The gypsum market is expected to grow the fastest from 2025 to 2035, driven by higher demand from the manufacturing, agriculture, and construction industries. The market is expected to reach approximately USD 3,568 million in 2025 and is projected to reach USD 6,621 million by 2035, with a compound annual growth rate (CAGR) of 6.4% during the forecast period.
Several factors are driving change in the gypsum market. The most compelling driver is the high rate of growth in the construction industry, particularly with the increasing demand for green building materials. Gypsum is used for making drywall, plaster, and cement and is thus a necessary part in residential and commercial construction.
The use of gypsum is also efficient on a large scale in agriculture, as it stabilizes soil texture and enhances production. Environmental issues and the regulation of gypsum dumping and extraction are, however, pushing industries towards implementing recycling methods and manufactured gypsum production as a means of preventing environmental degradation.
| Metric | Value |
|---|---|
| Industry Size (2025E) | USD 3,568 million |
| Industry Value (2035F) | USD 6,621 million |
| CAGR (2025 to 2035) | 6.4% |
There are various types of gypsum used in business, all of which are produced for different purposes. Natural gypsum precipitated at the Earth's surface has been utilized for its age-old application in construction materials, such as drywall and plaster.
Artificial gypsum, being an industrial waste material obtained from power plants' flue-gas desulfurization, is also well-liked for its environmental friendliness. Agricultural gypsum is increasingly being used by farmers worldwide as a means to improve the quality of their land and prevent land erosion.
Pure gypsum is also used in the field of pharmacy, food, and dental moulds. The largest among all the industries is the construction sector, where producers of drywall and plasterboards seek cheaper, fire-resistant materials. Industrial and agricultural usage also increases the demand for gypsum in various sectors.
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It is a large-volume gypsum market in North America because it enjoys well-developed infrastructure and a building industry. The United States and Canada both need drywall and plaster materials in bulk, mainly due to residential and commercial building activities. Green building materials have come under increased pressure, and more recycled gypsum is now utilized.
USG Corporation and National Gypsum have opted for synthetic gypsum technology. The big North American agricultural industry employs gypsum as a conditioner for other crops in the soil. Tough environmental standards against dumping gypsum have also motivated the development of recycling and reuse technologies on the continent.
The continent has a commanding market presence for gypsum, particularly in Germany, France, and the United Kingdom, and conducts above-average construction and reconstruction activities. Numerous environmentally friendly regulations in the European Union make it favorable for environmentally friendly mining of gypsum and increased production of synthetic gypsum.
Retrofits and rebuilds of older constructed buildings also generate demand for gypsum products, especially in the older historic areas. Firms are developing new products, such as thin gypsum boards, to conserve energy. Additionally, the application of gypsum in agriculture, specifically in soil and water management, is increasing in European economies.
The Asia-Pacific region is expected to experience the highest growth in the gypsum market due to rapid urbanization, large-scale infrastructure projects, and increased agricultural activities. India, China, Japan, and South Korea are the biggest consumers and producers, with China heading the list because of the enormous gypsum deposits and the giant construction sector.
Low-cost housing schemes and government policies in India and Southeast Asia also drive the market. Pollution of the environment and illegal gypsum mining are common in the region, and the latter has prompted regulation as well as the consumption of synthetic gypsum. Because there is growing interest in sustainability, the Asia-Pacific region is moving more and more towards the sustainable use of gypsum along with material innovation.
Challenge
Environmental Issues and Regulation
Disposal and gypsum mining also pose ecological concerns, including land degradation and waste. Extraction is due to habitat loss, whereas construction and demolition gypsum wastes are hard to dispose of. Gypsum mining, industrial process emissions, and waste disposal are increasingly regulated by governments worldwide. The law forces companies to use cleaner methods in mining and new technology recycling.
Opportunity
Synthetic Gypsum and Recycling Technology Development
Artificial gypsum production is one of the greatest market development opportunities. Flue-gas desulfurization units in industry and power stations are replacing ageing equipment, producing quality gypsum as a by-product. This discourages the consumption of mined gypsum and promotes a culture of a circular economy. Furthermore, advances in recycling gypsum enable builders to recycle material from building gypsum scrap, thereby preventing it from going into landfills. There are also opportunities for development in the industrial and construction sectors through the manufacturing of high-strength lightweight gypsum products.
Gypsum use was picking up speed in industry, construction, and agriculture from 2020 to 2024. Pre-fabricated buildings helped accelerate the use of drywall and gypsum board, as agriculture improved with the need for soil amendments. Supply chains of the products above were relatively impacted by COVID-19 but received a monumental push later on as there was monumental building activity subsequently.
