Upgrades and spares market size are expected to increase over the next five years, according to CW Research's World Cement Equipment Market and Forecast Report 2022.

Upgrades and spares are likely to grow at an average of 1 percent from 2022 to 2027, and account for more than 70 percent of the cement equipment market by 2027. Meanwhile, brownfield and greenfield projects are set for a downward trajectory in the next five years.

China is expected to be the main market for upgrades, as low quality and low-efficiency equipment is expected to be replaced.

“Looking onwards, upgrades will be increasing as their share of total projects in terms of US dollars increases substantially. Greenfields are expected to become less frequent as new limestone resources are limited, therefore, there is an increased focus on brownfield expansions. Additionally, there is a trend to place new grinding units closer to demand centers," assesses Wanderson Teixeira, Business Analyst, CW Group.


- Greenfield projects to decrease over the next five years

Greenfield projects are expected to drop sharply between 2022 and 2027 and represent a smaller share of the cement equipment market, as the majority of new additions will be taking form as expansions of already existing plants.

A surge in upgrades is expected to partially offset declining greenfield projects in terms of cement equipment market size. The factors weighing the most on the cement equipment market are sustained inflation and severe pricing competition.


- Burners to record the smallest decline in terms of market size

The market size for burners is expected to record the slowest decline of all cement equipment market segments, down by about 2 percent over the 2022-27 period.

Regarding burners, the majority of upgrades are related to switching in fuels and stronger emissions standards. With growing concern over NOx emissions, particularly in China, the burner market is expected to face little pressure from pricing competition when compared to other segments.


- Environmental, testing and automation market size to decline until 2027

Environmental, testing, and automation and control are also expected to see a decline in the next five years, despite stricter environmental regulations.

Precalciner and kiln manufacturers will be suffering the most from pricing declines, as these equipment pieces are low technology and often supplied by whoever offers the lowest price.