Germany Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2030 (Q3 2026)
Summary
The analyst expects the construction industry in Germany to expand in real terms by 0.6% in 2026, supported by a rise in construction permits issued, and an increased investment in transport infrastructure projects. According to Destatis, the total nominal Gross Fixed Capital Formation (GFCF) in construction in current prices (unadjusted terms) grew by 1.9% year-on-year (YoY) in the first half of 2026. By segments, GFCF in civil engineering works registered YoY growth of 5.5%, while that for non-residential works grew by 2.5% YoY and residential buildings grew by 1.5% YoY, over the same period.The German construction industry is expected to record an annual average growth rate of 3.5% between 2027 and 2030, supported by investments in transport infrastructure, housing, data center and renewable energy projects. In September 2026, the European Commission approved Germany’s request to provide up to EUR35.2 billion ($40.8 billion) in state support for new gas-fired power plants and electricity-storage facilities, enabling the country to proceed with its planned capacity auctions. The program is expected to support around 10-11GW of new dispatchable capacity. The plants are intended to provide backup power when wind and solar generation is insufficient, strengthening electricity supply security as Germany expands renewables and phases out coal. New gas plants receiving 15-year capacity contracts must be hydrogen-ready, with Germany targeting their eventual conversion to green hydrogen. The approved support framework is estimated to attract investment between EUR15.6 billion ($18.1 billion) and EUR35.2 billion ($40.8 billion) by 2030, while further capacity mechanisms are planned for the early 2030s. Moreover, in August 2026, a local retail company Schwarz Group and the Mecklenburg-Vorpommern state government announced an investment in digital infrastructure, with Schwarz Group planning to invest up to EUR5.6 billion ($6.5 billion) by 2033 to develop a 240 MW data center in Dummerstorf.
The analyst’s Construction in Germany - Key Trends and Opportunities to 2030 (Q3 2026) report provides detailed market analysis, information, and insights into the German construction industry, including:
- The German construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the German construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
Scope
This report provides a comprehensive analysis of the construction industry in Germany. It provides:
- Historical (2021-2025) and forecast (2026-2030) valuations of the construction industry in Germany, 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 our 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 business strategies using the analyst's critical and actionable insight
- Assess business risks, including cost, regulatory and competitive pressures
- Evaluate competitive risk and success factors