In the years to come, especially from 2025 to 2035, the market is expected to shift toward sustainability, accompanied by advancements in synthetic gypsum, fresh recycling innovations, and the low-carbon application of gypsum. Smart building products, such as fire- and water-resistant gypsum boards, will increasingly gain demand. Accompanying this will be escalating regulatory obligations, pushing companies to invest in sustainable production. These aspects, taken together, will introduce long-term expansion and advancement to the global gypsum market.
Market Shifts: A Comparative Analysis 2020 to 2024 vs. 2025 to 2035
| Market Shift | 2020 to 2024 |
|---|---|
| Regulatory Landscape | Stricter environmental controls favoured the use of low-emission gypsum boards in building. Regulations in certain areas banned the application of synthetic gypsum from coal-fired power plants. |
| Technological Advancements | Improvements in technology for lightweight gypsum boards increased fire-resistant and sound-absorbing qualities. Prefabricated gypsum panels became more widely used for modular buildings. |
| Construction Industry Trends | Urbanization and infrastructure development accelerated the demand for gypsum-based construction materials. The increased development of commercial and residential buildings spurred the growth of the drywall and plasterboard markets. |
| Cement and Concrete Applications | Gypsum remained a major additive in cement to control setting time. High-performance cement mixes that included gypsum had increasing demand. |
| Agricultural Use | The application of gypsum in agriculture improved the soil's structure and countered soil sodium toxicity in farm soils. The market expanded because people became more aware of the role of gypsum in sustainable agriculture. |
| Environmental Sustainability | Gypsum board recycling accelerated but was limited in the mass process by challenges in dealing with contamination. Policies were conducive to natural gypsum usage versus artificial ones. |
| Production & Supply Chain Dynamics | Breakdowns of supply chains affected the mining and delivery of the gypsum, particularly during the pandemic of COVID-19. Price fluctuations stemmed from dependence on natural gypsum reserves. |
| Market Growth Drivers | Strong demand from the construction sector and infrastructure activities drove market growth. Home renovation DIY trends on the rise triggered strong demand among consumers for gypsum-based materials. |
| Market Shift | 2025 to 2035 |
|---|---|
| Regulatory Landscape | The regulatory spotlight is moving to encourage circular economy practices such as gypsum recycling and waste minimization. Green building certifications are driving demand for environmentally friendly gypsum-based products. |
| Technological Advancements | Gypsum materials incorporating IoT-enabled sensors facilitate real-time monitoring of buildings. A self-healing gypsum formulation enhances durability while reducing maintenance expenditure. |
| Construction Industry Trends | Energy-efficient and sustainable building designs enhance the uptake of gypsum insulation panels. 3D printing technology facilitates the on-site production of specialized gypsum-based building elements. |
| Cement and Concrete Applications | Increased green cement production creates the development of substitute gypsum-based binders with lower carbon footprints. New developments in self-compacting concrete utilize gypsum to enhance flowability. |
| Agricultural Use | Precision farming methods utilize gypsum to optimize soil health and enhance crop yield. Gypsum application in agriculture increases as a water-saving measure in dry areas. |
| Environmental Sustainability | Closed-loop recycling systems for gypsum waste go mainstream. Circular economy policies promote higher use of recycled gypsum in new building projects. |
| Production & Supply Chain Dynamics | Regional diversification of gypsum sources stabilizes supply chains. Higher investment in synthetic gypsum production from industrial by-products minimizes reliance on natural reserves. |
| Market Growth Drivers | The drive for net-zero buildings and energy-efficient housing drives the adoption of gypsum. Growing urban development projects in emerging economies underpin long-term market growth. |
The U.S. gypsum market is slowly expanding, driven by strong demand in the construction, agriculture, and industrial sectors. Development in green building construction and the adoption of energy-efficient gypsum panels are key drivers. The U.S. Green Building Council's LEED certification system encourages the use of recycled gypsum in drywall production.
Sustained investments in infrastructure and housing developments in the next couple of years will continue to fuel gypsum demand. Agricultural Demand: The application of gypsum as a soil conditioner is also gaining momentum in the United States' agricultural industry. Gypsum desalts and enhances the yield of crops. Due to enhanced precision farming technology, the application of gypsum for developing the soil structure is gaining increasing focus.
| Country | CAGR (2025 to 2035) |
|---|---|
| USA | 3.9% |
The UK gypsum market is growing steadily as the transition to sustainable building products and low-carbon building solutions gains momentum. Government initiatives to reduce landfill waste encourage recycling activities for gypsum.
Use of Sustainable Gypsum: Environmental regulations under the Environment Act 2021 promote the circular economy, and the use of recycled gypsum in plasterboard production increases.
Growth in Fire-Resistant Gypsum Boards: The building industry is embracing gypsum-based fire-resistant panels on a large scale, according to improved safety standards. Demand for the same is increasing, especially for high-rise commercial and residential buildings.
| Country | CAGR (2025 to 2035) |
|---|---|
| UK | 3.5% |
Strict environmental and energy efficiency laws influence the European Union market for gypsum. Green building products, particularly low-carbon gypsum-based products, are in increasing demand.
