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Construction activity picks up in the East

The mood in the East German construction industry is brightening. (Archive image) / Photo: Jan Woitas/dpa
The mood in the East German construction industry is brightening. (Archive image) / Photo: Jan Woitas/dpa

After a long period of gloom in the East German construction industry, the mood is slowly brightening. Has the bottom fallen out?

After several difficult years, the mood in the eastern German construction industry is slowly brightening. In the first quarter of this year, both turnover and incoming orders developed positively, according to the Construction Industry Association East.

"At the beginning of 2025, many East German construction companies registered a significantly more positive demand trend than in the previous year, which could indicate that the crisis in construction is not yet over, but that the low point may be behind us," explained the association's Managing Director, Robert Momberg.

More orders in road and residential construction

In the first three months, the total order volume grew by 26.5 percent to 5.3 billion euros compared to the same period last year. Commercial construction saw particularly strong growth, but incoming orders also increased in road and residential construction.

According to the association, the turnover of eastern German construction companies amounted to 4.1 billion euros. This is an increase of 2.3 percent. However, if the price increase is included in the revenues, the bottom line is a decline of 1.3 percent.

The Construction Industry Association East represents the interests of 260 construction companies with 20,000 employees in the states of Berlin, Brandenburg, Saxony and Saxony-Anhalt.

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