The Saudi Arabia plasterboard market size was valued at USD 289.11 Million in 2025 and is projected to reach USD 502.31 Million by 2034, growing at a compound annual growth rate of 6.33% from 2026-2034.
The Saudi Arabia plasterboard market is expanding steadily as the Kingdom accelerates large-scale construction and urban development initiatives. Increasing demand for lightweight, fire-resistant, and thermally efficient building materials is supporting broader adoption across residential and commercial projects. Favorable regulatory frameworks, expanding domestic manufacturing capabilities, rising disposable incomes, and a growing emphasis on sustainable construction practices are collectively strengthening the Saudi Arabia plasterboard market share.
The Saudi Arabia plasterboard market is gaining strong momentum as the Kingdom undergoes one of the most ambitious construction transformations globally. Government-led initiatives under Vision 2030 are catalyzing demand for modern, efficient building materials that meet evolving construction standards. Domestic manufacturers are actively scaling their operations to meet rising demand. For instance, in January 2025, National Gypsum Company secured a USD 9.32 Million financing agreement with Riyad Bank to support expansions at its gypsum wallboard plants. Supportive building codes, increasing preference for energy-efficient interiors, and the growth of modular construction techniques are reinforcing the market’s positive trajectory.
Growing Preference for Lightweight and Modular Construction Methods
Saudi Arabia is experiencing a rising shift toward lightweight and modular construction techniques, driven by the need for faster project delivery and cost optimization. Plasterboard is increasingly favored for interior partitioning, wall cladding, and ceiling applications due to its ease of handling and rapid installation. For instance, Saudi Arabia’s construction output reached size was valued at USD 101.4 Billion in 2025, with modular and prefabricated methods gaining prominence in large-scale urban and residential projects, supporting the Saudi Arabia plasterboard market growth.
Rising Demand for Specialized Fire-Resistant and Moisture-Resistant Boards
The use of specialized plasterboard products, such as fire-resistant and moisture-resistant plasterboards, is on the rise in the Kingdom due to the enforcement of more stringent building standards and safety regulations. The new Saudi Building Code 2024 requires the use of environmentally friendly and improved building materials in new building projects. This is further fueling the shift towards high-performance plasterboard solutions in commercial, healthcare, and institutional buildings.
Expansion of Sustainable and Green Building Practices
The Kingdom of Saudi Arabia is also at the forefront of sustainable construction, with the country’s green building programs. The Sustainable Building Program has experienced a substantial increase in the number of projects being assessed, which is indicative of the Kingdom’s increasing commitment to environmentally responsible development practices. The increasing focus on sustainability is also creating a demand for sustainable plasterboard products that help with energy efficiency and thermal insulation, thus making green-certified building materials a crucial part of the construction process.
Saudi Arabia's Vision 2030 is reshaping the plasterboard market by driving unprecedented construction activity across residential, commercial, and entertainment sectors throughout the Kingdom. Mega-projects such as NEOM, the Red Sea Global developments, Qiddiya, and Diriyah Gate are generating massive demand for lightweight interior finishing materials, with plasterboard serving as a critical component for wall partitioning, ceiling systems, and decorative applications. Regulatory reforms, including updated Saudi Building Code standards mandating energy-efficient and fire-resistant materials, along with expanded domestic manufacturing incentives, have strengthened the plasterboard supply chain and boosted industry investment. Riyadh's rapid urban expansion and the ambitious target of raising homeownership rates by the end of the decade are accelerating residential construction, while new hospitality, leisure, and mixed-use districts are creating sustained demand for high-performance plasterboard solutions across diverse building typologies.
The Saudi Arabia plasterboard market is expected to grow at a significant rate during the forecast period due to the ongoing development of mega projects, successful housing schemes, and improving local manufacturing capabilities. Vision 2030 remains a catalyst for unprecedented levels of construction activity, with total construction contracts awarded in the Kingdom registering a substantial year-on-year increase. The government's ambitious plan to substantially increase the rate of homeownership by the end of the decade, along with its plans to deliver large-scale housing units through collaborative agreements between the Real Estate Development Fund, National Housing Company, and Saudi National Bank, is expected to continue to drive strong demand for plasterboard in interior construction projects, underpinning the growth trend of the market. The market generated a revenue of USD 289.11 Million in 2025 and is projected to reach a revenue of USD 502.31 Million by 2034, growing at a compound annual growth rate of 6.33% from 2026-2034.
|
Segment Category |
Leading Segment |
Market Share |
|
Form |
Tapered |
54% |
|
Type |
Standard Plasterboard |
26% |
|
End-Use Sector |
Residential |
58% |
|
Region |
Northern and Central Region |
29% |
Form Insights:
Tapered dominates with a share of 54% of the total Saudi Arabia plasterboard market in 2025.
