Synthetic gypsum market Analysis and Global Forecast 2023-2033

Synthetic gypsum market Overview

The Synthetic gypsum market Size is expected to reach USD 4.77 Billion by 2033. The Synthetic gypsum market industry size accounted for USD 3.41 Billion in 2023 and is expected to expand at a compound annual growth rate (CAGR) of 4.87% from 2023 to 2033. The synthetic gypsum market refers to the industry involved in the production, distribution, and utilization of synthetic gypsum, which is a byproduct of various industrial processes, particularly the flue gas desulfurization (FGD) systems used in coal-fired power plants. Synthetic gypsum is created through the chemical reaction between sulfur dioxide (SO2) emissions from power plants and limestone or other calcium-containing materials.

The synthetic gypsum market encompasses manufacturers of FGD systems, power plants, gypsum producers, construction material manufacturers, and various other industries that utilize gypsum products. Factors driving the growth of the synthetic gypsum market include environmental regulations mandating the reduction of sulfur emissions from power plants, the cost-effectiveness of synthetic gypsum compared to natural gypsum, and the increasing demand for sustainable building materials.

Global Synthetic gypsum market Synopsis

COVID-19 Impact Analysis

The COVID-19 pandemic had a mixed impact on the synthetic gypsum market. Initially, the market experienced disruptions due to lockdown measures, supply chain interruptions, and reduced construction activity in many parts of the world. This led to a temporary decline in demand for synthetic gypsum and related construction materials. As the construction sector gradually resumed operations and governments implemented stimulus packages to support infrastructure development, the demand for synthetic gypsum began to recover. Additionally, the shift towards remote work and increased time spent at home during the pandemic boosted renovation and remodeling activities, driving demand for gypsum-based products such as drywall. The pandemic highlighted the importance of sustainable building practices and materials, including synthetic gypsum, which is seen as an environmentally friendly alternative to natural gypsum. This increased awareness of sustainability issues could further drive the adoption of synthetic gypsum in construction projects post-pandemic.

Synthetic gypsum Market Dynamics

The major factors that have impacted the growth of Synthetic gypsum market are as follows:

Drivers:

Ø  Cost-Effectiveness and Sustainability

Synthetic gypsum is often more cost-effective than natural gypsum due to its availability as a byproduct of industrial processes. This makes it an attractive option for industries such as construction, agriculture, and cement manufacturing, where gypsum is a key component. The increasing focus on sustainable practices in various industries drives the demand for synthetic gypsum. It offers a solution for reducing waste from industrial processes while providing a material with properties similar to natural gypsum, thus supporting sustainable construction practices. Ongoing technological advancements in FGD systems and gypsum processing technologies contribute to the efficiency and cost-effectiveness of synthetic gypsum production. This enhances the competitiveness of synthetic gypsum in the market. Increasing awareness among industries and consumers about the benefits of synthetic gypsum, including its environmental advantages and comparable quality to natural gypsum, further drives its adoption in various applications.

Restraint:

• Perception of Energy Costs and Operational Expenses

The production of synthetic gypsum involves energy-intensive processes, including the operation of flue gas desulfurization (FGD) systems and gypsum processing equipment. Fluctuations in energy prices and operational expenses can impact the overall cost of synthetic gypsum production, affecting its competitiveness relative to natural gypsum or alternative materials. Establishing and maintaining FGD systems for synthetic gypsum production requires significant infrastructure and investment. Companies may face challenges in financing these investments, especially in regions with limited access to capital or where regulatory uncertainty exists regarding environmental compliance and industrial emissions.

Opportunity:

⮚      Increasing Demand for Sustainable Construction Materials

With growing awareness of environmental sustainability, there is a rising demand for construction materials with low environmental impact. Synthetic gypsum, being a byproduct of industrial processes, offers a sustainable alternative to natural gypsum, thereby aligning with green building initiatives and sustainability goals. The implementation of stringent environmental regulations worldwide is driving the installation of flue gas desulfurization (FGD) systems in coal-fired power plants and other industrial facilities. This expansion of FGD installations increases the availability of synthetic gypsum as a byproduct, providing opportunities for market growth. Synthetic gypsum finds applications beyond traditional uses in construction materials. There is growing interest in utilizing synthetic gypsum in soil amendments, agricultural applications, and industrial processes, such as cement manufacturing. Exploring and diversifying into these new applications can open up additional market opportunities for synthetic gypsum producers.

