Procurement Market Intelligence Report

Drywall
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Drywall Global Overview

Definition

Summary

This report is intended to assist buyers of drywall, also commonly referred to as sheetrock. Used to make interior walls, drywall is composed of gypsum plaster sandwiched between two sheets of paper. Drywall may also be referred to as wallboard, plasterboard, or gypsum board and can be procured from national and regional distributors, as well as big-box retailers. This report does not include manufacturers as a supplier because the majority of end users purchase drywall from distributors and retailers.

This Report Includes:

  • Regular Drywall
  • Type X Drywall
  • Mold-Resistant Drywall
  • Soundproof Drywall

Not in this Report:

  • Acoustic Panels
  • Insulation
  • Ceiling Tiles
  • Other Building Materials

Global Drywall Procurement Trends

Discover the top international trends affecting procurement in the global Drywall market.

Warning Trends


Tariffs to negatively impact building and construction components and supplies sector

  • The Trump Administration’s reciprocal tariffs, which impose higher tariffs on all products imported from most foreign nations, are set to take effect on August 7, after the rates were finalized on August 1. As a result, most construction material import sources face higher tariffs, including Mexico (25.0%), Canada (35.0%), Turkiye (15.0%), and China (54.0%).
  • According to Realtor.com, about 70.0% of the softwood lumber and drywall gypsum (used for drywall) used in residential construction is imported from Canada and Mexico, respectively. According to the New York Times, drywall prices could rise by 22.0%. Other products like wood utility poles, medium-density fiberboard, particleboard, plywood, wood veneers, and wood pulp will also see higher prices as a result.
  • The Yale Budget Lab estimates that construction inputs like cement could see a 3.5% increase in price with higher tariffs on imports. Turkiye, Canada, and Mexico, which account for over 65.0% of US imports, face tariff rates of 10.0%, 25.0%, and 25.0%, respectively.
  • Specific steel and aluminum tariffs of 50.0% on all US imports are also negatively affecting buyers of building and construction components and supplies like sheet metal, automatic sliding doors, garage doors, ladders, posts and bollards, and more. In 2024, 23.0% of all steel used in the United States was imported from foreign countries such as Canada and Mexico.
  • US manufacturers reliant on imported plastic resins from countries like China will not be impacted by tariffs as key resins, like polyethylene, polypropylene, and PET, will be exempt from the reciprocal tariffs. Other construction components and supplies that are compliant with the United States-Canada-Mexico Agreement will be exempt from tariffs.

Global Drywall Market - Suppliers by Region

Country/Region Number of Suppliers
#1 India 23,160
#2 Oceania & Southeast Asia 11,900
#3 China 5,310

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  • Canada
  • United States
  • Mexico
  • Latin America
  • South America
  • India
  • China
  • Europe
  • Africa & Middle East
  • Australi & New Zealand
  • Oceania & Southeast Asia

2

Geography Drilldown - US

Average Cost of Drywall

United States

2026 Market Pricing
$300.00 to $XXX,XXX.XX
per project

Average Price

Prices in the Drywall market range from $300.00 to $XXX,XXX.XX, depending on Type of Drywall, Thickness, Buyer's Location and Purchase Volume. For example, lower prices are associated with Regular drywall (non-fire rated) ($100 to $300 per msf), whereas higher prices are associated with Type X drywall ($400 to $500 per msf).

Need the scoop on international price trends?

Between our Europe and Canada collections, we provide price data for 350 markets so you can instantly compare prices across borders. Or, use our custom research services for intel on prices in any region across the globe.

Drywall Category Price Trends

Pricing trends are indicated by the compound annual growth rate (CAGR) during a set period of time. For the Drywall market, prices in the US have grown 3.6% from 2022 to 2025. Subscribers can access price trend forecasts, price driver projections and forward-looking cost structure data. Learn more

United States (2022-2025)

3.6%
Compound Annual Growth Rate
United States (2025-2028)

Compound Annual Growth Rate

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Wondering where prices are heading?

Price trend forecasts are available to subscribers, along with price driver projections and forward-looking cost structure data.

Cost Analysis - Total Cost of Ownership for Drywall

Total cost of ownership is High in the Drywall market. The average cost of ownership differs depending on the contract but generally includes costs negotiated before the contract begins, costs billed during the contract period and unforeseen costs.

Negotiated Before

Installation

Depending on the location of the buyer, drywall installers will typically charge $0.80 to $1.50 per square foot of installation. Given these rates, installation can cost buyers more than 100.0% of the price of the drywall itself.

