German Construction Sector Faces Continued Decline Despite Recent Order Growth

The industry reports a second consecutive month of increased orders, but long-term forecasts remain pessimistic with revenue declines expected in 2025.

Germany's construction sector recorded a 7.9% increase in orders from October to November 2024 and a 16.6% rise compared to November 2023.
November 2024 was the most profitable month of the year, with revenues reaching €11.5 billion, though still below 2023 levels.
Despite recent order growth, the sector saw a 0.6% drop in real adjusted orders and a 1.1% decline in revenue during the first eleven months of 2024 compared to the same period in 2023.
Industry leaders project a 1.4% revenue decline for 2025, marking the fifth consecutive year of downturns in the sector.
Falling interest rates offer some hope for increased construction demand, particularly in housing, but industry representatives urge government action to revitalize construction policies.