Shortage of Materials in German Construction Eases Slightly
The supply situation on German construction sites improved in September. Just 36.3 percent of companies in building construction reported material shortages, down from 42.2 percent in the previous month. In civil engineering, the figure was 27.6 percent – 3.8 percentage points less than in August. “However, residential construction is suffering the most, with 40.0 percent of companies still reporting that their construction activities were hampered by delivery problems,” says ifo researcher Felix Leiss.
“The long delivery times and the sharp rise in material prices are a key issue in the construction industry. In particular, there is a shortage of insulation materials, steel, wood, and plastic pipes. The wholesale trade for wood products, at least, is now expecting prices to fall again. Many other building materials, however, are expected to see further price increases.”
