The S&P Global Germany Construction PMI edged up to 42.4 in May 2026 from 42.1 in April, remaining in contraction territory for a fifth straight month. The downturn was broad-based, with housing activity falling the most, followed by commercial construction, while civil engineering output declined for the first time in seven months. New orders continued to fall sharply, though at a slightly slower pace than in April, as firms cited reduced tender opportunities and a wait-and-see approach from customers. Supply conditions worsened further, with delivery times lengthening at the fastest pace since July 2022 due to logistics disruptions and shortages. Employment declined for a fourth consecutive month, alongside reduced subcontractor use and lower purchasing activity. On prices, input cost inflation stayed close to April’s 47-month high, driven by higher energy and oil-based material prices. Sentiment remained deeply pessimistic, with expectations still among the weakest in over a year.