Global Building Products: Cement/Building materials sector snippets and implications

Research evidence excerpt

Global Building Products: Cement/Building materials sector snippets and implications

Global Building Products

24 July 2026 Citi Research

▪ Citi’s view: We believe near-to-medium-term positive for European cement

producers due to lower transition risk and improved earnings visibility, but the

long-term investment case will increasingly depend on the successful build-out of

carbon capture and storage infrastructure rather than carbon-cost-driven cement

price increases.

Breedon invests £750k in new saw line at Penrhyn Quarry to boost Welsh Slate

roofing slate production (Breedon, 21st July 2026)

Breedon Group is expanding production of its Welsh Slate roofing products at

Penrhyn Quarry in North Wales through a £750,000 investment in a new saw line.

The equipment, developed in-house, is designed to process smaller slate blocks

that were previously difficult to utilize efficiently. The investment is expected to

increase roofing slate output by approximately 8,000 slates per week, helping the

company meet sustained demand for Welsh Slate products, which are valued for

their durability, distinctive appearance, and long lifespan.

The new saw line will improve operational efficiency by enabling more of the slate

extracted from Penrhyn, Ffestiniog, and Cwt-y-Bugail quarries to be converted into

saleable products. By utilizing smaller raw blocks that would otherwise generate

waste, Breedon can enhance material recovery rates, reduce waste, and support its

broader sustainability and circular economy objectives. The technology will

complement existing automated processing systems while preserving Welsh

Slate's traditional hand-splitting techniques carried out by skilled operators.

The investment highlights Breedon's commitment to the long-term future of the