German building-materials giant Knauf has commenced construction of a new drywall and dry-building mixtures plant in Borshchiv, Ternopil region, western Ukraine—a €150 million investment expected to produce 30 million m² of plasterboard and 320,000 tonnes of dry mixes annually.
This marks Knauf’s second Ukrainian facility—its first opened in Kyiv in 2006 and operates near full capacity, manufacturing 25 million m² of plasterboard and 200,000 tonnes of dry mixes, supporting 425 jobs (many of which relocated from Donetsk’s Soledar). The new plant taps local gypsum reserves adjacent to Borshchiv, with enough raw materials to last over two decades.
Parliamentary commentary highlights the launch as a post-war vote of confidence, reinforcing Ukraine’s industrial resilience and future recovery. Beyond boosting domestic capacity, the plant’s location and scale suggest potential export expansion.
The investment aligns with broader trends of European manufacturers—like Saint-Gobain and Kingspan—establishing or scaling production in western Ukraine as part of reconstruction and economic integration efforts.
As Ukraine gears up for rebuilding, this new plant strengthens the nation’s supply chain for essential construction materials and signals a turning point toward industrial revival.
