The German construction industry is being touted as a crucial stabilizing force for the nation’s economic strength, according to Federal Minister for Housing, Urban Development and Building Verena Hubertz. In an interview with Handelsblatt, Minister Hubertz emphasized the sector’s relative independence from the fluctuations of the US economy, stating that investments in materials like concrete, wood and housing remain a driver for economic prosperity even amidst potential trade disruptions.
Hubertz further commented on the ongoing trade tensions with the United States, suggesting that the repeated threats of tariffs from President Trump ultimately create “losers” on both sides of the Atlantic. She underscored that these actions not only jeopardize the German and European economies but also negatively impact the United States’ own economic wellbeing. Despite this, Hubertz expressed optimism regarding a potential resolution between the European Commission and the US government.
Acknowledging the positive impact of a special fund established for infrastructure projects, Hubertz stressed the urgent need to expedite its deployment. “These funds must now quickly reach the ground and construction sites – and we are working with high pressure to achieve this” she stated.
However, the industry itself provides a more cautious perspective. Felix Pakleppa, Chief Executive Officer of the German Construction Industry Association (ZDB), while agreeing that the sector’s resilience to US trade policy presents an opportunity for stability, highlighted the need for “clear political signals and reliability”. He specifically pointed to the recent suspension of tenders by Autobahn GmbH, a state-owned entity responsible for highways, as sending a message of uncertainty about investment in Germany. Pakleppa urged the government to quickly provide clarity, lift the tender freeze and ensure a binding financing framework to facilitate the effective utilization of the available funds.
