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Construction in Germany - Key Trends and Opportunities to 2023

Construction in Germany - Key Trends and Opportunities to 2023

Construction in Germany - Key Trends and Opportunities to 2023

Summary

Germany’s construction industry expanded by 3% in real terms in 2018, with the industry’s output value - measured at constant 2017 US dollar exchange rates - increasing from US$352.5 billion in 2017 to US$363.1 billion in 2018; this was preceded by an average annual growth of 1.9% during the preceding four years. Growth during the review period (2014-2018) was driven by positive developments in regional economic conditions, as well as public and private sector investment in energy, residential and transport infrastructure.

The industry’s output value is expected to continue to expand in real terms over the forecast period (2019-2023), driven by the government’s plans to upgrade the country’s transport infrastructure, coupled with efforts to boost the residential construction market. In March 2019, the government announced plans to invest EUR150 billion (US$170 billion) on infrastructure, housing, digital technology and education over the next four years. The government also plans to invest EUR28.1 billion (US$32 billion) to develop transport infrastructure in Berlin by 2035. In addition, the government’s aim to expand renewable energy resources is expected to attract investments in energy infrastructure projects, which will in turn fuel growth in the industry.

The industry’s output value in real terms is expected to post a compound annual growth rate (CAGR) of 2.59% over the forecast period. The industry is consequently expected to rise from a value of US$363.1 billion in 2018 to US$412.7 billion in 2023, measured at constant 2017 US dollar exchange rates.

Residential construction was the largest market in the German construction industry during the review period, accounting for 48.3% of its total value in 2018. The market is expected to follow a similar trend over the forecast period, with residential construction accounting for 48.3% of the industry’s total value in 2023. Commercial construction accounted for 17.8% of the industry’s total output in 2018, followed by infrastructure construction with 14.6%, institutional construction with 7.2%, industrial construction with 6.5% and energy and utilities construction with 5.6%.

The total construction project pipeline in Germany including all mega projects with a value above US$25 million - stands at EUR261.5 billion (US$308.3 billion). The pipeline, which includes all projects from pre-planning to execution, is skewed towards late-stage projects, with 70.1% of the pipeline value being in projects in the pre-execution and execution stages as of August 2019.

Scope

This report provides a comprehensive analysis of the construction industry in Germany. It provides -

  • Historical (2014-2018) and forecast (2019-2023) valuations of the construction industry in German, 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
  • Reasons to buy
    • 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.


    • Executive Summary
    • Construction Outlook: At-a-glance
      • Table Construction Outlook
      • Table Figure 1: Key Markets, Construction Output Growth Matrix and Risk Matrix
      • Table Figure 2: Germany, Construction Projects Pipeline by Sector (EUR Billion)
    • Latest News and Indicators
      • Table Figure 3: Germany, Gross Fixed Capital Formation in the Construction Industry (EUR Million)
      • Table Figure 4: Germany, Total Construction Building Permits Issued (Number)
    • Key Drivers and Risks
      • Economic Performance
        • Table Germany, Key Economic Indicators
      • Political Environment
      • Demographics
      • Risk Profile
        • Table Figure 5: Germany, Risk Profile
        • Table Figure 6: Germany, Risk Comparison
    • Construction Outlook
      • All Construction
        • Outlook
          • Table Figure 7: Germany, Construction Output Value (Real, US$ billion, 2017 Prices and Exchange Rate)
          • Table Figure 8: Germany, Construction Output Value, Growth Matrix
          • Table Figure 9: Germany, Construction Output Value, by Sector (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 10: Germany, Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018-2023
          • Table Figure 11: Germany, Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Germany, Construction Output Value (nominal, EUR Million)
          • Table Germany, Construction Output Value (nominal, US$ Million)
      • Commercial Construction
        • Outlook
          • Table Figure 12: Germany, Commercial Construction Output by Project Type (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 13: Germany, Commercial Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Figure 14: Germany, Commercial Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018- 2023
          • Table Germany, Top Commercial Construction Projects by Value
      • Industrial Construction
        • Outlook
          • Table Figure 15: Germany, Industrial Construction Output by Project Type (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 16: Germany, Industrial Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Figure 17: Germany, Industrial Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018-2023
          • Table Germany, Top Industrial Construction Projects by Value
      • Infrastructure Construction
        • Outlook
          • Table Figure 18: Germany, Infrastructure Construction Output by Project Type (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 19: Germany, Infrastructure Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Figure 20: Germany, Infrastructure Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018- 2023
          • Table Germany, Top Infrastructure Construction Projects by Value
      • Energy and Utilities Construction
        • Outlook
          • Table Figure 21: Germany, Energy and Utilities Construction Output by Project Type (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 22: Germany, Energy and Utilities Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Figure 23: Germany, Energy and Utilities Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018-2023
          • Table Germany, Top Energy and Utilities Construction Projects by Value
      • Institutional Construction
        • Outlook
          • Table Figure 24: Germany, Institutional Construction Output by Project Type (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 25: Germany, Institutional Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Figure 26: Germany, Institutional Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018- 2023
          • Table Germany, Top Institutional Construction Projects by Value
      • Residential Construction
        • Outlook
          • Table Figure 27: Germany, Residential Construction Output by Project Type (EUR Million), 2014-2023
        • Project analytics
          • Table Figure 28: Germany, Residential Construction Projects Pipeline, Value by Stage (EUR Million)
          • Table Figure 29: Germany, Residential Construction Projects Pipeline, Projected Annual Spending by Stage (EUR Million), 2018- 2023
          • Table Germany, Top Residential and Mixed-Use Construction Projects by Value
    • Key Industry Participants
      • Contractors
        • Table Germany, Key Contractors
        • Table Figure 30: Germany, Headquarters of Key Contractors (% of Total Project Pipeline)
        • Table Figure 31: Germany, Headquarters of Foreign Contractors (% of Project Pipeline with Foreign Contractor)
      • Consultants
        • Table Germany, Key Consultants
        • Table Figure 32: Germany, Headquarters of Key Consultants (% of Total Project Pipeline)
        • Table Figure 33: Germany, Headquarters of Foreign Consultants (% of Project Pipeline with Foreign Consultants)
    • Appendix
      • What is this Report About?
      • Definitions
        • Table GlobalData Construction Market Definitions
        • Table Construction Risk Index Ratings and Scores
    • About GlobalData
      • GlobalData at a Glance
        • Table Figure 34: GlobalData at a Glance
      • GlobalData Construction
      • Disclaimer
      • Contact Us

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