Drywall and Insulation Contractors Market Report 2025

The drywall and insulation contractors market size has grown strongly in recent years. It will grow from $519.87 billion in 2024 to $571.09 billion in 2025 at a compound annual growth rate (CAGR) of 9.9%. The growth in the historic period can be attributed to construction and real estate boom, housing market trends, energy efficiency and building codes, renovation and remodeling activities, population growth and urbanization.

The drywall and insulation contractors market size is expected to see strong growth in the next few years. It will grow to $807.82 billion in 2029 at a compound annual growth rate (CAGR) of 9.1%. The growth in the forecast period can be attributed to sustainable construction practices, government incentives for energy efficiency, green building certifications, affordable housing initiatives, adoption of smart home technologies. Major trends in the forecast period include digital tools for design and planning, fire-resistant insulation, rising demand for drywall finishes, weather-resistant insulation systems, skilled labor shortages and workforce training.

The rising number of residential constructions is expected to drive the growth of the drywall and insulation contractors market in the future. Residential construction encompasses the building of new spaces or the renovation of existing ones, such as buildings, apartments, and housing units designed for personal occupancy. Drywall and insulation contractors carry out various tasks, including drywall installation, plastering, and insulation work for residential properties, significantly reducing drafts, particularly during winter and windy seasons. They help maintain the home’s temperature by adding an extra layer of insulation. For instance, in May 2024, a report published by the Office for National Statistics, a UK-based government department, revealed that total new construction orders increased by 15.9% ($1,866 million) (£1,436 million) in the first quarter of 2024 compared to the fourth quarter of 2023. This quarterly growth was primarily driven by a 27.9% ($909 million) (£700 million) rise in private commercial new work and a substantial 43.8% ($696 million) (£536 million) increase in public other new work. Thus, the growing number of residential constructions is propelling the growth of the drywall and insulation contractors market.

The increasing construction spending is anticipated to boost the drywall and insulation contractors market in the coming years. Construction spending serves as an economic indicator that tracks the total amount of money allocated to construction activities over a specific period, typically a month or a year. Higher construction spending usually leads to a rise in construction activities, including both residential and non-residential projects, which in turn raises the demand for drywall and insulation services. For instance, in June 2023, the U.S. Department of the Treasury, a US-based financial institution, reported that total construction spending had increased by approximately 4%, with public construction spending on water supply experiencing a rise of over 20%. Therefore, the growth in construction spending is driving the expansion of the drywall and insulation contractors market.

Technological advancements emerge as prominent trends fueling the drywall and insulation contractors’ market. Major companies within this sector are emphasizing technologically advanced products to maintain their competitive standing. For example, in January 2022, Canvas, a US-based construction robotics startup, introduced a drywall finishing robot designed to enhance safety and productivity in drywall finishing, addressing the growing scarcity of skilled labor. The Canvas system automates two of the most challenging aspects of drywall finishing - mudding and sanding. By expediting project completion while ensuring consistently high-quality finishes, these innovations aim to revolutionize the drywall finishing process.

Leading companies within the drywall and insulation contractors’ market are dedicated to innovating new products, such as spray polyurethane foam (SPF), to gain a competitive edge in the industry. SPF is a type of insulation applied as a liquid that expands to fill voids or seal gaps, offering highly efficient insulation that aids in reducing energy expenses and enhancing comfort. For example, in September 2023, Firestable Insulation Company, a US-based provider specializing in spray foam technology, introduced Stablebase 2 Max R. This next-generation hydrofluoroolefins (HFO) blown, closed-cell polyurethane foam solution is spray-applied, boasting zero Ozone Depletion Potential (ODP) and a low Global Warming Potential (GWP) of less than two. With an impressive high 7.5 R-value and improved thermal performance, Stablebase 2 caters to both residential and commercial settings, delivering energy savings on operational expenses.

In March 2023, Installed Building Products Inc. (IBP), a US-based installer of insulation and complementary building products, completed the acquisition of Anchor Insulation Co. Inc. for an undisclosed sum. This strategic acquisition significantly expanded IBP's market presence, particularly across the northeastern United States, catering to industrial, commercial, and residential customers. Anchor Insulation, a US-based insulation contractor, specializes in providing mechanical and industrial insulation solutions to clients across residential, commercial, and industrial sectors. Through this acquisition, IBP strengthened its portfolio and service capabilities in serving a diverse clientele in the insulation market.

Major companies operating in the drywall and insulation contractors market include CRM Construction Inc., MDB Construction & Restoration Services LLC, Contemporary Wall Systems Inc., Contract Applicators Inc., Eagle Painting Company Inc., Canin Coatings Inc., EJN General Contractor LLC, Adept Construction Services Ltd., AAP Construction Group Corp., Henderson-Johnson Co. Inc., Flagler County Painting LLC, Asher Contractors LLC, McCahill Painting Co., Jays and Fancy Interiors Inc., Installed Building Products Inc., TruTeam Software Solutions, Masco Corporation, TopBuild Corp., Knauf Fiber Glass, Owens Corning Fiberglass Company, CertainTeed Corporation, Johns Manville Corp., GMS Inc., Bay Insulation Systems Inc., Thermafiber Inc., Cellofoam North America Inc., Guardian Building Products Inc., Rmax Operating LLC, KPS Global LLC, Atlas Roofing Corporation, Carlisle Construction Materials LLC, GAF Materials Corporation, Firestone Building Products Ltd., Henry Company, Sika Corporation, Tremco Incorporated, BASF Corporation, Dow Chemical Company, Huntsman Corporation, Lapolla Industries Inc., North Carolina Foam Industries, Rhino Linings Corporation, Spray Foam Systems LLC, Demilec Inc., Covestro LLC, General Coatings Manufacturing Corp.

Europe was the largest region in the drywall and insulation contractors’ market in 2024. Asia-Pacific is expected to be the fastest-growing region in the drywall and insulation contractors market during the forecast period. The regions covered in the drywall and insulation contractors market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the drywall and insulation contractors market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Drywall and insulation contractors are entities primarily engaged in the construction of building insulation, drywall installation, and plaster work. Plaster work involves activities such as laying lath to receive plaster and applying plain or decorative plaster. This work encompasses a range of projects, including new construction, alterations, additions, and repairs.

The main types of drywall and insulation include standard, fire-resistant, and mold or moisture-resistant varieties. Standard drywall and insulation typically involve gypsum panels. Gypsum, a natural mineral in crystalline form, is a hydrous sulfate of calcium. Standards are implemented to enhance quality, reduce costs, and ensure public safety. These materials find applications in various sectors, including construction, decoration, and furniture manufacturing, catering to both residential and commercial end users.

The drywall and insulation contractors market research report is one of a series of new reports that provides drywall and insulation contractors market statistics, including drywall and insulation contractors industry global market size, regional shares, competitors with a drywall and insulation contractors market share, detailed drywall and insulation contractors market segments, market trends and opportunities, and any further data you may need to thrive in the drywall and insulation contractors industry. This drywall and insulation contractors market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The drywall and insulation contractors market consists of revenues earned by entities by providing cellulose insulation, mineral wool insulation, fiberglass insulation, and spray foam insulation. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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