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Romania Construction Materials Report - Q4, 2014

  • February 2015
  • 16 pages
  • Emerging Markets Direct Media Holdings
Report ID: 3307256


Table of Contents

This report covers the market developments in Q3/2014, as well as the data available as of January 2015.

The performance of the construction materials market in Q3/2014 paralleled the decline of the construction sector over the quarter. While the construction works volume dropped by 11.2% y/y in Q3, the construction materials output also diminished by 5% y/y, after having increased by 12.9% y/y in Q2 and 7.8% y/y in Q1. Nonetheless, the good performance in the first half of the year likely managed to offset the decline, since players' estimates see the value of the market stagnant y/y in full-year 2014.

The cement segment increased by 5.7% y/y in January-September 2014 in value terms, with all the three major producers having recorded higher y/y sales over the period. Most of the demand for cement was generated by residential and commercial constructions, as infrastructure works remained subdued.

The cheering hike of the residential construction works (up by 35.7% y/y in January-November 2014) also impacted positively on the masonry segment. In volume terms, the masonry market grew by 3-5% y/y in 2014, yet in value terms, due to low prices, the market remains much below the 2008 level.

The construction materials and DIY retailers moved on with expansion plans in Q3/2014 and announced new openings this year as well. The cumulated revenues of the top six players increased at double-digit pace y/y in H1/2014, according to market data.

Key points:

oBuilding materials market value stagnant y/y in 2014, expected to grow in 2015

oConstruction materials output down y/y in Q3/2014

oCement sales increase y/y in Jan-Sep 2014, to continue on upward path in 2015

oMasonry market increases modestly y/y in 2014, driven by residential construction rebound

oPlasterboard market value stagnant y/y in 2014

oCumulated sales of major DYI players rise 11.8% y/y in H1/2014

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