Germany focuses on refurbishment and energy efficiency in the building sector

Patrick Schneider, President of the Bundesverband Keramische Fliesen (BKF), points out that, following the construction boom experienced during the pandemic years, Germany’s residential sector has undergone a sharp contraction, with only 251,900 housing units expected to be completed in 2024 compared to almost 300,000 in 2023. Despite early signs of recovery in orders towards the end of 2025, the market is now clearly shifting towards the country’s vast existing building stock, which requires extensive modernisation. Demand is increasingly focused on large formats, minimalist design and surfaces replicating natural materials such as stone and wood.

The German industry continues to invest in technical quality and sustainability, while calling on the government to reduce energy costs and bureaucratic burdens in order to remain competitive against non-EU imports. In 2025, tile consumption in Germany returned to growth, rising by around 2% compared to 2024 and reaching 98 million square metres.
The market remains heavily dependent on imports. In this context, Italian manufacturers are the leading suppliers to the German market, exporting 45.5 million square metres (45% of total imports). In value terms, Italy’s leadership is even more significant, with a market share exceeding 60%. With an average price of around €16 per square metre, Italian tiles are firmly positioned in the premium segment. Against a backdrop of ongoing uncertainty linked to the weakness of the German economy and the international geopolitical situation, recovery is expected to remain gradual. According to the latest forecasts, German demand for ceramic tiles could once again exceed 100 million square metres annually, supported by moderate but widespread increases in supply from the main exporting countries.

The central role of Italian products is also confirmed by specialist distributors, as highlighted by Peter Steinmetz of Fliesen Kreativ Haus. The Bavarian company works almost exclusively with Italian brands, appreciating not only their design and creativity but also their commercial reliability and excellence in logistics services. In the high-end segment, customers favour formats such as 120x278 cm for bathrooms, along with polished marble-effect finishes and warm stone looks. According to Steinmetz, Italian ceramics enjoy an outstanding reputation in Germany, where aesthetics and tactile appeal are the main purchasing drivers.

After years of sustained growth, the housing sector experienced a sharp slowdown due to rising interest rates, energy costs and construction prices, further aggravated by cuts in public incentives. New construction activity is expected to continue declining until 2026, while the real engine of the sector will be the energy refurbishment of the existing building stock.
The German government has launched a €130 billion strategic fund managed by KfW Bank to finance building modernisation through Green Bonds. Programmes such as the Klimaschutzprogramm 2026 impose strict standards for reducing CO₂ emissions and increasing the use of renewable energy in heating systems, transforming regulatory requirements into economic opportunities for the refurbishment sector.

Architect and designer Hadi Teherani emphasises the importance of a holistic and sustainable approach to design. In his view, materials must ensure durability and sensory quality: in this context, ceramics are regarded as a material of the future thanks to their robustness, ease of maintenance and recyclability. Projects such as HPQ Living in Frankfurt and Deutschlandhaus in Hamburg demonstrate how the integration of photovoltaic technologies into façades and the use of mineral-based materials can create distinctive, future-proof urban spaces. Thanks to the “Road to Net Zero” strategies adopted by manufacturers, ceramics continue to establish themselves as a key element in architecture capable of combining aesthetics, functionality and environmental responsibility.