Germany Construction Market Size, Trends, and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2024-2028
Summary
GlobalData expects Germany's construction industry to contract by 5.8% in real terms in 2024, amid increasing interest rates, and falling building permits coupled with a surge in construction costs, which forced major developers into insolvency. In December 2023, Signa Holding an Austrian real estate company, who was undertaking the construction of a EUR814 million ($833.5 million) skyscraper, scheduled to be completed by 2026, declared its insolvency leading to a halt in the project. According to the Federal Statistical Office (Destatis), the total number of building permits issued in the country declined by 24.3% year on year (YoY) in the first eleven months of 2023. By segments, permits issued for residential and non-residential buildings declined by 28.7% YoY and 5.9% YoY, respectively during the same period.
The German construction industry is expected to rebound from 2025, registering an average annual growth rate of 2.5% from 2025 to 2028, supported by investments in the development of the transport, renewable energy, and manufacturing sectors. Such as, the government planned the installation of 70GW of offshore wind power by 2045, and 30GW of offshore wind turbines installed in the North and Baltic Seas by 2030. In line with this, Italy based cable manufacturing company, Prysmian signed three contracts with the German government in February 2024. Growth over the forecast period will be also supported by the government’s aim of having 15 million electric cars on roads by 2030, supported by public and private investments in the country’s auto manufacturing sector.
GlobalData’s Construction in Germany – Key Trends and Opportunities to 2028 report provides detailed market analysis, information and insights into Germany’s construction industry, including -
- Germany’s 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 Germany’s 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 (2019–2023) and forecast (2024–2028) 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
- Identify and evaluate market opportunities using GlobalData's 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 GlobalData's critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
- 1 Executive Summary
- 2 Construction Industry: At-a-Glance
- 3 Context
- 3.1 Economic Performance
- 3.2 Political Environment and Policy
- 3.3 Demographics
- 3.4 Risk Profile
- 4 Construction Outlook
- 4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
- 4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
- 5 Key Industry Participants
- 5.1 Contractors
- 5.2 Consultants
- 6 Construction Market Data
- 7 Appendix
- 7.1 What is this Report About?
- 7.2 Definitions
- 7.3 CRI Methodology
- 8 About GlobalData
- 9 Contact Us
- List of Tables
- Table 1: Construction Industry Key Data
- Table 2: Germany, Key Economic Indicators
- Table 3: Germany, Commercial Construction Output by Project Type (Real % Change), 2019–28
- Table 4: Germany, Top Commercial Construction Projects by Value
- Table 5: Germany, Industrial Construction Output by Project Type (Real % Change), 2019–28
- Table 6: Germany, Top Industrial Construction Projects by Value
- Table 7: Germany, Infrastructure Construction Output by Project Type (Real % Change), 2019–28
- Table 8: Germany, Top Infrastructure Construction Projects by Value
- Table 9: Germany, Energy and Utilities Construction Output by Project Type (Real % Change), 2019–28
- Table 10: Germany, Top Energy and Utilities Construction Projects by Value
- Table 11: Germany, Institutional Construction Output by Project Type (Real % Change), 2019–28
- Table 12: Germany, Top Institutional Construction Projects by Value
- Table 13: Germany, Residential Construction Output by Project Type (Real % Change), 2019–28
- Table 14: Germany, Top Residential Construction Projects by Value
- Table 15: Germany, Key Contractors
- Table 16: Germany, Key Consultants
- Table 17: Germany, Construction Output Value (Real, $ Million)
- Table 18: Germany, Construction Output Value (Nominal, EUR Million)
- Table 19: GlobalData Construction Market Definitions
- Table 20: Risk Dimensions
- Table 21: Ratings, Scores and Definitions "
- List of Figures
- Figure 1: Western Europe, Construction Output (Real % Change), 2022–28
- Figure 2: Germany, Construction Output by Sector (Real % Change), 2022–24 and 2025–28
- Figure 3: Germany, Risk Summary
