Germany PHVAC Sector Maintains Stability Amid Slowing Growth
- brg_news_room
- 1 day ago
- 1 min read
Germany: Germany’s plumbing, heating, and air conditioning (PHVAC) sector ended 2025 at a stable level, although sales declined and growth momentum slowed following a period of strong demand. Industry sales reached approximately EUR 59.1 billion (USD 64 billion), generated by around 48,000 companies employing 390,000 people. Orders and capacity utilisation have decreased, and no immediate growth acceleration is expected. “The industry is stable, but it's not progressing. What's missing are reliable political frameworks that trigger investment – and not constant new uncertainty,” says ZVSHK President Michael Hilpert. Vocational training continued to expand modestly, with 40,770 trainees registered in 2025, while around half of companies still report vacancies, indicating a persistent shortage of skilled workers despite some recent easing.
The sector continues to be supported primarily by activity in existing buildings, with repairs and maintenance forming a growing share of demand, while investment in new heating systems and bathrooms remains limited. This hesitation to invest is contributing to slower sector activity, despite underlying demand. “The training program is running – but it’s not enough. We’re training at a stable level, but growth isn’t keeping pace with the increasing demand,” explains Michael Hilpert. Uncertainty surrounding the building energy law and subsidy frameworks remains a key factor, with many investors delaying decisions. "People want to invest – but they're waiting. As long as the rules are unclear, too little is happening," Hilpert emphasizes.
Source: ZVSHK
