Saturday, 15 March 2025
The Czech construction sector saw a 9.7% year-on-year (y-o-y) increase in output in December, with a 4.5% rise compared to November, according to data from the Czech Statistical Office (CZSO). Growth was driven by both civil engineering and building construction, despite a significant drop in completed dwellings and a decline in building permit values.
Radek Matějka, Director of the Agricultural and Forestry, Industrial, Construction, and Energy Statistics Department at CZSO, highlighted that construction activity was strong across both segments, with building construction increasing by 7.8% and civil engineering construction up by 13.3% year-on-year.
Building Permits and Housing Development Decline
While construction activity remained high, the value of building permits granted in December fell by 6.6% year-on-year, totaling CZK 78.7 billion.
The residential sector faced challenges, with the number of newly started dwellings falling by 5.7% y-o-y to 2,990 units. The number of completed dwellings dropped sharply by 60.1% y-o-y, with declines seen in both single-family houses and multi-dwelling buildings.
Petra Cuřínová, Head of the Construction Statistics Unit at CZSO, attributed the steep decline in completed dwellings to a high comparison base from the previous year, in addition to a lower volume of completed projects in December.
Czech Growth Outpaces EU Trends
According to Eurostat, construction output in the EU27 increased by 0.9% y-o-y in November 2024, indicating that Czech construction performed well above the European average. Eurostat is set to release December 2024 data on February 20, 2025.
Despite challenges in the housing sector, the strong performance in civil engineering and overall construction output suggests continued resilience in the Czech construction industry heading into 2025.
Source: Czech Statistical Office
