Overview

• Construction companies in Germany reported a 12.4% real decline in orders in September 2024 compared to August, following a brief improvement in the summer.
• Year-on-year comparisons show a real decrease of 11.5% in September 2024 and a 2.0% drop in orders over the first nine months of the year.
• The residential and commercial construction sectors experienced significant contractions, with order volumes down by 6.7% and 7.4% respectively in eastern Germany from January to September.
• Public sector construction was the only area to see growth, with a 10.1% increase in orders compared to the same period in 2023.
• Economic uncertainty and high financing costs are cited by the Bundesbank as key factors suppressing investment and demand within the construction industry.