Dublin, May 22, 2023 (GLOBE NEWSWIRE) -- The "Germany Construction Industry Databook Series - Market Size & Forecast by Value and Volume across 40+ Market Segments in Residential, Commercial, Industrial, Institutional, Infrastructure Construction and City Level Construction by Value - Q1 2023 Update" report has been added to ResearchAndMarkets.com's offering.
According to the publisher, construction industry in Germany is expected to grow by 2.7% to reach EUR 250,640 million in 2023.
Despite near-term challenges in certain construction sectors, medium to long term growth story in Germany remains intact. The construction industry in Germany is expected to grow steadily over the next four quarters.
The growth momentum is expected to continue over the forecast period, recording a CAGR of 2.4% during 2023-2027. The construction output in the country is expected to reach EUR 275,382.3 million by 2027.
Higher borrowing costs, surging raw material prices, and fears that recession could accelerate a further decline in property prices are all weighing on the growth of the construction industry in Germany. Home-building activities have declined in Germany at a significant rate in 2022. Furthermore, new orders for all construction projects have also reported a decline in the country.
A number of construction firms suffered cancellations of building projects in Q4 2022. On the other hand, new home-building orders recorded a decline, compared to the same period in 2021. The cost savings efforts of leading tech firms are also projected to have an impact on the construction of new manufacturing and industrial facilities in Germany over the next 12 months.
In its 2022 budget, the German government earmarked billions of euros for the development of rail infrastructure and the construction of roadways. The Federal Budget earmarked 3.86 billion euros for the construction and expansion of roadways. However, due to the increase in inflation and subsequent rise in construction material prices, the publisher expects even higher spending on the development of railways and roadways infrastructure in 2023. This is projected to keep supporting the growth recovery of the construction market in Germany from the short to medium-term perspective.
Along with government spending, aid from the European Commission will also support infrastructure development in Germany. In December 2022, the European Commission approved 1.8 billion euros to roll out power charging infrastructure for electric vehicles. The investment will be utilized to develop infrastructure for electric vehicle charging in urban, suburban, and rural areas in Germany. At approximately 900 locations, a total of 8,500 high-power charging units will be deployed. This project is also expected to support the construction industry recovery in Germany from the short to medium-term perspective.
Construction of data center facilities to support the commercial construction market in Germany
Amid the growing shift to digital channels, the demand for data centers has increased significantly. In Germany, co-location data centers have experienced strong demand, and as a result, many players have already launched and are building more new facilities across the country.
- In November 2022, Vantage Data Centers announced the launch of three new data centers in Germany. The firm had delivered the three facilities in Berlin and Frankfurt, as it continues to expand its footprint across the country. Apart from the three delivered facilities, the firm is also developing its 55MW Frankfurt campus. Currently, Vantage Data Centers is constructing the second of the three buildings.
- In September 2022, OVHCloud also announced that the firm has started construction activities of a new data center facility in Limburg, Germany. The French data center provider is seeking to expand its global footprint, and the launch of the Limburg facility is part of its strategy to capitalize on the growing demand for data centers in the European market.
Apart from these firms, global players such as NTT have launched new data center facilities in Germany in 2022. Along with data center facilities, the pent-up travel demand has also resulted in the undertaking of many new hotel construction projects in 2022, and the trend is projected to further continue over the next 12 months. This will keep supporting the growth of the commercial construction market in Germany over the next three to four years.
Housing sales are projected to decline significantly over the next few quarters in Germany
The global pandemic outbreak accelerated the growth of the housing market, as more and more Germans were purchasing homes in rural areas, due to work-from-home measures and social distancing norms implemented during the period. However, the sales have now declined significantly, owing to rising interest rates and subsequent increases in mortgage rates.
With residential buyers holding back their purchases because of higher mortgage rates, a further decline in the housing market is projected. This will result in lesser housing projects compared to 2021, thereby affecting the growth of the residential construction market in Germany.