Tapered plasterboard has proven to be the most popular type in the Saudi Arabian construction industry, mainly because of its recessed edges that allow for easier joint finishing and smooth wall surfaces. This type of plasterboard is widely used in contemporary residential and commercial drywall construction where quality and professional finishing are of utmost importance. The rising trend of adopting international construction norms in the Kingdom is also expected to further promote the use of tapered plasterboard in interior wall and ceiling construction.
The large-scale construction of housing units under the Sakani housing scheme is also creating a substantial demand for tapered plasterboard in residential construction projects. Contractors and construction companies prefer tapered edges because of their ability to provide flush surfaces with fewer visible joints, making them highly suitable for large-scale residential projects where quality finishing norms are strictly enforced. The rising trend of modular and prefabricated construction in the Kingdom is also expected to accelerate the adoption of tapered plasterboard, as these types of plasterboards can be easily integrated into factory-made wall panels and partition systems.
Type Insights:
Standard plasterboard leads with a share of 26% of the total Saudi Arabia plasterboard market in 2025.
Standard plasterboard remains the most widely utilized type across Saudi Arabia’s construction sector due to its versatility, affordability, and ease of installation for interior walls, ceilings, and partitions. The product serves as the foundational building material for residential and commercial interior fit-outs, offering natural fire-retardant properties from its gypsum core while maintaining cost efficiency. Rapid urbanization is also sustaining high demand for standard plasterboard across large-scale housing and infrastructure projects.
The Kingdom’s ambitious residential construction pipeline is reinforcing the dominance of standard plasterboard, as it remains the primary choice for general-purpose interior construction applications. Government housing initiatives targeting substantial homeownership rate by 2030 are driving the development of affordable residential units where standard plasterboard provides the optimal balance between performance and cost. The expansion of local manufacturing capacity, including Mada Gypsum Company’s 42 Million square meter annual plasterboard production capacity, ensures adequate supply to meet the growing demand from construction projects across all regions of the Kingdom.
End-Use Sector Insights:
Residential exhibits a clear dominance with a 58% share of the total Saudi Arabia plasterboard market in 2025.
The residential sector holds the leading market share for plasterboard consumption in the Kingdom of Saudi Arabia, thanks to the Kingdom's overall housing development plan outlined in Vision 2030. The Kingdom's Housing Program has recorded major milestones, with Saudi home ownership exceeding its short-term targets before schedule. An increasing number of families continue to benefit from housing assistance programs, with major contracts signed for ready-made housing units across the Kingdom. This steady pace of residential development continues to fuel plasterboard demand for wall partitioning, ceiling installation, and decoration purposes.
The residential sector's leading market share is further reinforced by the Kingdom's overall plan to significantly increase homeownership rates by the end of the decade, requiring large-scale housing development across all regions. The development of integrated residential communities by major developers across large landmasses with thousands of new housing units is fueling major plasterboard demand. New residential architecture continues to adopt modern plasterboard drywall solutions over traditional construction solutions, making plasterboard the preferred material for interior spaces requiring efficient installation, thermal insulation, and acoustic comfort.
Regional Insights:
Northern and Central Region holds the largest share at 29% of the total Saudi Arabia plasterboard market in 2025.
The Northern and Central Region of Saudi Arabia is the leading market for plasterboard, driven by the fact that the largest construction projects are centered in and around Riyadh, the capital city. Riyadh is at the forefront of the Vision 2030 transformation projects such as New Murabba, King Salman Park, and Sports Boulevard, which cumulatively create staggering demand for interior finishing products. The region's high population density, rapid urbanization, and strong commercial development pipeline continue to fuel plasterboard demand in the Kingdom for residential, office, and institutional projects.
The dominance of the capital region is also fueled by the steady growth of residential and mixed-use developments that demand heavy interior partitioning and ceiling finishing. Government-led urban renewal projects are transforming Riyadh into a world-class metropolitan center, with substantial investment in commercial high-rises, hospitality, and infrastructure projects. This steady construction activity pattern makes the Northern and Central Region the main consumption hub for plasterboard products in the Kingdom.
Growth Drivers:
Why is the Saudi Arabia Plasterboard Market Growing?
Accelerating Construction Activity Under Vision 2030
Saudi Arabia’s Vision 2030 national development plan is driving an unprecedented surge in construction activity across the Kingdom, creating sustained demand for plasterboard and allied interior finishing materials. The government has committed to a project pipeline exceeding USD 1.5 Trillion, encompassing mega-projects such as NEOM, Qiddiya, the Red Sea Project, and Diriyah Gate. These developments span residential, commercial, hospitality, and entertainment sectors, all of which require extensive interior finishing using plasterboard for walls, ceilings, and partitions. This massive investment pipeline is translating into consistent demand for building materials, with plasterboard playing a central role in modern construction practices. The emphasis on delivering world-class infrastructure within ambitious timelines is encouraging the adoption of drywall systems that offer faster installation and superior finishing compared to traditional methods, further strengthening market growth prospects.
