Globally cement prices are set to rise as tariffs on imports and carbon costs start reshaping the industry, according to World Cement Association (WCA), an international cement association representing the sector and its stakeholders.

This bold prediction highlights the significant financial burden of decarbonisation on the industry. It signals a fundamental shift where carbon costs are no longer just an operational expense but a selling imperative, driving up cement prices and reshaping the global production landscape, said  WCA’s Founder and Director Emir Adiguzel during his address at World Cement’s Envirotech 2025 Conference in Athens, Greece, last month.

Adiguzel has warned of unprecedented financial and structural impacts on the cement industry due to rising carbon costs.  In addition to this stark forecast, he highlighted several critical industry developments. These include:

•             Overcapacity remains one of the cement industry’s most pressing challenges.

•             The US has a net production deficit, yet imposing tariffs on cement imports from Canada, Mexico, or Europe will not create shortages. Instead, it will drive up prices due to logistical differences.

•             Carbon capture is now dictating the global cement production map. Many small- to mid-sized companies are at risk of disappearing, while large multinationals with access to substantial funding will emerge as dominant players.

•             The European cement industry is already facing potential plant closures due to carbon pricing pressures.

•             The EU Commission has proposed a €100 billion ($108 billion) industrial decarbonisation bank, but its financing structure remains uncertain.

The major question is will funding be distributed equally among industry players and will small- and mid-sized companies receive a fair share, stated Adiguzel.

These developments indicate that the cement industry is at a critical turning point, with far-reaching financial and structural implications, he added.