A good time for the Construction Sector in Europe
According to the data offered by Euroconstruct, the production of the European sector in 2017 grew by 3.5%. If this dynamic continues, a more logical outcome is contemplated: lower growth in 2018 (2.6%) and in 2019 (2.1%). Most countries agree that we are going through a window of opportunity that has the potential to last a little longer, but the moment the conditions are no longer optimal, the construction sector will regress orderly towards low-risk positions. The first projection for 2020 anticipates how the public initiative could somewhat offset the cooling of private promotion, thereby avoiding the drop in production (1.1%).
In 2018, residential construction will once again be the most expansive subsector (4.4%) but from then on it will lose momentum in 2019 (2.4%) and 2020 (0.8%) since demand is expected to It weakens, either because of the new offer that is coming to the market after recent years building housing at a good pace, or because of the rise in prices and the prospects of more expensive financing.
The forecast for non-residential construction follows a time sequence identical to that for housing: in 2017 the peak of growth is expected (3.6%) and from there it slows down in 2018 (2.1%) and 2019 (1 , 0%) until reaching stagnation in 2020 (0.3%).
Civil engineering seems that it is not participating in the good moment of the construction since for 2017 it only plans to grow 2.2%. However, in both 2018 and 2019 the forecast exceeds 4% per year, so that it can offset part of the announced slowdown in construction.