Robust Housing Development and Homeownership Programs
The Saudi government’s aggressive push to increase homeownership among citizens represents a primary growth catalyst for the plasterboard market. In August 2025, the government launched a tripartite agreement between the Real Estate Development Fund, the National Housing Company, and the Saudi National Bank to deliver over 40,000 housing units across 24 residential projects nationwide. This sustained residential construction activity generates significant volumes of plasterboard demand, as modern housing designs increasingly rely on lightweight drywall systems for interior walls, partition construction, and ceiling applications. The development of integrated residential communities with thousands of housing units requires standardized, cost-effective building materials that enable efficient construction, making plasterboard an essential component of the Kingdom’s housing development strategy.
Expansion of Domestic Manufacturing and Production Capacity
Local plasterboard manufacturers are actively investing in capacity expansion and technological modernization to meet growing domestic demand, reducing import dependency and strengthening the supply chain. In December 2025, United Mining Industries commenced commercial production at its new gypsum board production line in Yanbu, increasing the plant’s total capacity from 33 Million square meters to 58 Million square meters annually. These capacity additions are enhancing the Kingdom’s self-sufficiency in plasterboard production while supporting industrial diversification goals under Vision 2030. The expansion of local manufacturing infrastructure ensures more competitive pricing, reduces supply chain vulnerabilities, and enables faster delivery to construction sites, all of which contribute to broader market adoption of plasterboard solutions across the Kingdom.
Market Restraints:
What Challenges the Saudi Arabia Plasterboard Market is Facing?
Volatility in Raw Material Prices
The plasterboard market is also challenged by the ever-changing prices of gypsum and other additives used in the production of plasterboards. The rise in fuel prices, such as the one announced by Saudi Aramco in January 2024, affects the production and transportation costs of plasterboards. This could result in reduced profit margins and periodic price increases that could slow down the adoption of plasterboards in the construction industry, which is sensitive to prices.
Competition from Alternative Construction Materials
Plasterboard is also facing increasing competition from other materials used for interior construction, such as cement boards, fiber-reinforced panels, and prefabricated concrete wall systems that provide improved durability and water-resistance properties. In some uses, particularly where high humidity is present, constructors may choose to use these other materials instead of plasterboard, thereby reducing its use in some market segments.
Skilled Labor Shortages and Installation Challenges
The rapid expansion of construction activity in Saudi Arabia has created significant demand for skilled labor, including specialized drywall installation professionals. Shortages of trained plasterboard installers can lead to delays in project timelines, higher labor costs, and inconsistent installation quality. These workforce constraints pose challenges to scaling plasterboard adoption across the growing number of simultaneous construction projects being executed throughout the Kingdom.
The Saudi Arabia plasterboard market has a moderately consolidated competitive environment, with the presence of local producers and global players in the construction materials industry. The major players are concentrating on enhancing their production capacity, improving manufacturing technology, and developing their product offerings to cater to the changing demands in the construction sector. The players are also engaging in research and development activities to develop niche plasterboard products such as fire-resistant, moisture-resistant, and sound-improved plasterboards. The competitive environment is also influenced by partnerships, distribution networks, and alignment with the new Saudi Building Code. The Saudi Arabia plasterboard market is also influenced by the growing focus on local content development, which encourages local participants to enhance their production capabilities and increase their share of the growing demand.
| Report Features | Details |
|---|---|
| Base Year of the Analysis | 2025 |
| Historical Period | 2020-2025 |
| Forecast Period | 2026-2034 |
| Units | Million USD |
| Scope of the Report |
Exploration of Historical Trends and Market Outlook, Industry Catalysts and Challenges, Segment-Wise Historical and Future Market Assessment:
|
| Forms Covered | Square-Edge, Tapered |
| Types Covered | Standard Plasterboard, Fire-Resistant Plasterboard, Thermal Insulated Plasterboard, Moisture-Resistant Plasterboard, Sound-Resistant Plasterboard, Impact-Resistant Plasterboard |
| End-Use Sectors Covered | Residential, Non-Residential |
| Regions Covered | Northern and Central Region, Western Region, Eastern Region, and Southern Region |
| Customization Scope | 10% Free Customization |
| Post-Sale Analyst Support | 10-12 Weeks |
| Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request) |
The Saudi Arabia plasterboard market size was valued at USD 289.11 Million in 2025.
The Saudi Arabia plasterboard market is expected to grow at a compound annual growth rate of 6.33% from 2026-2034 to reach USD 502.31 Million by 2034.
Tapered dominated the market with a share of 54%, driven by its suitability for seamless joint finishing, widespread adoption in modern drywall systems, and growing contractor preference for professional-quality interior wall surfaces.
Key factors driving the Saudi Arabia plasterboard market include accelerating Vision 2030 construction activity, robust housing development programs, expanding domestic manufacturing capacity, rising adoption of green building practices, and growing demand for lightweight interior finishing materials.
Major challenges include volatility in raw material and energy prices, competition from alternative construction materials, skilled labor shortages for specialized installation, supply chain disruptions, and fluctuating demand cycles linked to project timelines across the Kingdom.