Published Year: 2023
Low-Carbon Construction Material Market - A Global and Regional Analysis: Focus on Application, Mate
The global low-carbon construction material market is projected to reach $578.85 billion by...
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Gypsum-Based Plasterboard Market and Alternatives Overview
The gypsum-based plasterboard market and alternatives was valued at $22.90 billion in 2023, and it is expected to grow at a CAGR of 7.88% and reach $48.89 billion by 2033. Gypsum-based plasterboard and alternatives are poised to revolutionize construction practices by offering several advantages over conventional chemical inputs. The market is at a growing stage and is projected to experience considerable growth. Market players investing in research, infrastructure, and partnerships are expected to capitalize on the increasing demand for gypsum-based plasterboard and alternatives.
Introduction of Gypsum-Based Plasterboard Market and Alternatives
The gypsum-based plasterboard market and alternatives, encompassing the production and utilization of drywall or wallboard, is a cornerstone of the construction industry globally. Gypsum-based plasterboard is a versatile building material known for its ease of installation, fire resistance, soundproofing capabilities, and affordability. It finds extensive use in both residential and non-residential construction projects, contributing to the creation of functional and aesthetically pleasing interior spaces. While gypsum-based plasterboard remains dominant in the construction industry, alternatives have emerged to address specific needs and preferences. Each alternative offers unique properties such as enhanced durability, moisture resistance, or design flexibility, catering to diverse end-user requirements in both residential and non-residential applications.
Market Introduction
The gypsum-based plasterboard market and alternatives has witnessed significant growth due to rising construction activities, owing to its versatility, ease of installation, and cost-effectiveness in construction projects worldwide. Gypsum-based plasterboard offers exceptional fire resistance, sound insulation properties, and smooth surface for finishing. Its widespread adoption in both residential and commercial construction projects has made it a staple material in the building industry.
Industrial Impact
The demand for gypsum-based plasterboard is driven by the increasing construction activities, particularly in residential and commercial sectors, as it is a preferred material for interior walls and ceilings due to its ease of installation and cost-effectiveness. Moreover, renovation and remodeling projects in both residential and commercial buildings often involve the use of gypsum-based plasterboard for its versatility and ability to transform interior spaces quickly. Furthermore, ongoing technological advancements in gypsum board manufacturing processes lead to improved product quality, enhanced performance, and increased efficiency, further fueling market growth. Growing awareness of environmental issues and the need for sustainable construction materials drive the demand for alternatives such as bio-based plasterboard, which utilizes renewable and biodegradable resources, reducing reliance on non-renewable materials.
The key players operating in the gypsum-based plasterboard market and alternatives include Saint-Gobain Group, Knauf Digital GmbH, National Gypsum Services Company, Etex Group, Georgia-Pacific, Fletcher Building, PABCO Gypsum, China National Building Material Company Limited, USG Corporation, American Gypsum Company, LLC, Hemspan, Adaptavate Ltd, Smarter Habitat GmbH & Co KG, Strawcture Eco and Armstrong World Industries, Inc., among others. These companies are focusing on strategic partnerships, collaborations, and product launches to enhance their product offerings and expand their market presence.
Market Segmentation:
Segmentation 1: by End-User Application
• Residential
• Non-Residential
Residential to Lead the Gypsum-Based Plasterboard Market and Alternatives (by End-User Application)
In the gypsum-based plasterboard market and alternatives based on end-user application, residential applications continue to lead due to their widespread usage in residential construction projects. Gypsum-based plasterboard is highly favored in residential settings for its versatility, ease of installation, and cost-effectiveness. It serves as an essential material for constructing interior walls and ceilings, providing a smooth surface for finishing touches such as painting or wallpapering.
However, as environmental concerns grow and sustainability becomes a priority across industries, alternatives to gypsum-based plasterboard are gaining traction, particularly in residential applications. These alternatives offer similar functionalities while addressing concerns such as environmental impact, durability, and energy efficiency.
