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  • Real Revenue in Main Construction Sector Drops 5.3% Year-on-Year
  • Order Intake Falls, Marking Continued Industry Challenges

Wiesbaden, Germany —  The German construction industry continues to face a downturn, as indicated by the latest statistics from the Federal Statistical Office (Destatis) released on Monday. In January 2024, the real revenue in the main construction sector showed a 5.3% decline compared to the same month the previous year, with nominal revenue falling 3.6% to €5.0 billion.

The construction sector’s workforce slightly decreased by 0.2% in January 2024 compared to January 2023. This marginal decline in personnel reflects the broader challenges faced by the industry.

In terms of order intake in the main construction sector for January 2024, there was a notable decrease of 7.4% compared to the previous month, after adjusting for seasonal and calendar variations. While there was a modest year-on-year real increase of 1.3%, adjusted for calendar variations, the nominal order intake saw a more positive growth of 4.3% compared to the same month in the previous year.

Breaking down the order intake by sector, civil engineering experienced a decrease of 3.1%, while building construction saw a more significant drop of 12.0%. These figures indicate a more pronounced slump in the building construction sector.

The ongoing challenges in the German construction industry are reflective of broader economic trends, with a notable impact on both revenue and order intake. The sector is experiencing a period of adjustment, with impacts varying across different construction areas. The slight increase in nominal order intake year-on-year suggests some areas of resilience, despite the overall challenging climate.

By Silvia Orfeo

Silvia Orfeo is a Sr. Politics and Economics Reporter at Nobot.News

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