Transportation

Drywall is a heavy product, so transportation costs can be a significant part of the TCO. Buyers may need to factor in costs such as shipping, handling, and storage fees when purchasing and storing drywall.

Billed During

Hardware

The installation of the drywall typically requires the use of different materials, accessories, and tools, such as drywall stilts, tools, joint tape, and compound. Contractors that purchase the drywall will also need to buy these materials and tools, or at the very least, will incorporate their wear and tear into the installation rate they charge.

Disposal

Drywall can generate a significant amount of waste, which may need to be disposed of properly. This can add to the TCO for buyers, as they may need to pay for waste removal services or disposal fees.

Maintenance

Drywall may require maintenance or repairs to keep it in good condition.

Buyer Power in Procurement Negotiations

In 2026, buyer power amounts to -1.5 in the United States. Buyer power is most positively impacted by Recent Developments. It is most negatively impacted by Market Share Concentration. Subscribers can access details on eight other factors that impact buyer power. Learn more

United States

-1.5

Buyer power forecasts: your glimpse into the future

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Supply Chain Risk

The average level of supply chain risk is assessed as Medium, which has a negative impact on buyer power. The level of supply chain risk is affected by industry volatility, barriers to entry, competition, import penetration, regulation and industry financial risk. Buyers in this market can mitigate procurement and supply chain management risks by monitoring risk levels for individual first and second tier suppliers:

1st

Tier Suppliers

  • Gypsum Product Manufacturers
  • Stone, Concrete & Clay Wholesalers
  • Roofing, Siding & Insulation Wholesalers

2nd

Tier Suppliers

  • Mineral & Phosphate Miners
  • Paperboard Mills
  • Stone Miners
  • Laminated Plastics Manufacturers

Biggest Drywall Suppliers in the US by Revenue

The largest Drywall vendors by revenue in the US are PrimeSource Building Products Inc., Home Depot, inc. and Builders Firstsource, Inc. Subscribers can sort and filter by market share concentration, profit level and other factors. Learn more

Supplier Operational Size Headquarters Number of Employees Market Share (%) Market Share Performance (3yr trend) Total Revenue ($ million) Profit Level (%) Risk Level
Home Depot, inc. International ATLANTA >10,000 5-10
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CRH PLC Global DUBLIN 16 >10,000 5-10
Builders Firstsource, Inc. National IRVING >10,000 5-10
American Builders & Contractors Supply Co Inc. National Beloit, WI >10,000 5-10
Gms inc. International TUCKER 1,001-10,000 5-10
Lowes Companies Inc. International MOORESVILLE >10,000 < 5
Koch Industries Inc. Global Wichita, KS >10,000 < 5
HD Supply Holdings Inc. Global Atlanta >10,000 < 5
Rew Materials National Lenexa, KS 101-250 < 5

Looking for a list of suppliers by country?

Subscribers can access vendor information on Canadian and European suppliers, too. We also offer custom research services to help with vendor sourcing anywhere in the world.

Profit Analysis

The average profit margin across vendors in the Drywall market is 6.4% and steady. Profit levels shift depending on suppliers' spend on wages, purchases and overhead. The highest cost component for vendors is Purchases. The cost trend for this component is stagnating, when considering movement between 2025 and 2026. To understand cost forecasts for 2027 and uncover the implications on profit, start your subscription. Learn more

Vendor & Supply Chain Analysis

The average vendor in this market operates with a moderate degree of risk due to low profit margins and a heavy reliance on the strength of the construction sector. Furthermore, average profit margins are declining.

The top four drywall suppliers account for an estimated 25.0% of total market revenue, signifying a low degree of market share concentration. Market share concentration has been rising as large distributors have increasingly acquired smaller firms to expand their product lines and geographic scope.

Complications with the gypsum supply chain, such as Chinese tariffs, put a great deal of risk on market vendors and their upstream suppliers. However, manufacturers that have vertically integrated supply chains, including mining, manufacturing, and distribution, are able to mitigate this risk, resulting in a moderate supply chain risk overall.

The US is a net importer of plaster boards, meaning buyers may be able to leverage the availability of foreign vendors to gain greater buying power. However, both imports and exports of plaster boards are relatively low because the cost of transporting the product is high in comparison to their price.

Supplier Information

American Builders & Contractors Supply Co Inc.

American Builders & Contractors Supply Co Inc. is a private company operating nationally in the manufacturing and wholesale trade sectors. The company's offerings include drywall. Founded in 1982, the company is currently headquartered in Beloit, Wisconsin, United States of America with an estimated employee... Subscribe to learn more

Builders Firstsource, Inc.