Regulatory Drive for a Circular Economy: The EU Waste Framework Directive is driving the uptake of gypsum recycling. France and Germany are the leaders in recycled gypsum board manufacturing.
Smart Gypsum Applications: The use of smart sensors in gypsum panels for structural and humidity monitoring is on the rise, enhancing building material intelligence.
| Country | CAGR (2025 to 2035) |
|---|---|
| EU | 4.0% |
Japanese markets for gypsum are growing through applications in construction and high-technology material markets. Innovation in seismic-resistance panels made from gypsum composition is increasing the market potential.
High-Tech Gypsum Advanced Materials: Development on self-healing forms of gypsum is increasing, reducing maintenance requirements in buildings. Increased uptake is also taking place for light forms of gypsum board to build high skyscrapers.
Gypsum in Electronics: Japan's sophisticated manufacturing sector is considering the application of gypsum for electronic components, specifically as a heat insulation in semiconductor production.
| Country | CAGR (2025 to 2035) |
|---|---|
| Japan | 3.7% |
The demand for gypsum in South Korea is increasing due to infrastructure development, green building construction, and industrial applications.
Government Incentives for Sustainable Building Materials: The government is offering subsidies to green buildings to encourage the increased use of gypsum insulation in energy-efficient buildings.
Increased Demand in the Cement Industry: The use of gypsum in the cement industry is on the rise, driven by South Korea's emphasis on high-performance concrete in infrastructure development.
| Country | CAGR (2025 to 2035) |
|---|---|
| South Korea | 3.8% |
Natural gypsum dominates the gypsum market due to its purity and abundance. It is extracted from sedimentary rock units. Natural gypsum has emerged as a preference for cement uses because it can regulate setting times. Indian and Chinese cement producers are increasingly relying on natural gypsum to produce the highest-quality construction materials for thriving infrastructure development operations.
Moreover, natural gypsum is important for agriculture as it enhances water-holding capacity and improves soil structure. The United States and Australia, with extensive agricultural fields, utilize natural gypsum to control soil salinity and enhance crop yields. Increasing demand for organic farming contributes to further growth in this niche.
Synthetic gypsum, particularly flue gas desulfurization (FGD) gypsum, is gaining popularity as companies adopt sustainable practices. Produced as a by-product of coal-fired power plants, synthetic gypsum is a reliable, affordable substitute for natural gypsum, particularly where natural resources are limited. In the US and Germany, the commercial production of synthetic gypsum for drywall has alleviated air and environmental pollution caused by mined gypsum, which is required by stringent regulations.
Moreover, synthetic gypsum is increasingly used in cement production by its managed chemical composition to ensure quality consistency. European Union businesses are investing in FGD technology for legislative compliance with emission regulations while using synthetic gypsum simultaneously as a safe industrial by-product.
Drywall is the largest end-use segment, driven by the global construction boom in residential and commercial buildings. Drywall consumption is led by the United States, with more than 80% of homes utilizing gypsum-based drywall due to its fire-resistant properties and ease of installation. The expanding use of modular construction methods in European and Asian-Pacific urbanization also stimulates demand for gypsum-based panels.
In addition, soundproof and moisture-resistant forms of drywall products fulfil particular construction requirements, such as high-humidity settings and office spaces of commercial structures. The interest in energy-efficient and lightweight building materials keeps the market for gypsum-based drywall products in the drywall industry expanding.
Gypsum is a key regulator of setting time in the production of Portland cement. High-growth economies like China, India, and Brazil utilize gypsum to enhance the strength and hardness of their concrete infrastructures. Urbanization and the development of mega-infrastructure projects like bridges, highways, and smart cities are fuelling demand in this market.
With increasing pressure to reduce carbon prints, cement plants are looking at artificial gypsum as a green alternative. Companies are looking at gypsum recycling technologies to improve the circularity of cement manufacturing and thus further propel the market growth.
Gypsum plaster remains on the rise with extensive usage in interior finishes and architectural use. Greater demands for new interior designs, especially in the North American and European markets, have encouraged the usage of gypsum ornamental materials such as moldings and false ceilings.
Apart from this, the medical sector is also among the biggest users of gypsum plaster, especially orthopedic use in casts for broken bones. Low-strength and low-weight gypsum plasters are gaining more usage by industries.
Gypsum as soil conditioner is also gaining widespread popularity, especially for salinized and degenerated soils. Farmers throughout the Midwestern region of the country, and particularly more so in North America, are top-dressing soil with gypsum in expectation of improving the soil structure, water absorption, and averting run-off nutrients. Government initiative in terms of assistance to soil, and coercion towards eco-friendly agro-practices, are the most prominent drivers of this shift.
