17:00 12 August 2025
Polish construction industry slowing down
Capacity utilization in large Polish construction firms has fallen to its lowest level since 2016, with deeper declines only seen during the early COVID-19 period. The anticipated rebound in infrastructure construction is delayed by over a year, causing intense competition for limited contracts. High labor and material costs, slow public procurement—particularly by road and rail authorities—and administrative delays are key barriers. June’s PMI dropped to 44.8, signaling stagnation despite minor monthly gains.
Public tenders are far below planned levels, forcing contractors to bid aggressively, sometimes below cost, risking future profitability when prices rise. Industry leaders warn that without faster state-backed infrastructure projects, Poland risks prolonged stagnation, missed EU fund deadlines, and destabilization of the sector.
(wnp.pl)