Segmentation 2: by Type
• Standard Plasterboard
• Fire-Resistant Plasterboard
• Sound-Insulated Plasterboard
• Thermal Plasterboard
• Moisture-Resistant Plasterboard
• Impact-Resistant Plasterboard
• Others
Fire-Resistant Plasterboard to Lead the Gypsum-Based Plasterboard Market and Alternatives (by Type)
In the gypsum-based plasterboard market and alternatives, fire-resistant plasterboard emerges as a frontrunner among its various types. This dominance can be attributed to the stringent safety regulations and increasing awareness regarding fire hazards in construction projects. Fire-resistant plasterboard, equipped with special additives and reinforced with glass fibers or other materials, offers superior fire protection compared to standard gypsum-based plasterboard. Its ability to withstand high temperatures and prevent the spread of flames makes it indispensable in buildings where fire safety is a priority, such as commercial spaces, high-rise buildings, and public facilities. As regulations continue to tighten and emphasis on fire safety grows, the demand for fire-resistant plasterboards is expected to propel its market dominance further in the foreseeable future.
Segmentation 3: by Material
• Gypsum
• Bio-Based
Gypsum to Lead the Gypsum-Based Plasterboard Market and Alternatives (by Material)
In the gypsum-based plasterboard market and alternatives based on material, gypsum stands as the undisputed leader among materials. Gypsum's dominance is rooted in its exceptional properties that cater to a wide range of construction needs. Its abundant availability, ease of processing, and affordability make it a preferred choice for manufacturing plasterboard. Additionally, gypsum-based plasterboard offers excellent fire resistance, sound insulation, and thermal properties, further solidifying its position as the go-to material for construction projects. While alternatives such as hemp or fiber cement panels exist, they often lack the versatility and cost-effectiveness that gypsum provides. Moreover, gypsum-based plasterboard’s compatibility with various finishing materials and its ability to create smooth, seamless surfaces add to its appeal among builders, architects, and homeowners alike. As the construction industry continues to evolve, gypsum’s market dominance is expected to persist, fueled by its inherent advantages and continual innovations in gypsum-based products.
Segmentation 4: by Region
• North America: U.S., Canada, and Mexico
• Europe: Germany, France, U.K., Italy, and Rest-of-Europe
• Asia-Pacific: China, Japan, Australia, South Korea, India, and Rest-of-Asia-Pacific
• Rest-of-the-World: Brazil, U.A.E., and Others
The Asia-Pacific region is poised to lead the gypsum-based plasterboard market and alternatives. With rapid urbanization, burgeoning population, and substantial infrastructure development projects, countries in the Asia-Pacific region, particularly China, India, and Southeast Asian nations, are witnessing significant growth in construction activities. This surge in construction demand is driving the consumption of gypsum-based plasterboard as a preferred material for interior walls and ceilings due to its cost-effectiveness, ease of installation, and compliance with stringent building regulations. Moreover, the region's increasing focus on sustainable building practices and environmental conservation is fostering the adoption of alternatives such as bio-based plasterboards, which utilize renewable resources and offer eco-friendly attributes. As the Asia-Pacific region continues to experience robust economic growth and infrastructure development, it is expected to maintain its dominance in the gypsum-based plasterboard market and alternatives, and emerge as a key market for sustainable alternatives, contributing to the region's construction industry's advancement and sustainability goals.
Recent Developments in the Gypsum-Based Plasterboard Market and Alternatives
• In December 2023, Etex Group acquired BGC's lightweight construction materials, including gypsum products and fiber cement, in Australia, expanding its Australian presence. The deal includes BGC's large plasterboard plant in Perth and a robust network of nine warehouses across Australia and New Zealand. This strategic move enhances Etex's position in the gypsum-based plasterboard market and alternatives, significantly impacting the industry by broadening its product range and distribution capabilities in the region.
• In October 2023, Georgia-Pacific opened a gypsum wallboard facility in Sweetwater, Texas, marking the company's first new build since 2004. The facility is valued at $325 million and represents the second Georgia-Pacific gypsum wallboard production site in Nolan County. It aims to enhance safety, quality, and operational efficiency, showcasing Georgia-Pacific's commitment to innovation and leadership in the construction materials industry.
