Top 10 Companies in the Flue Gas Desulphurized (FGD) Gypsum Industry (2025): Market Leaders Driving Sustainable Construction

In Business Insights
July 08, 2025

The Global Flue Gas Desulphurized (FGD) Gypsum Market was valued at USD 880 Million in 2024 and is projected to reach USD 1.27 Billion by 2032, growing at a Compound Annual Growth Rate (CAGR) of 5.4% during the forecast period (2024–2032). This growth is being driven by stringent environmental regulations, increasing infrastructure development, and the construction industry’s shift toward sustainable materials.

As industrial byproduct utilization gains prominence in circular economy strategies, the spotlight is on power generation companies that are transforming sulfur emissions into valuable construction materials. In this blog, we profile the Top 10 Companies in the FGD Gypsum Industry—leading power producers and gypsum processors shaping the future of sustainable building materials.


🔟 1. Tuoketuo Power Station (China Energy Investment Corporation)

Headquarters: Inner Mongolia, China
Production Capacity: 2.1 million tons/year

As the world’s largest coal-fired power plant, Tuoketuo dominates FGD gypsum production with advanced desulfurization systems. It supplies major Chinese construction material manufacturers while maintaining 96% SO₂ removal efficiency.

Sustainability Initiatives:

  • Pioneer in zero-waste power generation

  • Strategic partnerships with drywall manufacturers

  • Invested $150M in gypsum purification technology

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9️⃣ 2. Taichung Power Plant (Taiwan Power Company)

MARKET DYNAMICS

MARKET DRIVERS

Stringent Environmental Regulations Drive Adoption of FGD Gypsum

Growing environmental concerns and tightening emission regulations are accelerating the deployment of flue gas desulfurization systems in coal-fired power plants globally. Governments worldwide have mandated sulfur dioxide emission limits below 200 mg/Nm³, with some regions enforcing stricter standards under 50 mg/Nm³. This regulatory push directly increases FGD gypsum production as a byproduct, creating a readily available supply for industrial applications. The U.S. Clean Air Act and European Union’s Industrial Emissions Directive have been particularly influential, resulting in over 85% of coal-fired plants in developed economies installing FGD systems.

Construction Industry Demand Boosts Market Growth

The global construction sector’s expansion, particularly in emerging economies, is generating substantial demand for FGD gypsum as a substitute for natural gypsum. With construction activity projected to grow at 4.3% annually through 2030, the material’s advantages in drywall manufacturing are proving increasingly attractive. FGD gypsum offers consistent quality, lower impurities, and competitive pricing compared to mined gypsum. Infrastructure mega-projects in Asia-Pacific nations account for over 45% of current demand, with China alone consuming approximately 35 million tons annually in wallboard production.

MARKET RESTRAINTS

MARKET DYNAMICS

MARKET DRIVERS

Key market drivers include:

  • Stringent environmental policies on SO₂ emissions
  • Construction industry’s shift toward sustainable materials
  • Circular economy initiatives promoting industrial byproduct utilization

Construction Boom in Emerging Economies

Asia-Pacific’s construction sector expansion is creating unprecedented demand for FGD gypsum as a substitute for mined gypsum. China and India collectively account for over 60% of global consumption, with wallboard production growing at 6-8% annually. The material’s consistent quality and lower transportation costs (being produced near power plants) give it significant economic advantages.

MARKET RESTRAINTS

Main challenges facing the market include:

  • Coal plant phase-outs reducing byproduct supply
  • Perception barriers regarding industrial byproducts
  • Logistical constraints in regional distribution

🌍 Outlook: The Future of FGD Gypsum

The FGD gypsum market is undergoing a transformative phase as circular economy principles gain traction globally. While traditional construction applications dominate current usage, emerging high-value applications in agriculture and industrial processes are creating new growth avenues.

Despite the gradual phase-out of coal power in Western markets, Asia’s continued reliance on coal-fired generation and increasingly stringent emission standards ensure stable FGD gypsum production for decades to come. Market participants are increasingly focusing on:

  • Vertical integration with construction materials manufacturers
  • Development of high-purity gypsum for specialty applications
  • Strategic partnerships for regional distribution

Get Full Report Here: Flue Gas Desulphurized (FGD) Gypsum Market – View in Detailed Research Report

The companies profiled above demonstrate how industrial byproducts can become valuable resources when combined with innovation, sustainability focus, and strategic market development.