U.S. cement manufacturers have ample production capacity to meet increased demand from infrastructure revitalization efforts being contemplated by the Trump administration and Congress, an analysis from the Portland Cement Association (PCA) concluded. The industry is currently operating at roughly 79 percent of capacity, estimated at 108 million metric tons (Mt) per year; when coupled with terminal storage and transfer capabilities, PCA estimated that it is capable of supplying more than 150 Mt annually.
Taking into account specific proposed infrastructure projects and known economic drivers – including projects aimed at restoring the nation’s highways, waterways, pipelines, runways and even a potential border wall – PCA determined that the U.S. cement industry would have more than enough capacity to meet even the most challenging infrastructure revitalization program.
“America’s infrastructure is built with cement and concrete because it has to be safe, resilient and long lasting,” said PCA President and CEO James G. Toscas. “Revitalizing it will require more cement and concrete – and America can be confident that our cement industry is ready to meet the challenge.”
Toscas continued, “Cement companies have made significant investments to increase capacity, productivity, and energy efficiency. Those investments and innovations will pay off as the industry is called upon to support the infrastructure revival our country so desperately needs.”
After adding 1.3 Mt of capacity in 2016, U.S. cement producers announced plant expansion plans that could result in an additional 1.6 Mt of capacity by 2018, noted PCA. There are more than 90 manufacturing plants with annual shipments valued at approximately $9 billion in the U.S. PCA members account for 93 percent of all U.S. cement production capacity.