Erwin W. Marsch is the manager of RKW Kompetenzzentrum (the picture) and responsible for the construction sector:
How is the construction industry in Germany? - In 2008, the German construction industry could withstand the financial crisis, largely thanks to the good growth in commercial and public buildings.
It was only housing that showed a downward trend (Looking only at the housing the development has been less good). Figures for the construction contract until the 3rd quarter of 2008 confirms this.
What are the expectations for the construction sector? - Experts expect a recession for the whole industry. Thanks to the ongoing mission of German construction companies, we still have a stable situation in the first quarter of 2009. But we should also remember that the number of building permit applications decreased significantly in November 2008. Similarly, it is a risk that the already approved projects and planned investments, especially in commercial construction projects will be postponed or withdrawn.
The uncertainty among households makes the outlook for housing not look good. The good news is that politicians put great emphasis on increasing energy efficiency in the existing apartment stock. The loan Institute Kreditanstalt fur Wiederaufbau, which offers advantageous building loans, raises the loan level/roof in 2009, which is expected to stabilize housing.
In the German government's stimulus package for 2009 and 2010, there are support measures at 20 billion Euros for the construction sector which is expected to mitigate the negative prognosis. Thus, we can expect that in particular public works investment will increase.
What is peculiar for the German construction sector? What is it particularly good at? - Germany's construction industry enjoys a good reputation due to high product quality and accuracy. Furthermore, there is excellence and know-how that makes German construction companies world leaders in infrastructure construction (especially in road and railway construction). The German construction industry is also good at energy-efficient construction. In addition to high-quality buildings, the basic training in the industry has high standards. So it is no wonder that many years of experience and application of new technology leads to better products and services.
Where is the potential for new businesses? Any particular area that is growing more than any other? - Energy-efficient buildings belong to the German construction sector's special strengths. As previously mentioned, energy conservation measures in existing buildings are stimulated from the political side. This allows the German construction industry to produce both many years of experience and specialized knowledge in the field.
What are the possibilities for Swedish companies in Germany? - Scandinavian design is another trend on the German market. In particular, interior design and furniture design has good chances to be successful in Germany.
Cecilia Helland