German Furniture Industry Revenue Falls 4.6% in 1Q-2025

May 16, 2025 | Markets | 0 comments

GERMANY –  Germany’s furniture industry recorded EUR 3.9 billion in revenue in 1Q- 2025, a 4.6% decline compared to the same period last year, according to official data.

Domestic sales fell 5% (EUR 2.6 billion), exports dropped 3% (EUR 1.3 billion), and the export ratio stayed steady at 33%.

The kitchen furniture segment showed early stabilization with a 1.8% dip, supported by a slight increase in orders. In March, overall industry sales rose 0.6%.

“Our sector still feels the impact of political crises and high living costs,” said Jan Kurth, CEO of VDM/VHK. “People are saving instead of spending.”

The consumer climate improved slightly in April (GfK), and the Ifo Institute reported a modest rise in industry sentiment, reflected in reduced use of short-time work: from 44% in Q1 to a projected 20% in Q2.

By segment: living/bedroom furniture dropped 3.8%, office/store furniture 6.3%, upholstered furniture 9.8%, and mattresses 18.3%. The number of firms with 50+ staff fell 3.5% (401), and employment declined 4% to 69,159.

Kurth expects better consumer sentiment by fall and calls for quick implementation of coalition plans to boost housing, cut bureaucracy, and ease taxes.

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