German construction firms experienced a significant decrease in contract signings.
Orders for German construction firms dropped significantly in July, according to the Federal Statistical Office in Wiesbaden. When factoring in price and seasonal variations, the order value dropped by 5.9% compared to June. Orders dropped by 9.7% compared to July of the previous year.
The decrease was significantly more prominent in the high-rise construction sector, where orders decreased by 12.2% compared to June. On the other hand, civil engineering saw a 0.7% decrease in orders for the same period. The negative trend continued in the year-on-year comparison, with civil engineering recording a 4% decrease in orders compared to July 2024, while high-rise construction saw a drop of 15.9%.
Looking at the first seven months of the year, statisticians saw a slight increase in orders for the industry by 0.1% compared to the same period the previous year, after considering calendar and price effects.
There were notable variations in revenue between high-rise and civil engineering. In general, the construction industry's revenue increased by 2.6% in real terms in July compared to the same month the previous year. Civil engineering saw a 9.9% increase in revenue, while high-rise construction recorded a decrease of 3.9%. For the first seven months, the construction industry's revenue decreased by 1.3% after accounting for price variations.
The drop in orders for German construction firms began in 'In the' month of July, as stated by the Federal Statistical Office. The negative trend in high-rise construction was more apparent 'In the' high-rise construction sector, where orders decreased significantly compared to June.
