The weakness of the EU construction sector continues to be a significant concern for the EU’s timber industry.

Forward-looking indices show that EU construction activity has remained weak and that new orders continue to fall steeply. The HCOB Eurozone Construction PMI Total Activity Index — a seasonally adjusted index tracking monthly changes in total industry activity — rose from 41.4 in August to 42.9 in September, indicating a softer but still large contraction in activity across the euro area construction sector.

The latest downturn extended the current sequence of falling construction activity to 29 months.

According to the HCOB report, negative output trends reflected further declines across the three largest eurozone economies in September. French construction activity saw the steepest reduction, and at the fastest pace since May 2020.