Builders Firstsource, Inc. is a public company operating nationally in the wholesale trade sector. The company's offerings include drywall. Founded in 1998, the company is currently headquartered in Dallas, Texas, United States of America with an estimated 29000 employees. Subscribe to learn more

CRH PLC

CRH Public Ltd. Co. is engaged in the global material business. It organizes its business into three segments: the Americas Materials Division, which produces and supplies building materials and services for construction projects in the US and Canada, including cement, aggregates, ready-mixed concrete, and... Subscribe to learn more

Gms inc.

GMS Inc. is a specialty building products supplier and distributor for commercial and residential end markets. It markets wallboards, suspended ceiling systems, and steel framing, as well as complementary construction products, including tools and fasteners, insulation, exterior insulation finishing systems... Subscribe to learn more

Home Depot, inc.

Home Depot, Inc. is a home improvement retailer offering building materials, home improvement products, lawn and garden products, décor products, and related services under national and proprietary brands. Its proprietary brands include, among others, HDX®, Husky®, Hampton Bay®, Home Decorators Collection®,... Subscribe to learn more

HD Supply Holdings Inc.

HD Supply Holdings, Inc. distributes industrial equipment, components, and parts for the maintenance, repair & operations (MRO) and specialty construction markets. It organizes its business into two reportable segments: Facilities Maintenance, which distributes MRO products, provides value-add services, and... Subscribe to learn more

Koch Industries Inc.

Koch Industries Inc. is a private company operating globally in the manufacturing, wholesale trade and information sectors. The company's offerings include warehouse management systems, corrugated boxes, drywall, resilient flooring, injection molding services. Founded in 1940, the company is currently headquartered... Subscribe to learn more

Lowes Companies Inc.

Lowe's Companies, Inc. is a home improvement retailer for maintenance, repair, remodeling, and decorating markets. Its product portfolio includes appliances, seasonal & outdoor living, lumber, lawn & garden, kitchen & bath, hardware, building materials, millwork, paint, rough plumbing, tools, electrical, Subscribe to learn more

PrimeSource Building Products Inc.

PrimeSource Building Products Inc. is a private company operating globally in the manufacturing and wholesale trade sectors. The company's offerings include drywall and industrial fasteners. Founded in 1932, the company is currently headquartered in Irving, Texas, United States of America with an estimated... Subscribe to learn more

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Procurement Management KPIs for the Drywall Market

Managing vendor performance throughout the contract period is easier when tracking specific key performance indicators (KPIs). For example, buyers should monitor Average Order Value and Delivery In Full On Time Rate. Buyers may experience better performance throughout their contracts if they establish service level agreements (SLAs) based on Planning and other factors.

KPI Level of Importance (1-5) Measurements Key Considerations
Average Order Value

Total revenue

Number of orders

The average order value represents the revenue generated from the average order.

The average order value can be used to assess a company’s ability to provide large volumes of product.

The average order value can help the buyer determine the vendor's typical client size in comparison to their own size.

Delivery In Full On Time Rate

Number of deliveries

Number of deliveries in full

Number of on-time deliveries

The delivery-in-full-on-time rate measures how likely a vendor is to deliver the agreed-upon quantity of product by a certain delivery deadline.

Deliveries that are delayed or have a shortage of materials can inconvenience the buyer or result in operational losses.

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Questions to Ask During Procurement Negotiations

How can I gain leverage during negotiations?

Supply Chain Risk

How have rising gypsum costs affected your pricing?

How often do you reevaluate list prices in relation to fluctuations in commodity prices?

Competition

How do you maintain a competitive advantage in your business?

What is your reputation among customers and how have you developed your reputation?

Shipping

How close are your facilities to various manufacturers and/or distribution outlets?

How are transportation costs factored into drywall prices? Is there a potential for extra expenses such fuel surcharges?

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Drywall RFP Guidelines

What should my RFP include?

Organizational Overview

Buyers should give an overview of their operations, including type of construction projects, to help prospective vendors understand buyers’ general drywall needs.

Buyers should provide a detailed description of their operational structure, including to whom vendors will report.

Statement Of Need

Buyers should list the type of drywall required (i.e., non-fire rated, Type X). If more than one type of drywall is required, buyers should list all the types being procured.

Buyers should list the dimensions and quantity of the drywall they require.

Project Budget

Buyers should explicitly state the amount of the award.

Buyers should describe the desired type of supply contract, including the desired payment terms.

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