Cuban Government Admits to 90% Drop in Cement Production for 2024

During the annual meeting of the Ministry of Construction (MICONS) held on Tuesday, the Cuban government acknowledged a significant decline in cement production, revealing that in 2024, output reached merely 10% of the country's installed capacity. "In 2024, only 258,000 tons of cement were produced, representing 10% of the current installed capacity, excluding new factories under construction," stated Reynolds Ramírez Vigaud, president of the OSDE Construction Materials Business Group.

This downturn has direct repercussions on the housing program and investment projects in the construction sector, as admitted by leaders Miguel Díaz-Canel and Manuel Marrero Cruz in their speeches, broadcasted by the National Television News (NTV). Among the primary causes of this crisis, the Cuban regime identified a shortage of energy suppliers, stemming from the nation's complex financial situation, highlighted by the leaders during the meeting.

"With the available resources for generation, how do we prioritize the cement factory?" questioned Díaz-Canel to those present. "There are various energy solutions proposed, but if there's no cement—I know it's not the only dependency—it's very challenging to have construction materials."

The appointed leader and Doctor in Sciences explained, "A significant portion of construction materials includes a cement component. Without cement, we cannot make investments; without cement, we can make little progress in the housing program."

"This is a plan we will develop under the pressure of the U.S. government's policies, which will undoubtedly intensify... We must be capable, with talent, effort, and work, to overcome all this tightening," Díaz-Canel urged, repeating familiar rhetoric from the presidential propaganda.

Construction Material Industry Faces Persistent Challenges

The construction sector in Cuba has been grappling with structural issues for decades. As far back as 2017, the cement industry operated at 58% capacity, and the situation has worsened due to lack of investment, energy crisis, and difficulties in importing materials. In recent years, the country has faced critical episodes, such as substantial cement losses in warehouses from logistical issues and factory shutdowns.

Despite initiatives like the production of the first ecological cement in 2018 or the reopening of the Sancti Spíritus plant in 2022, the sector has not achieved a sustained recovery. The inability to meet the annual housing plan and the continued sale of cement in MLC underscore the insufficient production to satisfy domestic demand.

Moreover, the government has prioritized exporting materials to earn foreign currency, exacerbating local shortages and making access to these inputs more expensive for the population. Nonetheless, the prime minister emphasized the need to boost cement production for export. "We need to reverse this situation because the production of construction materials is very cross-cutting. It's necessary for everything, for development, to advance in all investment processes. Additionally, this replaces imports, generating foreign currency income. We've already identified and made progress in locating demands from abroad for construction materials," stressed Marrero Cruz during the meeting.

The meeting also revealed that production will commence this year at the new cement plants under construction in Santiago de Cuba and Nuevitas, potentially aiding the sector's recovery. The annual MICONS meeting was attended by high-ranking government officials, including Commander Ramiro Valdés Menéndez, Vice Prime Minister Ricardo Cabrisas Ruiz, and Minister of Construction René Mesa Villafaña.