• In August 2023, Adaptavate Ltd, a company specializing in bio-composite materials designed for the traditional building sector, secured a $2.5 million (£2 million) investment led by Counteract, alongside LCIF2, Semin, Perivoli Innovations, and industry experts. This follows a March 2022 seed round of $2.84 million. The funding would speed up work on carbon-negative formulations and carbon capture for high-performance alternatives to conventional building materials.
• In November 2022, Armstrong World Industries, Inc. acquired GC Products, a leading manufacturer of durable, custom architectural interior products made of glass fiber-reinforced gypsum. With GC products' expertise in manufacturing durable, custom solutions, the company strengthens its position as a leader in the industry, which will help it continue growing and increasing its market share.
Demand - Drivers, Limitations, and Opportunities
Market Driver: Increase in Construction Activities Due to Rapid Urbanization, Population Growth, and Economic Development
The increase in construction activities driven by rapid urbanization, population growth, and economic development serves as a significant driver in the gypsum-based plasterboard market and alternatives. As urban areas expand and populations grow, there is a heightened demand for residential, commercial, and industrial infrastructure. This demand, in turn, fuels the need for construction materials such as plasterboards.
Gypsum-based plasterboards are favored for their versatility, ease of installation, and fire-resistant properties, making them a popular choice in various construction projects. The growing construction sector, particularly in emerging economies experiencing rapid urbanization and economic development, drives the demand for these products.
Additionally, the increasing emphasis on sustainable construction practices and environment-friendly materials has led to the exploration of alternatives to traditional gypsum-based plaster boards. These alternatives may include products made from recycled materials, bio-based materials, or innovative composite materials that offer comparable performance while reducing environmental impact.
More than 4.3 billion people live in urban areas worldwide, which signifies that over half of the global population, approximately 55%, resides in urban settings. The ongoing urbanization contributes significantly to the growth and evolution of both the gypsum-based plasterboard market and the alternative, shaping the construction industry's landscape in urban areas worldwide.
Market Challenge: Price Volatility of Raw Materials
The price volatility of raw materials in the gypsum-based plasterboard market and alternatives presents a significant challenge for industries reliant on these essential resources. The market can be influenced by a multitude of factors, including supply and demand dynamics, geopolitical events such as the Russia-Ukraine war, and economic conditions. This volatility disrupts supply chains and leads to cost increases and product shortages.
For instance, the Russia-Ukraine war acted as a massive restraint on the gypsum mining market. This conflict has direct repercussions on the global supply chain, affecting the smooth flow of goods and resulting in notable cost hikes and shortages. In April 2022, it led to a staggering increase of up to 12% in Mexican gypsum prices compared to levels before the conflict. Additionally, Indian cement companies have struggled with the aftermath of this war. In March 2022, these companies experienced a 4% annual increase in logistics costs, while raw materials such as fly ash and gypsum saw a substantial 7% year-on-year rise. The repercussions of the Russia-Ukraine conflict, with related sanctions, disrupted the supply chains, inevitably impacting not only the gypsum mining market but also the construction industry. Instances such as the Thailand floods in 2010 and the Japanese earthquake in 2011 showcased the vulnerability of industries to unforeseen events, profoundly affecting production costs, profit margins, and overall market stability.
Moreover, the effects of the pandemic-induced supply chain disruptions have added to these challenges, highlighting the urgent need for resilient strategies to navigate the volatile landscape of raw material prices in the gypsum market. The pandemic has showcased vulnerabilities in global supply chains, intensifying the impact of the disruptions. Instances of a bullwhip effect have been observed, where changes in demand are magnified as they move upstream in supply chains, causing significant shifts in availability and pricing. Thus, the gypsum market, already susceptible to fluctuations, faces additional pressures from the pandemic-induced supply chain disruptions, further complicating the ability of industries to plan and budget for operations.
Market Opportunity: Advancements in Technology and Product Innovation
The gypsum-based plasterboard market and alternatives has been witnessing significant advancements in technology and product innovation, opening up numerous opportunities for manufacturers, builders, and end users alike. These advancements not only enhance the quality and functionality of plasterboard products but also address environmental concerns, leading to the development of sustainable and efficient alternatives.
The launch of gypsum boards resistant to moisture has tackled the issues related to high humidity. Gypsum boards that are resistant to fire are becoming popular, particularly in commercial and public structures where compliance with safety regulations is crucial. Moreover, enhancements in the production techniques have resulted in the creation of gypsum boards that are lighter in weight, making them easier to manage and install.
