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Photo – Construction in the EU grew by 1.2% m/m in December shutterstock.com

Engineering projects drove the recovery, while the residential segment remains weak

Production in the European Union’s construction sector rose by 1.2% in December 2025 compared to November, and by 0.9% month-on-month in the eurozone, according to preliminary Eurostat data. A month earlier, the indicator fell by 1.5% in both regions, highlighting the recovery in activity at the end of the year.

In annual terms, the dynamics remained subdued, with the indicator falling by 0.9% in the eurozone and remaining stable in the EU. At the end of 2025, the total volume of construction in the European Union grew by only 0.5%, indicating a weak recovery in the sector.

By segment, civil engineering showed the best dynamics in the EU (+3.9% month-on-month), while building construction grew by 1.2% and specialized works by 0.9%. In the eurozone, the figures were +2.3%, +0.9%, and +0.6% month-on-month, respectively.

Among countries, the highest monthly growth was recorded in Hungary (+6.6%), Poland (+5.1%), and Slovakia (+4.0%). Austria (-9.2%), Slovenia (-3.2%), and Bulgaria (-2.3%) showed the worst results.

As reported by GMK Center, the average annual production volume in the EU construction sector in 2024 decreased by 1.3% compared to 2023.

According to Eurofer, in 2025, the EU construction sector, one of the main consumers of steel, remained weak. After a 2% decline in 2024, growth was expected to reach +1.1% in 2025, while a slight slowdown to +0.8% was forecast for 2026.