Synthetic gypsum market Segment Overview

By Type

Based on Type, the market is segmented based on FGD gypsum, citro gypsum, fluro gypsum, phosphogypsum and others. The FGD gypsum segment led the market with the largest share. FGD gypsum is basically the gypsum obtained from the flue gas desulfurization systems. The FGD gypsum mostly has the same chemical identity as that of a natural gypsum, and it is considered as a gypsum of greater purity. The use of FGD gypsum is considered as ecologically beneficial. The process through which FGD gypsum is manufactured is eco-friendly and provides an ecological source of pure gypsum.

By Application

Based on Application, the market has been divided into the Drywall, Cement, Soil Amendment, Dental, Water treatment and others. The drywall segment held the largest market share in the synthetic gypsum market due to the growing various construction activities in emerging countries. With the growing urbanization, there has been a corresponding need for residential spaces, which lead to the demand for synthetic gypsum.

Global Synthetic gypsum market Regional Analysis

Based on region, the global Synthetic gypsum market has been divided into North America, Europe, Asia-Pacific, the Middle East & Africa, and Latin America. North America is projected to dominate the use of the Synthetic gypsum market followed by the Asia-Pacific and Europe regions.

North America Market

North America holds a dominant position in the Synthetic gypsum market.  The U.S. is a leading market for synthetic gypsum due to widespread adoption of FGD systems in coal-fired power plants. Strong construction activity, especially in residential and commercial sectors, further drives demand for gypsum-based products. The presence of major gypsum producers and robust infrastructure supports market growth. Similar to the U.S., Canada benefits from FGD adoption and construction activities, albeit on a smaller scale. Growth in infrastructure projects and renovation activities contributes to synthetic gypsum demand.

Asia-Pacific Market

The Asia-Pacific region has indeed emerged as the fastest-growing market for the Synthetic gypsum market industry. China is a major consumer and producer of synthetic gypsum due to its extensive industrial activities and construction boom. Rapid urbanization, infrastructure development, and environmental concerns drive demand. Growing industrialization, urbanization, and government initiatives for infrastructure development propel the synthetic gypsum market in India. The construction sector, including residential, commercial, and infrastructure projects, is a key driver.

Competitive Landscape

The global Synthetic gypsum market is highly competitive, with numerous players offering a wide range of software solutions. The competitive landscape is characterized by the presence of established companies, as well as emerging startups and niche players. To increase their market position and attract a wide consumer base, the businesses are employing various strategies, such as product launches, and strategic alliances.

Prominent Players:

• LafargeHolcim
• National Gypsum
• Synthetic Materials
• Knauf Gips
• American Gypsum
• EECO International
• Continental Building Products
• Delta Gypsum
• Gyptec IBERICA
• Saint-Gobain

Scope of the Report

Global Synthetic gypsum Market, by Type

• FGD gypsum
• Citrogypsum
• Fluorogypsum
• Phosphogypsum
• Others

Global Synthetic gypsum market, by Application

• Drywall
• Cement
• Soil Amendment
• Dental
• Water treatment
• Others

 Global Synthetic gypsum market, by Region

• North America
  • US
  • Canada
  • Mexico
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Benelux
  • Nordic
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • Indonesia
  • Austalia
  • Malaysia
  • India
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of SouthAmerica
• Middle East &Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • SouthAfrica
  • Rest of Middle East & Africa

 

Parameters	Indicators
Market Size	2033: $4.77 Billion
CAGR	4.87% CAGR (2023-2033)
Base year	2022
Forecast Period	2023-2033
Historical Data	2021
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Key Segmentations	Type, Application
Geographies Covered	North America, Europe, Asia-Pacific, Latin America, Middle East, Africa
Key Vendors	LafargeHolcim, National Gypsum, Synthetic Materials, Knauf Gips, American Gypsum, EECO International, Continental Building Products, Delta Gypsum, Gyptec IBERICA and Saint-Gobain.
Key Market Opportunities	• Increasing Demand for Sustainable Construction Materials • Diversification of End-Use Applications
Key Market Drivers	• Cost-Effectiveness and Sustainability • Technological Advancements

REPORT CONTENT BRIEF:

• High-level analysis of the current and future Synthetic gypsum market trends and opportunities
• Detailed analysis of current market drivers, restraining factors, and opportunities in the future
• Synthetic gypsum market historical market size for the year 2021, and forecast from 2023 to 2033
• Synthetic gypsum market share analysis at each product level
• Competitor analysis with detailed insight into its product segment, Government & Defense strength, and strategies adopted.
• Identifies key strategies adopted including product launches and developments, mergers and acquisitions, joint ventures, collaborations, and partnerships as well as funding taken and investment done, among others.
• To identify and understand the various factors involved in the global Synthetic gypsum market affected by the pandemic
• To provide a detailed insight into the major companies operating in the market. The profiling will include the Government & Defense health of the company’s past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.