German Timber Industry Confidence Remains Weak in May

The German timber industry’s HDH business climate indicator shows that confidence in the sector remained weak in May, Möbelfertigung reported (7-15-26). The index slipped to -30.4 points from -29.8 points in April.

Companies participating in the HDH survey reported a modest improvement in current business conditions, while expectations for the next six months became more pessimistic.

The furniture sector continued to face pressure from low housing completions and subdued consumer confidence. Higher energy and raw material costs also weighed on sentiment.

Prefabricated timber construction remained the strongest-performing segment, supported by increased residential building permits and growing demand for timber homes. Despite this relative strength, business expectations remained negative across all segments of Germany’s timber industry.

The HDH business indicator, published by the Main Association of the German Timber Industry, is based on surveys of economic sentiment across Germany’s wood products and timber sectors.