Production in construction decreased by 0.1 per cent in the euro area during August 2025, according to seasonally adjusted figures released by Eurostat this week. In the broader EU, the decline was more pronounced, with a drop of 0.9 per cent.
- When comparing August 2025 to the same month last year, the euro area saw a modest annual increase of 0.1 per cent in construction output. However, production in the EU remained stable year-on-year.
- Conversely, Sweden saw the highest monthly increase at +4.2 per cent, with other notable gains in Czechia (+2.2 per cent) and Bulgaria (+1.4 per cent).
This downturn follows a period of growth in July 2025, where construction output rose by 0.5 per cent in the euro area and by 0.9 per cent across the EU. The latest figures highlight a fluctuation in the sector after a brief rebound.
When comparing August 2025 to the same month last year, the euro area saw a modest annual increase of 0.1 per cent in construction output. However, production in the EU remained stable year-on-year.
Construction output: Sector-Specific Insights
A closer look at the monthly performance by sector reveals mixed results. In the euro area, the construction of buildings experienced a minor decline of 0.1 per cent, while civil engineering faced a more significant drop of 1.3 per cent. Interestingly, specialised construction activities managed to grow by 0.1 per cent.
Across the EU, the construction of buildings remained stable, contrasting with the civil engineering sector, which saw a notable decrease of 2.5 per cent. Specialised construction activities in the EU also showed no significant change.
Member State Variations
Among member states reporting data, Romania recorded the largest monthly decrease in construction output at a staggering -26.2 per cent. Hungary and Poland followed with declines of -11.4 per cent and -4.0 per cent, respectively.
Conversely, Sweden saw the highest monthly increase at +4.2 per cent, with other notable gains in Czechia (+2.2 per cent) and Bulgaria (+1.4 per cent).
Annual Comparisons Reveal Broader Trends
Examining the annual figures for August 2025, the euro area experienced a decline of 3.8 per cent in building construction compared to August 2024. On a brighter note, civil engineering grew by 2.6 per cent, and specialised construction activities increased by 2.0 per cent.
In the wider EU context, the construction of buildings saw a 3.0 per cent drop year-on-year, while civil engineering increased by 1.0 per cent, alongside a 2.0 per cent rise in specialised construction activities.
Among member states, Slovenia stood out with a remarkable annual increase of +25.2 per cent, followed by Czechia at +17.0 per cent and Slovakia at +13.8 per cent. However, Hungary experienced the steepest annual decline at -13.6 per cent, with the Netherlands and Poland also reporting decreases of -6.2 per cent and -4.9 per cent, respectively.
