Decreasing earnings in the construction sector due to commissions
In the first eleven months of 2021, the construction industry in Germany has seen a notable increase in orders, with a 7.7% rise compared to the same period in 2020. However, the data provided by the Federal Statistical Office does not specify whether this increase is due to increased demand or higher construction prices.
The construction industry in question includes businesses with more than 20 employees in the areas of high-rise construction and the execution of deep or specialized construction work. While the annual balance of orders looks positive, there are no direct search results explicitly addressing a decline in construction industry orders in Wiesbaden, Germany as of November 2021.
However, several common factors could contribute to such a decline, including economic uncertainty affecting investments in construction projects, supply chain disruptions leading to material shortages and delays, rising construction costs, regulatory changes or stricter environmental and building standards, shifts in demand related to population dynamics or local economic conditions, and feedstock variability for construction materials.
The order intake in November 2021 was higher than in any month since November 2020 due to the increase in construction prices. In nominal terms, the order intake in November 2021 was approximately 7.2 billion euros. However, when adjusted for inflation, the latest orders in the construction industry are at their lowest level since January 2019.
It's important to note that the order intake in the first eleven months of 2021 has not been compared to any specific month or year prior to 2020. The data provided by the Federal Statistical Office does not indicate whether the 7.7% increase in orders in the construction industry in the first eleven months of 2021 is a positive or negative development for the industry, a record high or a record low, or a trend that is expected to continue in the remaining months of the year.
Without specific data from the relevant period or local economic reports in Wiesbaden, a precise identification of factors cannot be confirmed from the current search results. For more information on typical industry-wide challenges that often cause order declines in construction, or to find local reports or statistics for Wiesbaden, further research may be necessary.
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