Gypsum industry news

Philippines/Thailand: The Philippines Department of Trade and Industry (DTI) has launched an investigation into imports of Thai gypsum wallboard. The investigation forms the first stage in the process of potentially implementing a tariff on gypsum wallboard entering the Philippines from Thailand. The investigation will seek to establish whether dumping of the product occurred between January and May 2023, and whether the wallboard industry of the Philippines experienced any injury due to imports from Thailand between 2019 and 2022. The Philippine Star newspaper has reported that the DTI accepted an application for an investigation from Knauf Gypsum Philippines on 24 November 2023.

The DTI preliminarily stated that “There was a substantial margin of dumping of gypsum board from Thailand for the period January to December 2022 based on the domestic wholesale and export prices as gathered by the gypsum board industry.” It added “Based on the aforementioned, there is a prima facie evidence that the domestic industry suffered material injury before the acquisition efforts as evidenced by the low market share of the domestic industry ranging from 23% to 40%, operating losses and price suppression from 2019 to 2021 and price undercutting in 2021.”

Colombia: The Agência Nacional de Mineração (ANM) has included gypsum on a list of 17 strategic minerals that it considers key to helping the country develop. In addition to gypsum the list includes: copper; nickel; zinc; platinum; iron; manganese; metallurgical coal; phosphates; magnesium; bauxite; gold; emeralds; construction materials such as sands, gravels and clays; silica; limestone and chromium. It also includes various associated ores, concentrates and derivatives of the minerals on the list.

The Ministry of Mines and Energy originally compiled a list of strategic minerals in 2012 and the ANM has continued this since the start of 2023. By declaring certain minerals as ‘strategic’ the central government will have the power to reserve and delimit special areas with high mining potential that are free, in order to grant them to third parties through selection processes or other allocation schemes.

Philippines: The government has cut the import duty on natural gypsum and anhydrite to zero from 3% previously in a bid to help the local wallboard and cement sectors. It is also expected to support housing and infrastructure projects in the country, according to the Philippines News Agency. Executive Order (EO) No. 46 was signed in early November 2023, approving the change in duty that was due to come into effect a month later in early December 2023.

The EO stated "At present, there are no operating mines of natural gypsum and anhydrite in the country, and there are also no local substitute for said products that are available for domestic producers of plasterboards and cement." The tariff rate is intended to last for five years but it will be reviewed annually at the end of 2024.

Ukraine: The National Agency on Corruption Prevention (NACP) has added Germany-based Knauf to its list of “international sponsors of war” due to the company’s continued business in Russia. The government agency alleges that Knauf paid around US$117m in taxes to the Russian government in 2022. It noted that the company operates 10 subsidiaries, 20 production plants and nearly 30 resource centres in the country. It added that Nikolaus Wilhelm Knauf, a partner in Knauf Gips, had been a longstanding Honorary Consul of the Russian Federation until the start of the Russian-Ukrainian war in early 2022.

In March 2022 Jörg Schanow, a member of the management board of Knauf, told a German newspaper that the company had no plans to leave the Russian market.

Brazil: The Administrative Court of the Brazilian Administrative Council of Economic Defence (CADE) has submitted for review the proposed acquisition by Knauf Brazil of a gypsum wallboard plant operated by Trevo Industrial de Acartonados. The Office of the Superintendent General (SG) noted after an investigation that the transaction would increase market concentration, exceeding the limits set out in the guides of CADE and the competition law. The gypsum wallboard market in Brazil has four suppliers, including Knauf and Trevo.

The review pointed out that imports are “unusual and cannot be considered a source of competition if Knauf raises the prices after merging with Trevo.” The SG also warned that other factors could lead to potential market collusion such the lack of history of competitive rivalry in terms of price, quality, or any other difference amongst the products.

Following its challenge to the proposed acquisition, the SG has submitted the case to a tribunal. At this stage a commissioner will review it and include it in the agenda for further adjudication.

India: The Directorate General of Trade Remedies (DGTR) has recommended a five-year anti-dumping duty on gypsum tiles imported from China and Oman. Saint-Gobain India initiated the investigation that started in late 2022. It considered gypsum tiles laminated on one side with polyvinyl chloride (PVC) or wax paper that are typically used in ceilings. The study concluded that the product had been “exported to India at a price below the normal value, resulting in dumping.”

India: Saint-Gobain plans to invest over US$400m in its different businesses, including gypsum wallboard, in Tamil Nadu. Company chair Pierre-Andre de Chalendar and chief executive officer Benoit Bazin met the Chief Minister MK Stalin, senior ministers and officials of the government of Tamil Nadu as part of the announcement. The new funding brings the company’s total investment in the state to over US$950m.

Austria: Saint-Gobain Austria, waste management company Saubermacher and construction firm PORR have secured permission to build a new gypsum-to-gypsum recycling plant in Stockerau. The plant will cost Euro7m. Saint-Gobain Austria said that the facility will support the government’s Raw Materials 2030 circular economic development plan.

CEO Peter Giffinger said "Gypsum is endlessly recyclable, but special quality criteria must be met in order for recycled gypsum to be used again to produce new panels.”

Kyrgyzstan: Representatives of Germany-based Knauf have discussed plans to build a gypsum plant in the country. Knauf General Partner Uwe Knotzer said that the company is preparing to build a plant in the northern Chüy Region, according to the Central Asian News Service. However, it is also considering constructing a plant in the southern Osh Region. As part of the meeting a memorandum of understanding and cooperation was signed between the National Investment Agency under the President of the Kyrgyz Republic and Knauf.

Mexico: Panel Rey’s El Carmen gypsum wallboard plant near Monterrey has been awarded a clean industry certification by the Federal Attorney for Environmental Protection (PROFEPA). The acknowledgement recognises that the plant operates in full compliance with legal regulations at the federal, state and municipal level. It also demonstrates environmental performance, shows a voluntary commitment to the protection and conservation of the environment and includes social responsibility awareness. The certificate has a duration of two years and will last until 2025.