Intelligent cement: a catalyst for climate action in the construction sector

The construction sector generates more than a third of all CO₂ emissions worldwide. The cement industry alone produces more carbon dioxide than all international air traffic combined. Using less cement is therefore better for the climate. In Mexico, Grupo Cementos de Chihuahua (GCC), a leading manufacturer of concrete and cement, and alcemy, a Berlin-based climate-tech start-up, are exploring new ways to tackle this challenge. They are improving the formulation and production of concrete in order to maintain the same quality using less cement.

To achieve this, alcemy provides AI-powered sensors that calculate the optimal composition during the mixing process. This helps reduce the proportion of environmentally harmful cement in the mix. Marco Datola, head of alcemy’s Internet of Things (IoT) department, explains how this works: ‘Once concrete leaves the plant, manufacturers currently have little way of knowing how its properties change during transport to the construction site. alcemy equips every cement mixer with intelligent IoT sensors. This enables our customers to learn from every batch, significantly improve the precision of their concrete production, and receive data-driven recommendations.’

Bridging the gap between market leader and start-up

Felix Steinberg, GIZ’s project coordinator, outlines the benefits: ‘This approach allows a young company to access a new market, and an established manufacturer to test innovations under real-world operating conditions.’ As part of the Catal1.5°T Initiative, we make it easier for start-ups to access venture capital and implement their solutions where they are needed. When looking for partners and innovations that are good for both business and the climate, we think globally. Because companies often don’t realise that the innovation they are looking for may already exist somewhere else in the world. 

Or they lack a common language – literally and figuratively. A start-up operates very differently to an established market leader both in terms of how decisions are made and how solutions are developed. Bridging the gap between companies, sectors and countries is therefore essential. GIZ focuses on technical feasibility and financial viability in this context. Through pilot projects and start-up funding, we build trust among partners and confidence among investors. This facilitates the transfer of technology across continents.

The collaboration between GCC and alcemy shows how companies can combine their economic interests with climate action: GCC uses less cement, helping to reduce costs, while alcemy implements its data-driven optimisation solution and strengthens its market position. This benefits both the company and the climate, reducing CO₂ emissions in cement production.

The new digital process is being used in six of GCC’s concrete plants. It enables digital expertise from Germany to be combined with local market knowledge and demand in Mexico. The pilot project, lasting six to eight months, includes training for employees.

Applying lessons learned in Mexico to other countries

Alberto Terrazas, a member of GCC’s Board of Directors, says: ‘It’s about finding technologies around the globe that meet local needs. This collaboration allows us to deliver reliable concrete with lower emissions and to roll this out across Mexico.’ The new process could cut CO₂ emissions in concrete production by as much as 20 per cent. This also enables GCC to contribute to a common goal shared by six manufacturers: to reduce direct CO₂ emissions in Mexico’s cement industry by 17 per cent between 2016 and 2030.

A further aim of the pilot project is to show how the solution can be implemented in other companies and applied in other countries. Through Mexico’s National Chamber of Cement (CANACEM) and the regional cement association FICEM, the partners want to share their findings with other producers in Latin America.