The BVDM Furniture and Kitchens Trade Association, VDM Association of the German Furniture Industry and the Association of the German Wood-Based Panel Industry (VHI) are calling for more planning security and an immediate program for housing construction in an open letter to Federal Economics Minister Robert Habeck.
The target figure of 400,000 completed residential units per year seems a long way off to the associations. Accordingly, only 245,000 units are forecast for this year and probably only 210,000 for next year. According to the associations, more political speed is needed to bring housing construction back into balance and to restore investment confidence and consumption.
The associations also complain that consumers are reluctant to buy and attribute this to rising interest rates, inflation and an uncertain economic outlook. The lower and mid-range furniture price segments in particular are affected by a reluctance to buy. Furniture retailers have been registering a noticeable decline in customer numbers since May 2023. In addition, both the furniture industry and suppliers have recorded a sharp decline in incoming orders.
Source and link to the open letter: moebelindustrie.de
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