Gypsum industry news

Germany: Wacker has reported a fall of 16% year-on-year in its earnings before interest, taxes, depreciation and amortisation (EBITDA) to Euro780m in 2019 from Euro 930m in 2018. Wacker Group CEO Rudolf Staudigl said, “Our earnings last year were strongly influenced by non-recurring effects from insurance compensation received and from the impairment charge on fixed assets. We are currently working on a comprehensive program to make Wacker more efficient and capable, and to achieve substantial cost savings.” He indicated that the group would set out specific targets in early-2020.

US: Saint-Gobain is preparing to complete its acquisition of Continental Building Products in early February 2020. The announcement follows approval by Continental Building Products’ shareholders for the US$1.4bn deal.

Saint-Gobain said that the purchase of the gypsum wallboard producer would increases its presence in the US with its positioning in growth regions in the East and Southeast US. It would also widen its product portfolio and create the opportunity for at least US$50m in cost synergies and performance improvements by the end of the third year following the close of the transaction.

"This transaction will allow us to become a leading player in plasterboard and construction solutions across North America. It will enable the group to enhance its growth and profitability profile,” said Pierre-André de Chalendar, Chairman and Chief Executive Officer of Saint-Gobain.

Oman: The World’s leading gypsum-exporting country, the Sultanate of Oman, has recorded gypsum exports of over 9.0Mt in 2019 to its main recipient countries in Asia and South/East Africa. Omani producer Zawawi Minerals has estimated increased export volumes and prices by at least 6% to US$13.3/t from US$12.5/t. Its main competitor, Iran, whose gypsum exports were 4.3Mt in 2019, is set to export no gypsum in 2020 following the US-imposed executive order of 10 January 2020 banning mining in the country.

Germany: The 4th Global CemBoards Conference & Exhibition has begun at the Marriott Hotel in Freising, near Munich, Germany. The event, which covers global market trends in cement-based boards and panel systems, the latest advances in production technology and how producers can add value to their products worldwide, will hear nine presentations over the course 21 and 22 January 2020.

The event is also host to a related exhibition of suppliers to the global cement board sector. Extensive opportunities for networking will be available, with the Global Boards Social Evening held at the Bayerische Staatsbrauerei Weihenstephan on the evening of the first day.

A full report from the event will be published in due course.

UK: Global not-for-profit organisation CDP has included Saint-Gobain on its Climate Change A-List 2019 for environmental transparency and performance aimed at facilitating a zero-net carbon economy. Only a handful of industrial producers achieved inclusion on the list, including US-based insulation producer OwensCorning and Germany’s HeidelbergCement and steel producer Thyssenkrupp. The company said that the listing commended its ‘ambitious commitment made in 2019 to achieve net zero carbon emissions by 2050, in line with the +1.5°C warming scenarios.’