- Figure 4: Germany, Risk Regional Comparison
- Figure 5: Germany, Construction Output Value (Real, $ Million, 2022 Prices and Exchange Rate), 2019–28
- Figure 6: Germany, Construction Output Value, by Sector (Real, $ Million), 2019–28
- Figure 7: Germany, Construction Value Add, 2015 Chained Linked Volume Measures (EUR Million)
- Figure 8: Germany, Gross Fixed Capital Formation, Current Prices (EUR Billion, % Change YoY)
- Figure 9: Germany, New Orders Value Index for Building Construction and Civil Engineering Works (2015=100)
- Figure 10: Germany, Total Number of Building Permits Approved
- Figure 11: Germany, Construction Turnover (Companies With 20 and More Persons Employed), % Change YoY
- Figure 12: Germany, Construction Projects Momentum Index
- Figure 13: Western Europe, Construction Projects Momentum Index
- Figure 14: Germany, Commercial Construction Output by Project Type (Real, $ Million), 2019–28
- Figure 15: Germany, Commercial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 16: Germany, Wholesale and Retail Trade, Transport, Accommodation, and Food Service Activities Value Add, 2015 Chained Linked Volume Measures (EUR Billion)
- Figure 17: Germany, Commercial Building Construction Orders Value Index (2015=100)
- Figure 18: Germany, Number of Permits Approved for Office and Administrative Buildings
- Figure 19: Germany, Tourist Arrivals and Overnight Stays (Total Number in Thousand)
- Figure 20: Germany, Turnover Index of Accommodation Service Activities in Constant Terms, 2015=100
- Figure 21: Germany, Retail Sales Index in Constant Terms, 2015=100
- Figure 22: Germany, Wholesale Turnover Index, (Constant Terms, 2015=100)
- Figure 23: Germany, Industrial Construction Output by Project Type (Real, $ Million), 2019–28
- Figure 24: Germany, Industrial Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 25: Germany, Manufacturing Value Add, 2015 Chained Linked Volume Measures (EUR Billion)
- Figure 26: Germany, Incoming Orders in Manufacturing Sector (Value Index), 2015=100
- Figure 27: Germany, Manufacturing Production and Turnover Indices, 2015=100
- Figure 28: Germany, Total Exports (EUR Billion)
- Figure 29: Germany, Number of New Passenger Car Registrations, In Thousands
- Figure 30: Germany, Infrastructure Construction Output by Project Type (Real, $ Million), 2019–28
- Figure 31: Germany, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 32: Germany, Gross Fixed Capital Formation in Civil Engineering, Current Prices (EUR billion)
- Figure 33: Germany, New Orders Value and Volume Indices for Road Construction (% Change YoY)
- Figure 34: Germany, Road and Rail Construction Turnover (Companies With 20 and More Persons Employed), EUR Million, % Change YoY
- Figure 35: Germany, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2019–28
- Figure 36: Germany, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 37: Germany, Information and Communication Value Add, 2015 Chained Linked Volume Measures (EUR Billion)
- Figure 38: Germany, Civil Engineering and Sewage Treatment Plan Construction Turnover (Companies With 20 and More Persons Employed), EUR Million
- Figure 39: Germany, Institutional Construction Output by Project Type (Real, $ Million), 2019–28
- Figure 40: Germany, Institutional Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 41: Germany, Public Administration, Defense, Education, Human Health, and Social Work Activities Value Add, 2015 Chained Linked Volume Measures (EUR Billion)
- Figure 42: Germany, Total Number of Institutional Building Permits Issued
- Figure 43: Germany, Residential Construction Output by Project Type (Real, $ Million), 2019–28
- Figure 44: Germany, Residential Construction Projects Pipeline, Value by Stage ($ Million)
- Figure 45: Germany, Real Estate Value Add, 2015 Chained Linked Volume Measures (EUR Billion)
- Figure 46: Germany, Total Fixed Capital Formation in Residential Buildings, Current Prices (EUR billion)
- Figure 47: Germany, New Orders Value and Volume Indices for Housing Construction (2015=100)
- Figure 48: Germany, Total Number of Residential Building Permits Approved
- Figure 49: Germany, House Price Index (HPI) for Residential Real Estate, 2015=100
- Figure 50: Germany, Construction Cost Index for Residential Buildings, 2015=100, % Change YoY
- Figure 51: Germany, Headquarters of Key Contractors (% of Total Project Pipeline)
- Figure 52: Germany, Headquarters of Key Consultants (% of Total Project Pipeline)
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