Gypsum industry news

US: National consumption of gypsum wallboard dropped by 4.3% year-on-year to 2.51Mm² in 2023, according to United States Geological Survey (USGS) data. Demand for natural gypsum was 45Mt, up by 3% from 43.7Mt in 2022. The market imported 8.1Mt of gypsum throughout the year, up by 18% year-on-year.

Domestic production of crude gypsum in the US dropped by 1.3% year-on-year in 2023, to 22Mt. Exports grew by 15% to 45,000t.

US: The US gypsum wallboard industry produced 623Mm² of gypsum wallboard during the first quarter of 2023, down by 1% year-on-year and by 1.2% quarter-on-quarter. The industry exported 20.1Mm² of gypsum wallboard in the quarter under review, corresponding to 19% year-on-year growth. Canada received 19Mm² of the product, 94% of total exports for the quarter.

United States Geological Survey (USGS) data show 4% year-on-year growth in US gypsum wallboard imports. The country imported 23Mm² during the year, 20.9Mm² (91%) of it from Mexico and 1.84Mm² (8%) from Canada. Total calcined gypsum consumption was 4.66Mt in the US in the first quarter of 2023, up by 9.9% year-on-year from 4.24Mt in the first quarter of 2022.

US: Gypsum wallboard producers sold 1.32Bnm² of gypsum wallboard in the first half of 2022, a similar amount to that in the first half of 2021. Total supply of gypsum fell by 2% to 20.3Mt from 20.8Mt. This was due to decline in mined gypsum supplies, although imports rose and synthetic gypsum supply remained the same.

Exports of gypsum wallboard fell slightly year-on-year to 18.6Mm² throughout the second quarter of 2022, up by 10% year-on-year from 16.9Mm². Canada received 95% of US gypsum wallboard exports. The US imported 22.9Mm² of gypsum wallboard from eight countries. The figure corresponds to an increase of 10% year-on-year and 3% quarter-on-quarter. Mexico supplied 91% of US gypsum wallboard imports, followed by Canada with 8%.

World: Market researcher IMARC Group has forecast a global gypsum wallboard market composite annual growth rate (CAGR) of 7.2% between 2021 and 2026. The prediction is based on a starting value of US$24.4bn in 2020. IMARC Group surmises that the residential sector will dominate demand, which will be strongest in the Asia Pacific region.

France: Saint-Gobain’s sales in the first quarter of 2020 fell by 9.8% year-on-year, to Euro9.36bn from Euro10.4bn. Sales fell in all regions except the Americas, where they rose by 4.8% to Euro1.37bn from Euro1.31bn. The company said that coronavirus decreased demand in Asian and the Pacific in February 2020 and Southern Europe, the Middle East and Africa in March 2020. Northern European sales were only affected in the UK in the last week of March 2020. The company predicted that demand would increase globally in the second quarter of 2020 given that construction has been deemed an essential industry in most countries.

Australia: Boral has reported that, in most jurisdictions, its activities are currently considered to be within the critical infrastructure and construction sectors that are permitted and encouraged to continue as essential businesses. This includes Boral’s US Fly Ash business, which provides an essential service to the energy sector. In some areas however, particularly in North America and Asia, more stringent mandates and restrictions have resulted in temporary closures of several operations.

In addition, demand is declining in most markets and is expected to continue to decline, particularly in residential construction markets where the pipeline of work is substantially reducing in all geographies.

As a result, where it has sufficient inventory levels to supply customers, production curtailments are planned and are now taking place, including shift reductions and temporary plant closures. Boral says that these actions will help to conserve cash and minimise any unintended inventory build-up.

Boral is supporting employees impacted by temporary closures with access to paid leave, unpaid leave, flexible and remote working arrangements (where possible) and assistance with accessing relevant government support.

Russia: The gypsum wallboard market is expected be 250Mm² in 2017, according to the Stroitelnaya Informazia agency. The market has fallen by 20% since 2013 due to a fall in demand. Consumption has since stabilised and the market is estimated to fall by up to 2% in 2017.

US: The United States Geological Survey (USGS) has released data regarding gypsum production and consumption in the United States during 2012. This shows that a total of 9.9Mt of crude gypsum, 11.8Mt of synthetic gypsum and 12.1Mt of calcined gypsum was produced during the year. In 2011 the totals were 8.9Mt (crude), 11.8Mt (synthetic) and 11.9Mt (crude). Total consumption came to 24.6Mt, a 3.8% rise from 2011 when the country consumed 23.7Mt.

The leading crude gypsum-producing States were, in descending order, Oklahoma, Texas, Iowa, Nevada, and California, which together accounted for 58% of total output. Overall, 47 companies produced gypsum in 34 states and around 90% of all gypsum was used in wallboard and plaster production. Around 12% of the gypsum consumed was imported.

The USGS pointed to increased construction activity as the main driver of the increased demand, consumption (up 4%) and production (up 11%) of gypsum in the US in 2012. The average price of gypsum remained static at ~US$7/t crude (at mine) and ~US$30/t calcined (at plant). The USGS added that the US gypsum wallboard capacity in 2012 was in the region of 33Bn ft² (3.07Bn m²).

US: November 2011 saw more home starts in the US than any month since April 2010. The surge was reportedly led by an increase in multifamily units. The gypsum industry will be watching to see if the trend continues for December 2011, which might finally signify an upturn in demand for wallboard.

Starts increased by 9.3% to a 685,000 annual rate. Building permits, a sign for future construction, also climbed to a year-high. As well as multifamily homes, typified by apartments, demand for single-family-homes may also be increasing. A drop in house prices and low borrowing costs is thought to be the reason for the increase in demand.

"For months we've been flagging the strength in multifamily construction, but now we're starting to get signs that single-family is pulling itself off the canvas," said Brian Jones from Société Générale in New York.