|
contents | news | |||||||||
| Demand for Gypsum Products in North America to Near 50 Million Metric Tons in 2009 Demand for gypsum products in North America is forecast to advance 1.7 percent per year through 2009 to 50 million metric tons. Gains as measured in dollar value will rise 3.7 percent per year to US$4.9 billion, an acceleration from the 1999-2004 period which saw gypsum board prices fall significantly. Growth in gypsum product value will be stimulated by a recovery in gypsum board pricing to the levels of the late 1990s. These and other trends are presented in "Gypsum Products in North America, " a new study from The Freedonia Group, Inc., a Cleveland-based industrial market research firm. Prospects for the North American gypsum industry are closely tied to the fortunes of the construction industry. The residential market plays a particularly important role, responsible for 60 percent of demand for gypsum products. The weak outlook through 2009 for the construction of new homes in the US and Canada will result in a slowdown in demand for gypsum and gypsum products. This deceleration will be offset somewhat by an upswing in new nonresidential construction spending. Gypsum board is the dominant gypsum product sold in North America, accounting for nearly three-quarters of total tonnage in 2004. Demand for gypsum board is expected to advance to 41 billion square feet by 2009. In addition to gypsum board, other gypsum products include building and industrial plasters, gypsum used as a cement additive, agricultural gypsum and gypsum fillers. Gypsum used as an additive for cement is expected to lead gains. Growth in cement markets will be supported by a rebound in nonresidential construction in the US, as well as by continued efforts to rebuild infrastructure in Mexico. Manufacturers of gypsum products continue to increasingly rely on synthetic gypsum -- as opposed to mined gypsum -- as a raw material. In 1994, synthetic gypsum accounted for only six percent of all gypsum consumed in North America. By 2004, synthetic gypsum had increased to 29 percent, and by 2009 the share of synthetic gypsum is expected to rise to 38 percent. write your comments about the article :: © 2005 Construction News :: home page |