Gypsum industry news

Australia: USG-Boral’s earnings have fallen due to a poor construction market in South Korea. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 6% year-on-year to US$170m in the financial year to 30 June 2019 from US$181m in the previous year. Its revenue grew by 2% to US$1.08bn from US$1.06bn. The joint venture said that, excluding South Korea, earnings were ‘steady’ as lower earnings from Indonesia, China and the Philippines were offset by increased contributions from Thailand, Vietnam and India, as well as a continued strong contribution from Australia.

The company also announced that Boral has entered into an agreement with Germany’s Knauf to form an expanded 50:50 plasterboard joint venture in Asia and for Boral to return to 100% ownership of USG Boral Australia & New Zealand. Completion of the deal is subject to regulatory approval. It follows the acquisition of USG by Germany’s Knauf in early 2019.

Philippines: Knauf Gypsum Philippines has started building a gypsum wallboard plant in the industrial park at the Calaca Seaport in Batangas. The company is a joint venture between the German companies Knauf Gips and Deutsche Investitions-und Entwicklungsgesellschaft (DEG), an investment and development group, according to the Philippines News Agency. Murray Read, Knauf's chief executive officer (CEO) for Asia and the Pacific, said that the plant is aimed to meet demand for plasterboard and other gypsum-based building products within the country's growing construction industry.

Philippines: Knauf and the German Investment and Development Corporation (DEG) are to build a 16Mm² gypsum wallboard plant in Bataan. The two companies will invest Euro40m in the joint venture project, according to the Philippines News Agency. The agreement was signed at the Philippine embassy in the presence of the Philippine ambassador to Germany Melita Sta. Maria-Thomeczek, Knauf CEO Manfred Grundke and Christian Laibach and Klaus Helsper on behalf of DEG.

The new plant is planned to be completed by early 2018 and is expected to create 100 direct jobs. The proposed investment was granted pioneer status, to provide tax incentives, by the Board of Investments and the Philippine Trade and Investment Centre-Berlin earlier in 2016.