ANNUAL ECONOMIC
REPORT
M A R C H 2026
Dear reader,
Executive Summary
Welcome to the CECE Annual Economic Report!
CONSTRUCTION INDUSTRY
Following an exceptionally difficult 2024, the year 2025 brought the first signs of recovery for Europe’s construction equipment industry, with sales increasing by 4.6%. After the sharp downturn of 2024 - marked by a -19% commercial performance - the sector gradually regained momentum. Industry sentiment, reflected through the CECE Business Barometer, also improved as 2025 progressed. With the geopolitical background and the specific case of the US market being hit by economic slowdown and tougher export conditions, I believe these numbers are particularly encouraging. The outlook for 2026 remains cautiously optimistic. Current projections anticipate a moderate upturn in Europe’s construction machinery market, supported by improving conditions in housing, civil engineering and the robust repairs and maintenance segment. Nevertheless, several headwinds persist, including ongoing supply chain pressures, labour shortages and uncertainties linked to tariffs and geopolitical developments. In this Report, you will find in depth analysis of Europe’s macroeconomic context, detailed assessments of key client sectors and a comprehensive review of equipment sales performance. This publication is the result of close cooperation between CECE member associations, our economic affairs experts and national partners who provide essential insights into developments within individual markets. Their collective work ensures that this report remains a valuable, publicly accessible source of intelligence for companies, policymakers and all stakeholders interested in understanding the trends shaping Europe’s construction equipment ecosystem. Please feel free to share this report widely within your network. Comments and feedback are always welcome at info@cece.eu. I hope you will enjoy reading this publication!
Riccardo Viaggi CECE Secretary General
February 2026
No.12 The European construction industry faced continued challenges in 2024, as activity fell by 2.4% throughout the Eurozone. The decline came after a weaker 2023, when elevated building costs, ongoing inflation, and higher interest rates significantly slowed momentum.
EXTRA FEATURE: PARTNER INSIGHTS In 2025, the global construction and infrastructure sector entered a phase of consolidation after the post-pandemic surge, as higher interest rates, inflation, and labour shortages slowed growth. At the same time, asset finance became increasingly strategic in supporting cash flow, enabling technology and sustainability investments, and positioning the industry for a cautious recovery in 2026. DLL played a key role in this shift, providing lifecycle-focused, partnership-driven financing solutions to OEMs, dealers, and contractors.
EQUIPMENT MARKET
The European construction equipment market returned to moderate growth in 2025, with sales up 4.6% after the sharp 19% drop in 2024. Growth accelerated in the second half of the year, led by road machinery and a rebound in tower cranes, while earthmoving equipment was broadly flat and concrete equipment lagged. Regional trends were mixed, with stronger performance in Northern and Western Europe and weaker results in parts of CEE and Turkey.
OUTLOOK The market has likely bottomed out and is expected to see modest growth in 2026, supported by infrastructure investment and improving sentiment. Single-digit growth remains achievable, provided no major external shocks disrupt the recovery.
CECE ANNUAL ECONOMIC REPORT
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