According to the Economic and Steel Market Outlook 2023-2024/Q4 2023 Report from the Economic Committee of the European Steel Association (EUROFER), in the second quarter this year construction output in the EU decreased by 2.5 percent, following a decrease of 0.5 percent in the previous quarter, both year on year. This negative trend is expected to persist, extending up to the second half of 2024, mainly due to the impact of the continued monetary policy tightening on housing demand.
Meanwhile, in line with real production volumes, gross fixed investment in construction in the EU countries dropped by 1.2 percent in the second quarter this year, after a 0.7 percent decrease in the first quarter.
According to EUROFER, the sector is expected to experience a mild recession of 1.7 percent in 2023, compared to the previous forecast of a 0.5 percent decline, and is expected to recover by 0.2 percent in 2024.