The cement market in the Gulf Cooperation Council (GCC) region is projected to grow from 94.5 million tons in 2024 to 142.8 million tons by 2033, according to IMARC Group’s latest report, GCC Cement Market Report by Type (Blended, Portland, and Others), End Use (Residential, Commercial, Infrastructure), and Country 2025–2033. This reflects a compound annual growth rate (CAGR) of 4.7% during the forecast period.
Key Growth Drivers
1. Rapid Urbanization and Population Growth
The region’s accelerated urban development and population expansion are driving demand for cement, particularly in residential and public infrastructure. Saudi Arabia’s Vision 2030 and mega-projects like NEOM are major contributors, alongside growing housing demand in the UAE and Qatar.
2. Government Investments in Mega Projects
Substantial public spending on infrastructure—including transport systems, airports, and tourism facilities—continues to boost cement consumption. Projects linked to events like the FIFA World Cup 2022, FIFA World Cup 2032 and Expo 2020 have laid the foundation for ongoing demand across the GCC.
3. Economic Diversification Initiatives
Efforts to reduce dependence on oil are stimulating construction in emerging sectors such as tourism, manufacturing, and logistics. Developments like Oman’s Duqm Special Economic Zone illustrate how diversified growth is fueling cement needs across industrial and commercial domains.
Market Trends
1. Transition to Sustainable Construction
Environmental regulations and public awareness are encouraging a shift toward greener construction practices. The use of blended cement incorporating by-products like fly ash and slag is on the rise, particularly in the UAE, where green building codes are increasingly adopted.
2. Technological Advancements in Production
Digitalization and automation are improving production efficiency and sustainability. Innovations such as energy-efficient kilns and digital monitoring systems are being adopted to meet quality standards while minimizing environmental impact.
Outlook
The outlook for the GCC cement market is robust, driven by urban expansion, infrastructure development, and environmental innovation. While challenges such as fluctuating oil prices and evolving carbon regulations persist, the market is expected to remain resilient.
Strategic investments in green technologies and smart manufacturing are positioning the sector for long-term success, aligning with the region’s broader goals for economic diversification and sustainability.
Source: IMARC Group
