Romanian construction faces potential slowdown in H2 2025

Business Forum
Romania's construction sector began 2025 with robust growth, but experts from Colliers are now forecasting a significant slowdown in H2 2025. 

The initial four months of the year saw an 8.5% increase in activity compared to the same period in 2024, largely driven by a 15.5% jump in infrastructure works. The residential segment also showed a mild recovery of around 4%.

However, the non-residential construction sector, encompassing office, industrial, and commercial spaces, experienced a nearly 2% decline, reflecting subdued demand and increased caution among private investors. 

The early 2025 boom also saw a record high in employment, with nearly 460,000 people working in the sector by April, underscoring sustained demand for skilled labor. Nevertheless, persistent skill shortages and rising costs for both wages and materials are putting considerable pressure on companies, making it challenging to maintain the current pace.

Alexandru Atanasiu, Board Member & Head of Construction Services at Colliers, said: "The decline in new orders, combined with increasing caution among industry players, suggests that the early-year enthusiasm may not be sustainable in the long run."

Colliers consultants caution that proposed fiscal consolidation measures could significantly impede public investment, especially in infrastructure, which has been the primary growth engine for the sector.

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Business Forum  |  3 July, 2025 at 12:04 PM
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