The global cement market is undergoing a significant geographical and technological transition in 2026. Construction activity remains the fundamental demand driver, but the industry’s growth is increasingly concentrated in emerging economies, while mature and historically dominant markets face weaker consumption. At the same time, carbon regulation, alternative fuels, supplementary cementitious materials, and carbon capture are changing how cement is produced and traded.
According to the U.S. Geological Survey, global cement production was estimated at approximately 3.8 billion metric tons in 2025, compared with around 3.9 billion tons in 2024. China remained by far the largest producer, although its output fell from approximately 1.8 billion tons to some 1.7 billion tons. India moved in the opposite direction, with production increasing from around 440 million to 470 million tons.
China’s Cement Contraction Continues
China remains the most important influencer in the global cement balance, but its long-running construction slowdown continues to reduce demand. Official Chinese statistics show cement production of around 1.69 billion tons in 2025, down 6.9% year on year. The contraction intensified during 2026: January-August cement output reached approximately 989 million tons, 9% below the corresponding period of 2025. Weak property construction, excess capacity, and industry restructuring therefore remain major challenges for Chinese producers.
India Gains Ground in the Cement Market
India provides a strong contrast. Cement production reached approximately 491.4 million tons in FY26, rising 8.6% year on year, supported by infrastructure projects, housing construction and urban development. Industry capacity is approaching 700 million tons per year, while another 150–160 million tons of capacity could be added between FY25 and FY28. This expansion is gradually shifting the centre of gravity of global cement consumption toward South Asia and other rapidly urbanising regions.
Low-Carbon Cement Moves From Strategy to Commercial Requirement
Perhaps the most important structural development is the acceleration of cement decarbonisation. GCCA data published in 2026 indicate that CO₂ emissions per tonne of cementitious material have declined by roughly 25% compared with 1990, while the use of alternative fuels has increased almost thirteenfold. Producers are lowering clinker factors, increasing the use of slag, fly ash, calcined clay and other supplementary cementitious materials, improving kiln efficiency and exploring alternative raw materials.
Carbon capture is also moving closer to commercial deployment. In June 2026, the Global Cement and Concrete Association and Global CCS Institute formed a partnership intended to accelerate CCS deployment across the cement industry.
Carbon Regulation Begins to Influence Cement Trade
Trade patterns are also becoming increasingly linked to carbon intensity. The EU Carbon Border Adjustment Mechanism entered its definitive phase on January 1, 2026, covering cement alongside other carbon-intensive products. Importers above the applicable threshold must comply with CBAM requirements and ultimately account for embedded emissions through carbon certificates.
To Conclude
The cement market is therefore becoming more regionalised and technologically differentiated. China’s declining output contrasts sharply with capacity expansion in India, while environmental performance is becoming a competitive factor alongside price and logistics.
Future growth will increasingly favour producers capable of reducing clinker consumption, controlling energy costs and supplying lower-carbon cement without compromising construction performance. The next stage of cement-market development will consequently be driven not simply by volume growth, but by the interaction between infrastructure demand, regional capacity shifts and rapid decarbonisation.
More reliable information on the global cement market dynamics and trends can be found in the insightful research study “Cement: 2026 World Market Review and Forecast to 2035”.