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US Gypsum Demand to Rise 1.7% Annually in Volume Terms to 2022

by Corinne Gangloff

August 9, 2018

Cleveland, OH, August 9, 2018 — US gypsum demand is forecast to rise 1.7% annually in volume terms to 2022, according to Gypsum: United States, a report recently released by Freedonia Focus Reports. The continued growth expected in housing starts is projected to drive demand. Housing starts will expand due to gains in population and the number of households, personal disposable income growth, and a continued rally of home building following the 2007-2009 recession and subsequent recovery. However, housing starts in 2022 are projected to register below the peak levels of 2005, limiting faster demand gains. Nevertheless, growth in residential repair and remodeling and commercial building activity are expected to support advances.

The vast majority of gypsum demand is attributed to manufacturers of board. However, gypsum board suppliers compete with producers of various alternative products or construction methods, limiting higher levels of demand. For example, fiber cement and fiberglass-reinforced cement board are utilized as tile backers in wet areas and offer significant performance advantages relative to gypsum board. Alternative methods of construction include buildings erected with structural concrete blocks, which eliminate the need for sheathing. Further, brick and metal or plastic panels may substitute for wallboard in various applications. In addition, ceiling products manufactured with rock wool feature desirable properties such as sound proofing and present an alternative to gypsum board in nonresidential ceiling markets.

Rockwool International, a major international supplier of rock wool ceiling products, started producing such items in Mississippi in December 2017.

These and other key insights are featured in Gypsum: United States. This report forecasts to 2022 US gypsum demand and crude gypsum production in metric tons. Total demand is segmented by product in terms of:

  • crude gypsum
  • synthetic gypsum

Total demand is also segmented by application as follows:

  • board
  • cement
  • other applications such as agriculture, pharmaceuticals, and plastics

Also provided are forecasts to 2022 for gypsum products (i.e., board and plaster) demand in nominal US dollars at the manufacturer level.

To illustrate historical trends, total demand, crude gypsum production, the various segments, gypsum products demand in value terms, and trade are provided in annual series from 2007 to 2017.

Board demand quantities include the weight of paper, metal, and other materials incorporated into the product. Re-exports of crude gypsum are excluded from demand and trade figures.

More information about the report is available at:

https://www.freedoniafocusreports.com/Gypsum-United-States-FF60022/

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