This market intelligence report from the publisher provides a detailed view of market opportunities in the building and infrastructure construction industry at country level. With over 100+ KPIs, covering growth dynamics in building construction, infrastructure construction, and analysis by key cities in Germany, this databook offering primarily provides data-centric analysis with charts and tables.
- Market Dynamics by Value, Volume, and No. of Units: Provides a comprehensive data-centric view of size and structure, industry dynamics, and end market opportunities in the building and infrastructure construction industry in Germany.
- Residential Construction Outlook: Provides market analysis by type of construction, development stage, price point, and key cities. KPIs include value, volume and number of units.
- Commercial Construction Outlook: Provides construction outlook by value and volume across office buildings, retail buildings, hospitality buildings, restaurant buildings, and sports facilities.
- Institutional Construction Outlook: Provides construction outlook by value and volume across manufacturing plant buildings, metal & material processing buildings, chemical & pharmaceutical buildings.
- Industrial Construction Outlook: Provides construction outlook by value and volume across manufacturing plants, educational buildings.
- Infrastructure Construction Outlook: Provides growth dynamics and market analysis by three key sections such as marine and inland, utility system and transport infrastructure construction.
- City Level Analysis: Provides outlook of top 10 cities in Germany by construction value.
Scope
- Market Data and Insights: This report provides market size and forecast across 40+ construction segments for a period of 10 years from 2018-2027 in Germany. KPIs covered include the following:
- Market size by value
- Market size by volume of construction
- Number of units
Germany Economic Indicators
Germany Top Cities Construction Data
Germany Residential Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Housing type (multi family, single family)
- Key cities (Tier - 1, Tier - 2, Tier - 3 segmentation)
- Price point / income level (luxury, mid-tier, affordable)
- Construction stage (new construction, re-development & maintenance)
Germany Residential Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Green building by Housing type (multi family, single family)
- Green building by Key cities (Tier - 1, Tier - 2, Tier - 3 segmentation)
- Green building by Price point / income level (luxury, mid-tier, affordable)
Germany Commercial Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Office (further broken down by Grade A, Grade B, and Grade C)
- Retail (further broken down by Grade A, Grade B, and Grade C)
- Hospitality (further broken down by Grade A, Grade B, and Grade C)
- Restaurant (further broken down by Grade A, Grade B, and Grade C)
- Entertainment
- Sports facility
- Construction stage (new construction, re-development & maintenance)
Germany Commercial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Office green building construction
- Retail green building construction
- Hospitality green building construction
- Restaurant green building construction
- Entertainment green building construction
- Sports facility green building construction
- Other commercial green building construction
- Germany Industrial Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units)
Germany Institutional Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Healthcare construction
- Educational construction
- Public sector
- Construction stage (new construction, re-development & maintenance)
Germany Institutional Green Building Construction Coverage: 10-year market size & forecast in value and volume (area and units) terms by
- Healthcare green building construction
- Educational green building construction
Germany Infrastructure Construction Sectors: 10- year market size & forecast in value terms by
- Marine and inland water infrastructure
- Utility system construction (oil and gas infrastructure, communication infrastructure, power infrastructure, water and sewer infrastructure)
- Transportation infrastructure (highway, street and bridge construction, railway construction, airport construction, and tunnel construction)
- Construction stage (new construction, re-development & maintenance)
Germany Green Infrastructure Construction: 10- year market size & forecast in value terms
Reasons to Buy
- In-depth Understanding of Construction Market Dynamics: Understand market opportunity, industry dynamics, key trends and drivers across 40+ market segments and sub-segments of building and infrastructure construction industry in Germany.
- Top Ten Cities Construction Value Data
- Volume and Value Data: Get detailed understanding of the market both from value and volume (both by activity and units) perspective for historical as well as forecast period
- Develop Market Specific Strategies: Identify growth segments and target specific opportunities to formulate your strategy; assess market specific key trends, drivers and risks in construction industry.
- City Level Insights: Get city level trend analyses by tier-1, tier-2, and tier-3 cities.
For more information about this report visit https://www.researchandmarkets.com/r/jxcwvu
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