‘Globalization is over, at least right now’ says St.-Gobine CEO
A. St. -GobineWere, and,, and,, and,, and,.. French giant in the field of construction equipmentCelebrate two wins: He was in the first quarter of strong growth around Brazil and worldwide and managed to avoid the effects of the trade war launched by the President Donald Trump.
In the first quarter of 2025, the company increased 3.2% in global sales, 11.7 billion euros. In Latin America, high sales are 9.8%during this period, especially Brazil.
In all, St.-Gobine works in 80 countries. There are 58 factories in Brazilian. This group has brands like BrylitWere, and,, and,, and,, and,.. Quartzolite E. TechbandIn addition to the chain of shops Telhanorte.
The company, which completes 360 years in 2025, is based on a local product and sales model. “In Brazil, we are making 99.9% of the country’s sold here. Therefore, Trump rates or any other country can affect our results very little,” said Latin-Gobine president Javier Gimeno and Latin America.
For him, the world goes through a deep change. “The globalization is over. In the meantime, human history is like a pendulum and sometimes goes to one side, so it has to go back to the other side,” he said.
In the interview, he also spoke about the possibilities of Brazil, Mexico, Argentina and new acquisitions. Read below.
How was St.-Gobine’s performance in Brazil earlier this year?
We have started the year well, almost 10% more compared to last year in Latin America. Brazil represents 60% of our total sales in this area. In the second part of last year we will see the continuation of what we have already observed, and an average of 5%growth has been recorded. This trend was confirmed in the first quarter of 2025, which does not mean that the Brazilian construction market is developing in a particularly positive way. The evolution of sales reflects two things: First, the section of the controversial light structure for the St.-Gobine Brazilian industry is growing better than the average growth of Brazilian civil structure. In this category, St.-Gobine is making some market share gains.
How do you see retail opportunities in the country this year?
The retail of construction materials in Brazil is in a situation, I would say that it has been sensitive for three or four years. After the pandemic there was a lot of heat demand for us, and then we suffered from this reflection of demand, because the Brazilian consumer had been most notably investments (and then reduced to purchases). We have noticed the improvement since the end of last year. There is nothing special, but it is already a start to resume volumes before the crisis. At the moment, the situation is yet to be forwarded, but for two reasons the conditions have changed bad. The first is high interest rates. We are talking about the highest interest rate in Latin America, which is 14.25%, which continues to grow. This is a very, very high rate. On the other hand, there is actual depreciation against the main world coins, which also caused inflation. Having expensive products and with bad credit conditions, with more difficult access, Brazilian retail is not the principle to be a good year in 2025.
Has St.
A saint-gobine It is exposed to very low rates because it has a local business model, in which you are produced locally and sell. In Brazil, we make 99.9% of what we sell here in Brazil. And imported and export currents are very limited. In this sense, the business in business and sales is basically local. In this way, Trump rates, or any other country, can affect our results very little. But we are concerned. If this tariff war is slow in the global economy, it can also affect the markets directly or indirectly. The globalization is over. At this point, human history is like a pendulum and sometimes goes to one side and goes to the other, so you have to go back to the other side.
Telhanort Store (Jean Cabral/Telhanort/Exposure)
What has led to the company to select this local product model?
This is an option, but the result of reality: the structure is a local industry. Structural methods in each country are different and in every country, you have a variety of structures in each region, as the atmosphere, the existing raw materials determine which systems and solutions are to use. The nature of the structural industry is local. The construction systems in China have nothing to do with the construction systems in Brazil, which is completely different from the United States. At the same time, this proximity to the construction industry in terms of physical proximity between the client and the producer allows you to create a strong relationship, which has caused significant damage to many sectors, especially against imports, especially against Asia.
What are the chances of St.-Gobine Mexico Recently bought Semics?
Along with the main country in Latin America in Latin America, Brazil, the Latin American Economy and St.-Gobine Mexico. Today Mexico is ranked 14th in world economies and is expected to be in the top 10 in the next four or five years. It is a very dynamic country, a very large population, a very intimate relationship, very close to the United States, which accelerate growth. We have been focusing on glass products in Mexico for many years. In recent years, we have been working on developing other saint-gobine production families through Greenfield investments or acquisitions. The most important step is to buy the second -place Semics from the Mexican mortar market. It is a very important transaction in the history of St.-Gobine in Latin America, $ 815 million. When we decide to do this transaction, we have confirmed the ined -torched synergis.
How are businesses in Argentina amidst inflation fall and eliminating currency restrictions?
After the arrival of President Javier Miley and Gross financial adjustment, 2024 was very difficult for everyone. The demand has a wonderful fall. We are talking about volumes of fines for 35 and 40% compared to the previous year. But the teams know how to respond. We adopt the resistance and hibernation strategy. Since the end of the second half of last year, we have begun to realize some signs of development, which has been very relevant in the early 2025. Financial income is working. Inflation has a wonderful fall. The government’s economy is very healthy. It is increasing investment and consumption. At the beginning of the year we have an increase in the expression of volumes. There is still much to do because the country is not completely normalized, but we are on the right way.
Are there plans for new acquisitions?
One of the development systems of St.-Gobine is the permanent optimization of the portfolio of our activities. It sometimes translates into the exit of some business units that do not get well integrated with a simple strategy. This exercise is eternal and permanent at all times. We are always looking for new opportunities. Inorganic growth is an important part of the global innovation model, as all the recent acquisitions are performed in Mexico, Ecuador, Chile. We continue to analyze the possibilities, but we don’t buy for the purchase.
St.-Gobine will be 360 years in 2025. In your opinion, what is the main reason for the company to continue so long?
This is the ability to re -re -re -unveil ourselves. St.-Gobin has a personality, but business models have developed, production lines have developed, but this permanent desire to adopt, to adopt, to adopt, to be a leader, which has always made the company youth and long. I will always say that life is a movement. If you stop, you will die.
