Canada Drywall Market Outlook

The Canada drywall market size reached a value of USD 1,308.90 million in 2024. Driven by the ongoing demand for residential, commercial, and industrial construction projects, the market is expected to grow at a compound annual growth rate (CAGR) of 6.6% from 2025 to 2034, with an anticipated value of USD 2,184.25 million by 2034.

Drywall, also known as plasterboard or gypsum board, is a crucial component in the construction industry. It serves as a key material for interior wall and ceiling surfaces in both residential and commercial buildings. Drywall is highly valued for its durability, ease of installation, and versatility, making it the preferred choice for modern construction projects. The Canada drywall market’s growth is driven by increasing construction activities, technological advancements in drywall production, and the rising demand for sustainable and energy-efficient building materials.

Canada Drywall Market Size

The Canada drywall market is a significant segment of the country's construction and building materials industry. As of 2024, the market value is estimated at USD 2.35 billion, and it is poised for consistent growth over the next decade. The residential sector remains the dominant driver of demand, particularly in urban centers experiencing significant population growth and infrastructural development. Moreover, the commercial and industrial sectors also contribute substantially to the market’s size, with a steady influx of new projects across various industries, including retail, healthcare, education, and hospitality.

The increasing emphasis on urbanization and residential construction, especially in major Canadian cities like Toronto, Vancouver, and Montreal, is a significant factor propelling the demand for drywall. Additionally, the shift toward more energy-efficient buildings has led to an increase in the use of high-performance drywall products, further expanding the market size.

Canada Drywall Market Share

In Canada, drywall is primarily available in two types: regular drywall and moisture-resistant drywall, both of which are used for different applications within the construction industry. Regular drywall dominates the market due to its widespread use in dry, non-moisture-prone areas such as living rooms, bedrooms, and offices. However, moisture-resistant drywall, which is used in areas like bathrooms, kitchens, and basements, has seen an uptick in demand due to increasing concerns regarding moisture damage and mold growth in buildings.

Additionally, lightweight drywall is gaining popularity as an alternative to traditional products due to its ease of installation and reduced transportation costs. With its growing presence in the residential and commercial sectors, lightweight drywall is projected to capture a more substantial market share in the coming years. However, traditional drywall still maintains the largest share of the overall market due to its reliability, cost-effectiveness, and widespread application.

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Drivers of Growth

• Increase in Construction Activities : The Canada drywall market has experienced steady growth in recent years, particularly in residential construction. The increasing population, coupled with the need for affordable housing, drives the demand for new homes and apartments, which directly boosts the demand for drywall. Additionally, the surge in commercial and industrial construction projects is contributing to the overall market growth.

• Urbanization and Population Growth : With rapid urbanization, especially in major metropolitan areas like Toronto, Vancouver, and Montreal, the need for residential and commercial space continues to rise. As more people move to urban areas, the demand for building materials, including drywall, will grow accordingly. Urbanization also encourages the development of infrastructure, public utilities, and other commercial establishments, further driving the drywall market.

• Technological Advancements in Drywall Production : Technological innovations in drywall manufacturing have led to improved product quality and performance. Manufacturers are increasingly focused on developing drywall products that are lighter, more durable, and more resistant to fire, moisture, and mold. These advancements help drywall remain a popular choice for modern construction projects, contributing to the market’s growth.

• Rising Demand for Sustainable and Energy-Efficient Building Materials : There is a growing emphasis on energy efficiency and sustainability in construction. Drywall products with eco-friendly materials and improved insulation properties are increasingly in demand. These products align with the construction industry’s shift towards green buildings and energy-efficient designs, which is expected to further fuel the demand for Canada drywall market.

• Renovation and Remodeling Activities : The renovation and remodeling market in Canada has also contributed to the growth of the drywall industry. As homeowners and businesses renovate their spaces to improve functionality, aesthetics, or energy efficiency, drywall remains a go-to material for interior wall applications. The increasing trend toward home improvement and renovation, particularly in older homes, is creating significant demand for drywall products.

Canada Drywall Market Trends

• Sustainability and Eco-Friendly Products : One of the most prominent trends in the Canada drywall market is the growing shift toward sustainability. With increasing concerns over environmental impact, many drywall manufacturers are opting for greener production methods and using recycled materials in their products. For example, some drywall products now incorporate recycled gypsum, which reduces waste and minimizes the carbon footprint of production. Additionally, eco-friendly drywall is designed to improve indoor air quality by reducing the release of harmful chemicals into the environment.

• Lightweight and High-Performance Drywall : The demand for lightweight drywall has increased due to its ease of installation and handling. Lightweight drywall also reduces transportation costs, making it an attractive option for contractors and construction companies. Moreover, high-performance drywall, designed for specific needs such as fire resistance, mold resistance, and soundproofing, is becoming more popular. These specialized products cater to the growing demand for more durable and efficient building materials.

• Automation in Drywall Production : Automation in the manufacturing process is transforming the drywall industry. With the use of advanced machinery and robotics, manufacturers can produce drywall more efficiently, reducing costs and improving quality control. Automation also helps in meeting the increasing demand for drywall, as it enables faster production and a more consistent supply.

• Increased Adoption of Prefabricated Drywall Systems : Prefabricated drywall systems, which are pre-cut and ready for installation, are gaining popularity in the construction industry. These systems streamline the construction process by reducing installation time, labor costs, and material waste. Prefabricated drywall is particularly beneficial in large-scale commercial projects and residential developments.

Technology and Advancements

Technological advancements are playing a crucial role in shaping the future of the Canada drywall market. Innovations in material science, manufacturing processes, and product development are driving market growth and meeting the evolving needs of the construction industry.

• Smart Drywall : The introduction of smart drywall products is expected to be a game-changer for the industry. These products integrate sensors and other technologies to monitor environmental conditions such as temperature, humidity, and air quality. Smart drywall can contribute to energy efficiency by adjusting to environmental changes, helping maintain optimal indoor conditions while reducing energy consumption.

• Improved Fire-Resistant Drywall : Fire-resistant drywall is gaining traction in both residential and commercial construction projects. As fire safety regulations become more stringent, builders are increasingly turning to drywall products that offer enhanced fire resistance. Manufacturers are incorporating advanced fire-resistant materials, such as glass fibers and vermiculite, to improve the performance of drywall in fire-prone areas.

Canada Drywall Market Segmentation

The market can be divided based on type, application, and region.

Market Breakup by Type

• Standard
• Fire-Resistant
• Mold/Moisture Resistant

Market Breakup by Application

• Residential
• Commercial

Market Breakup by Region

• Northern Canada
• British Columbia
• Alberta
• The Prairies
• Central Canada
• Atlantic Canada

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Canada drywall market. Some of the major players explored in the report by Expert Market Research are as follows:

• CGC Inc.
• CertainTeed
• Georgia-Pacific LLC
• Gold Bond Building Products, LLC.
• Envirowall Partition Systems Limited
• Armstrong World Industries, Inc.
• Others

Challenges in the Canada Drywall Market

While the Canada drywall market is experiencing growth, several challenges could impact its future trajectory. One key challenge is the volatility in raw material prices. Gypsum, the primary raw material used in the production of drywall, is subject to price fluctuations, which can affect the overall cost of drywall products. Additionally, the high transportation costs associated with the distribution of drywall materials across Canada, particularly in remote areas, could further add to the cost burden for manufacturers and consumers.

Environmental concerns related to the disposal of drywall waste are another issue facing the industry. While drywall is recyclable, the actual recycling rate is still relatively low, and much of the material ends up in landfills. Addressing this waste management issue will require investments in better recycling infrastructure and practices.

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