Additionally, the adoption of digital technology in the creation and design of gypsum boards is paving new paths. The possibilities for custom designs, 3D printing, and digital modeling are transforming the application of gypsum boards in interior design, offering architects and designers an expanded array of creative options.
There's a growing demand for sustainable building materials. In response, manufacturers are developing eco-friendly plasterboards made from recycled materials or designed to have a lower environmental impact. This includes gypsum boards that reduce energy consumption during production and boards that contribute to better indoor air quality by absorbing pollutants.
There's an increasing focus on products that offer aesthetic versatility alongside functional benefits. This includes plasterboards with integrated finishes, textures, or colors, reducing the need for additional materials and simplifying the installation process.
Analyst View
According to Debraj Chakraborty, Principal Analyst, BIS Research, “Gypsum-based plasterboard market and alternatives is likely to grow multi-fold in the coming years, owing to the increasing construction activities, particularly in residential and commercial sectors as it is a preferred material for interior walls and ceilings due to its ease of installation and cost-effectiveness. Moreover, renovation and remodeling projects in both residential and commercial buildings often involve the use of gypsum-based plasterboard for its versatility and ability to transform interior spaces quickly. Moreover, substantial investments in the gypsum-based plasterboard market and alternatives further reinforce its growth potential. As investors recognize the economic and environmental benefits of gypsum-based plasterboard and alternatives, increased funding is facilitating research, development, and scaling of production processes. The market is expected to witness significant growth in the coming years, and the key players in the market are focused on strategic partnerships, collaborations, mergers, and acquisitions to expand their market presence and enhance their product offerings.”
Gypsum-Based Plasterboard Market and Alternatives
A Global and Regional Analysis, 2023-2033
Some Faq's
Frequently Asked Questions
Ans: The market study conducted by BIS Research considered the definition of a gypsum-based plasterboard market as the segment of the construction materials industry that involves the production, distribution, and consumption of plasterboards made primarily from gypsum, a soft sulfate mineral. Gypsum-based plasterboards, also commonly known as drywall or wallboard, are widely used in the construction of interior walls and ceilings due to their ease of installation, fire resistance, soundproofing properties, and cost-effectiveness. On the other hand, alternatives refer to a type of construction material that is primarily composed of renewable, natural, or biodegradable resources instead of traditional synthetic or non-renewable materials. This type of plasterboard typically incorporates elements such as recycled paper, wood fibers, agricultural residues, or other organic materials in its composition. Bio-based plasterboard aims to reduce environmental impact by utilizing sustainable resources, minimizing carbon emissions, and promoting circular economy principles within the construction industry. These materials often offer comparable performance to conventional plasterboard while providing additional benefits such as improved indoor air quality, lower embodied energy, and enhanced biodegradability at the end of their lifecycle.
Ans: The key business opportunities in the gypsum-based plasterboard market and alternatives are advancements in technology and product innovation and untapped opportunities in emerging markets for infrastructure development.
Ans: The gypsum-based plasterboard market and alternatives is poised to grow over time, compelling companies to come up with collaborative strategies to sustain themselves in the intensely competitive market. Companies with an identical product portfolio with a need for additional resources often partner and come together for joint venture programs, which help the companies gain access to one another’s resources and facilitate them to achieve their objectives faster.
Ans: A new entrant can focus on partnering with the existing gypsum-based plasterboard and alternative manufacturers. Also, start-ups can focus on funding, launching new innovative products, and expanding their sales and distribution networks.
Ans: The following are some of the USPs of this report:
• A dedicated section focusing on the trends adopted by the key players operating in the gypsum-based plasterboard market and alternatives
• Company profiles of the companies operating in the ecosystem offering a holistic view of the gypsum-based plasterboard market and alternatives landscape
• Qualitative and quantitative analysis of the gypsum-based plasterboard market and alternatives at the region and country level and granularity by application and product segments
• Supply chain and value chain analysis
Ans: Gypsum-based plasterboard and alternative manufacturers, government agencies, construction companies, builders, and investors can buy this report.
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