting on Monday, Concreat Holdings Philippines (CHP) president and chief executive officer Herbert Consunji said the country’s cement market is poised to recover despite currently facing short-term pressures.

Consunji said cement demand softened in 2024 due to lower prices, imports, and global uncertainties, but recovery is expected in the next few years, supported by government infrastructure programs and the housing backlogs.

“We believe demand will recover over the medium term. Infrastructure continues to be a government priority, backed by spending commitments of at least 5 percent of GDP (gross domestic product),” he said.

Consunji also sees the Philippine cement market to continue growing as the country currently lags behind its regional peers in per capita cement consumption.

“Cement consumption per capita in the Philippines remains well below regional benchmarks, suggesting strong room for growth. And the projected housing backlog —expected to reach 10 million units by 2028— presents significant upside for the industry,” he said.

To tap these opportunities, Consunji said the company delivered its major expansion project, with Solid Cement Plant in Antipolo City fully operational last month.

“As of April 2025, our new 1.5-million-ton line is fully operational —boosting total annual capacity by 26 percent, to 7.2 million tons,” he said.

He added CHP reintroduced Ordinary Portland Cement that can serve large-scale projects across the country.

The company also uses alternative to fuels, including plastics and used rubber tires to enhance both sustainability and cost-efficiency in its operations.

“Equally important, we are drawing on the full strength of the DMCI group to support our transformation. We have reduced our reliance on imported fuel and minimized foreign exchange exposure by shifting to greater use of locally sourced Semirara coal,” Consunji said.

He said the CHP will also expand its distribution network in Visayas and Mindanao.

Via PNA