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Holcim to make cement more sustainable & environment friendly

Holcim said cement production needs high temps, greenhouse emissions

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It’s as puzzling as it is bold for building materials manufacturing MNC to pull the plug on a country where 10-15 million families still live in kutcha and semi-pucca houses with mud, wood, or bamboo floors. Although Jan Jenisch, Holcim CEO, recognised that cement and climate are becoming increasingly incompatible.

Holcim’s founders, the Swiss Schmidheiny family, were unable to escape a controversy involving the Italian asbestos manufacturer Eternit Genova, which was determined to be responsible for the deaths of over 2,000 people supposedly exposed to the poisonous substance.

Stephan Schmidheiny, the primary shareholder of Eternit Genova, was found guilty by a Turin court in 2012 of refusing to implement asbestos-prevention measures that would have protected employees and residents.

The verdict was reversed by the Italian Supreme Court two years later, but the reputational harm had already been done.

Jenisch and his shareholders wouldn’t want another malignant sore point after the lingering controversy and the 2016 discovery that the then-post-merger firm LafargeHolcim had paid taxes to Islamic State (IS) intermediaries in 2013-14 to keep its facility in Jalabiya, Syria, operational.

Therefore, Jenisch has started preparing the groundwork for a new Holcim, moving away from past obsessions with cement, aggregates, and ready-mix concrete and toward a more sustainable and environmentally friendly future.

Cement production necessitates high temperatures and produces significant volumes of greenhouse emissions.

Jenisch is not shying away from divesting Holcim’s sprawling India operations, as well as similar sales in Brazil, Mozambique, and Northern Ireland, to speed up its transition to a green company.

The company aims to over halve its cement revenue share by 2025 while increasing its greener portfolio by more than 3.5 times.

It also makes business sense to promote ESG in today’s era of conscientious capitalism (environmental, social and governance).

Holcim, which trades at a 12.8 price-to-earnings (PE) ratio, might see its valuation rise if it transitions from a pure commodities player to offering solutions or diversifying into building chemicals.

Sika, on the other hand, trades for over four times the multiples. And if you consider Pidilite, the Indian adhesives behemoth, which is presently trading at 97.9 PE, the value difference is eight times larger.

This Holcim playbook will be adopted by an increasing number of industrial enterprises throughout the world, including India. Asian Paints has progressed to become a home renovation expert, while cement companies JSW and JK, like the Aditya Birla Group, have expanded into paints and other value-added services.

A rising number of industrial firms throughout the world, particularly in India, will follow Holcim’s lead. Asian Paints has evolved into a home remodelling specialist, while JSW and JK, like the Aditya Birla Group, have diversified into paints and other value-added services.

An intermediate way might be to use the moat of predictable cash flows created by old activities.

Ambani’s move into telecommunications and retail was first financed by his conventional petrochemicals sector, just like ITC did with tobacco to support its hotels, FMCG, and paper verticals.


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Concrete

UltraTech to Deploy 600+ Electric Trucks by Dec 2026

Cement major expands green logistics to cut emissions across supply chain

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UltraTech Cement Limited, an Aditya Birla Group company, plans to expand its electric vehicle fleet in logistics operations to more than 600 EV trucks by December 2026, strengthening its green transport initiatives.
The company has signed service agreements with leading EV prime mover manufacturers, including Tata Motors, Ashok Leyland, IPLTech, Energy in Motion and Sany, along with their subsidiaries and logistics partners, for deploying electric trucks.
The expanded fleet will transport around five million MT of clinker and other key materials annually across Gujarat, Uttar Pradesh, Madhya Pradesh, Rajasthan, Chhattisgarh, Maharashtra and Odisha. Once operational, the fleet is expected to reduce annual CO₂ emissions by over 1,17,000 tonnes and replace nearly 39 million litres of diesel consumption.
K C Jhanwar, Managing Director, UltraTech Cement Limited, said the company is extending sustainability beyond its manufacturing plants by adopting greener logistics solutions and decarbonising its value chain.
UltraTech has been among the early adopters of sustainable transport in the cement sector, introducing CNG trucks in 2021 and electric trucks in 2024. The company currently operates more than 850 trucks under its green logistics programme, including CNG and electric vehicles.
With a grey cement capacity exceeding 200 MTPA in India, UltraTech is integrating electrification across its logistics network, covering mine-to-plant movement and inter-plant transportation of clinker and other materials.