Besides that, research on how the use of gypsum can help improve regenerative farming and sequestration of carbon is ongoing and therefore it is an appropriate substance to use to practice sustainable farming.
Gypsum blocks are increasingly being used as a substitute for conventional concrete blocks and steel-reinforced bricks in green building applications. Enhanced heat and fire insulation are the characteristics that have made gypsum blocks a highly desired material by green buildings in Europe and the Middle East. Gypsum partition walls are becoming trendy in the UAE and Germany for enhanced energy efficiency in residential and commercial structures.
Besides this, the simplicity of usage of light gypsum blocks to save construction time and construction expenses and their extremely high utilization towards prefabricated house construction and modular construction will also propel demand in this segment. Environment-friendly construction materials, gaining more prominence with the growing awareness towards the environment, will also see increased demand.
The gypsum market is an oligopolistic market with intense competition from industry market leaders and industry regional players driving industry growth. Industry players drive market share, leading product efficiency, sustainability, and varied applications in building, farming, cement, and industrial processing markets. The industry comprises both skilled and unskilled manufacturers, driving industry trends and innovation in technology.
Market Share Analysis by Company
| Company Name | Estimated Market Share (%) |
|---|---|
| Saint-Gobain | 15-20% |
| Knauf Gips KG | 12-17% |
| USG Corporation | 10-15% |
| National Gypsum Company | 7-12% |
| Boral Limited | 5-9% |
| Other Companies (combined) | 40-50% |
| Company Name | Key Offerings/Activities |
|---|---|
| Saint-Gobain | Manufactures high-performance gypsum boards and plasters. Focuses on sustainable solutions with recyclable materials. |
| Knauf Gips KG | Specializes in gypsum-based drywall systems and construction materials. Invests heavily in R&D for energy-efficient manufacturing. |
| USG Corporation | Develops advanced gypsum wallboards and acoustical ceiling tiles. Pioneers lightweight, high-strength solutions for construction. |
| National Gypsum Company | Produces fire-resistant, mold-resistant, and eco-friendly gypsum board products. Strengthens its position with strategic acquisitions. |
| Boral Limited | Supplies gypsum-based products for construction and industrial applications. Known for its focus on plasterboard and high-strength applications. |
Key Company Insights
Saint-Gobain (15-20%)
Saint-Gobain dominates the global gypsum product market worldwide with its extensive range of gypsum products, including plasterboards and jointing compounds. These products promote sustainability through recycling processes and reduced production processes to reduce CO2 emissions. Saint-Gobain is deeply rooted in the North American, European, and Asian markets and diversifies its product portfolio relentlessly to combat the emerging demands of next-generation construction.
Knauf Gips KG (12-17%)
Knauf Gips KG is a strong rival of its drywall systems, insulation products, and building solutions. It undertakes energy-efficient manufacturing, as well as the development of fire-resistant and water-resistant gypsum board products. Expansion in international presence by Knauf in Europe and the Middle East is helping it dominate the competition.
USG Corporation (10-15%)
USG Corporation is a leading manufacturer of gypsum products in North America. USG is most well-known for its ultralight drywall products, which cut the weight of materials without compromising strength. USG also produces high-performance acoustical ceiling tiles used in building construction for homes and commercial buildings. As it continues to advance in green manufacturing, USG remains at the forefront of gypsum production innovation.
National Gypsum Company (7-12%)
National Gypsum is a quality leader in fire-resistance and mold-resistance in gypsum wallboard. National Gypsum is pursuing strategic acquisitions with aggressive action to gain market share and expand distribution. National Gypsum is the leader in the United States and Canada and a healthy industry leader shaping destiny.
Boral Limited (5-9%)
Boral Limited is a large gypsum-based building products business with special emphasis on plasterboard and high-strength use. Boral is dedicated to research and development that will continue to enhance the performance and strength of gypsum products used in residential and industrial building applications. Boral operates plants on several continents, making it a secure offshore supplier.
Other Key Players (40-50% Combined)
To complement these market-leading players, numerous other firms individually contribute to industry growth, development, and efficiency. These include:
The global gypsum market size was approximately USD 3,568 million in 2025.
The gypsum market is projected to reach approximately USD 6,621 million by 2035.
The increasing demand for gypsum is driven by its extensive use in the construction industry, particularly in products like drywall, plasterboard, and cement. Additionally, the rise in infrastructure development and urbanization contributes to the growth of the gypsum market.
The top 5 countries contributing to the development of the gypsum market are United States, China, India, Japan, Germany.
Based on application, the wallboard segment is expected to hold a dominant position in the global gypsum board market, owing to its wide range of applications in room interiors, surfaces, and room partitions.
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