DUBLIN--(BUSINESS WIRE)--The "Germany Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market France, 2023-2027" report has been added to ResearchAndMarkets.com's offering.
Germany's construction industry was forecast to decline by 2.6% in 2023 and 4.7% in 2024, amid rising interest rates and elevated construction costs. Following year-on-year (Y-o-Y) declines of 1% in Q2 and 1.6% in Q1 2023, the construction industry's value add grew marginally by 1.2% YoY in Q3 2023, but the industry's outlook remains gloomy.
This reflects the sharp decline in building permits and the slump in the residential sector - which accounted for 51% of the industry's total value in 2022. According to the Federal Statistical Office (Destatis), the total number of building permits issued in the country declined 25% YoY in the first nine months of 2023, with permits issued for residential and non-residential buildings declining by 29.3% and 6.6% respectively.
Several property developers in Germany, including Euroboden GmbH, Gerch and Centrum Group, have filed for insolvency in the recent months, resulting in the cessation of construction works on major residential projects. Moreover, the government is likely to miss its target of building 400,000 new apartments every year.
The German construction industry is expected to regain some growth momentum from 2025, supported by investment in the development of transport infrastructure, renewable energy, and auto sectors.
The government's focus on the country's renewable energy expansion plan, under which it focuses on increasing the share of renewable energy in its total electricity mix to at least 80% by 2030 compared to 57.7% as of June 2023 will support growth.
The construction works of Mannheim Riedbahn - Frankfurt am Main route, Emmerich - Oberhausen and Hamburg - Berlin/Spandau corridors and corridors Cologne - Hagen and Nuremberg - Regensburg by 2027 as part of the government's objective of investing EUR40 billion ($40.8 billion) for the development of the rail infrastructure by 2027 will support industry's growth over the forecast period. Moreover, the European Union (EU) aims for all residential properties to have an energy label of at least "D" within the next 10 years (the current German scale ranges from A+ to H, with "A+" being the most efficient product of its class and "G" being the least efficient).
The report provides detailed market analysis, information and insights into the German construction industry, including:
- The German construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the German construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
This report provides a comprehensive analysis of the construction industry in Germany. It provides -
- Historical (2018-2022) and forecast (2023-2027) valuations of the construction industry in Germany, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Key report benefits
- Identify and evaluate market opportunities using the standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
For more information about this report visit https://www.researchandmarkets.com/r/uvys10
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