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UltraTech Cement expands green logistics with 600+ electric truck fleet

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The e-truck fleet will be used to transport five million MT of clinker and other key materials with potential of over 1,17,000 tonnes of net annual CO₂ reduction, displacing the equivalent of 39 million litres of diesel per year.

Mumbai

UltraTech Cement Limited, an Aditya Birla Group company and the world’s largest cement company by sales volume and capacity outside China, has announced that it will scale up its electric vehicle fleet in its logistics operations to 600+ EV trucks by December 2026.

UltraTech has signed service contracts with leading EV prime mover manufacturers including Tata Motors, Ashok Leyland, IPLTech, Energy in Motion and Sany, along with their subsidiaries and other third-party logistics providers, to deploy EV trucks.

The total fleet of 600+ EV trucks will transport about five million MT of clinker and other key materials per annum across Gujarat, Uttar Pradesh, Madhya Pradesh, Rajasthan, Chhattisgarh, Maharashtra and Odisha. Once fully operational, this fleet of over 600 EV trucks will enable a net annual CO₂ reduction of more than 1,17,000 tonnes, displacing the equivalent of 39 million litres of diesel per year.

K C Jhanwar, Managing Director, UltraTech Cement Limited, said, “UltraTech is expanding sustainability beyond its plants by adopting greener logistics solutions. This large-scale transition to green logistics underscores our focus on decarbonising every link of our value chain and supports our commitment to achieving Net Zero.”

UltraTech has been a pioneer in advancing sustainable transport in the cement sector, being the first cement company to deploy heavy-duty electric trucks for long-haul transport of clinker and other materials at scale. The company was among the first in India to introduce green logistics, deploying CNG trucks in 2021 and electric trucks in 2024. UltraTech currently operates 850+ trucks as part of its green logistics operations, including CNG and electric trucks.

UltraTech, with a grey cement capacity of over 200 MTPA in India, operates one of the country’s most complex logistics networks. Its electrification strategy covers the entire supply chain—from mine-to-plant movement to inter-plant transport of clinker and other key materials.

The $ 10 billion UltraTech, the cement flagship company of the Aditya Birla Group, has a total Grey Cement capacity of 205.5 MTPA and White Cement/Putty capacity of 3.2 MTPA. It is a signatory to the GCCA Climate Ambition 2050 and has committed to the Net Zero Concrete roadmap announced by GCCA.

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CarbonStrong Raises Rs 125 Million To Scale Low Carbon Cement Tech

To build capacity of 100,000 tonnes a year

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CarbonStrong has raised Rs 125 million (125 mn) to scale a low carbon cement technology and build commercial production capacity. The startup was founded in 2022 by Harsh Jain and Vikramaditya Singh and has moved from customer trials to plans for industrial supply. The company said its material replaces up to 50 per cent of cement in concrete while reducing costs and improving durability.

CarbonStrong states the product is around 30 per cent cheaper than cement and compatible with existing concrete plants, reducing the need for new equipment and operational disruption. Trials and paid pilots have been conducted in Bengaluru, Hyderabad and Chennai with demonstration projects involving ready-mix firms and precast manufacturers. Compatibility with current workflows forms a central part of the commercial strategy, aiming to ease adoption by builders and contractors.

The funding will support construction of a facility with capacity of up to 100,000 tonnes (100,000 t) a year over the next two years to supply early customers commercially. The firm is also developing materials from steel slag, copper slag and mine tailings to expand its feedstock base, while noting the technical challenge of homogenising different waste streams. Recognition by HCL ClimaForce in 2026 and by the Avaana-Startup India-NITI Aayog AIM Grand Challenge in 2025 has underscored progress.

Industry adoption remains the principal test and will require consistent material performance, supply reliability and competitive economics. CarbonStrong projects the Indian market for cement substitutes could reach Rs 250 billion (250 bn) by 2030 and has set an ambition to produce 10 million tonnes a year by 2035 (10 mn t), a target far above its near term capacity. Moving from pilots to production demands capital, manufacturing discipline and customers willing to specify the material beyond demonstrations. The recent Rs 125 million raise is intended to fund the next phase of scale and to demonstrate that industrial waste can become a dependable input for lower carbon construction.

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