The second quarter of HVAC wholesale was about 13% lower than the corresponding period of the previous year. This was expected in light of the new housing construction starts and the number of permits. There are positive data on other than the new construction of apartments, but this does not turn positive for the whole year. Cumulatively, HVAC wholesale is now almost 6% below zero.
Change in HVAC wholesale sales quarterly (%)
New construction of apartments has experienced a sudden slowdown. Projects that have already been started will be brought to the finish line, but not many construction companies are starting new projects, and there is no trade. This applies to apartment buildings as well as small houses. According to the data of Rakennusteollisuus RT ry, renovation construction is slightly increasing, but the challenge is the decrease in the value of apartments, difficulties in obtaining loans and higher than usual interest rates. However, there is more and more pressure to repair and improve energy efficiency.
However, the sniffing of housing construction does not define the whole picture of construction, even though its importance is great. Other construction has held its ground better, and we can see growth figures this year as well.
Especially in order to achieve the climate goals, and in this situation as well, it would be important to speed up renovation construction and energy renovations.
"Building companies, developers and property owners must be encouraged to carry out renovations and improve energy efficiency. However, the cost of repair can be of the same order of magnitude – or even higher – than the value of the building. In order for the threshold to take on a larger renovation project to be lower, support and advice should be targeted more effectively at renovation construction", reflects Ilkka Salo.
Ilkka Salo CEO