The construction sector in Europe is set to rebound this year, after registering a -0.7% fall in output year-on-year in 2016, according to the European steelmakers association, Eurofer.

Construction activity was a two-speed affair in Western Europe and Central Europe during the last calendar year, the association says in a report monitored by Kallanish. The Western part of the continent saw construction output rising some 2% y-o-y fuelled by the recovery in residential activity and a good performance in France and Germany. In Central Europe meanwhile output fell by -11% y-o-y as activity in Poland collapsed.

This year output is expected to recover by 2.1% and in 2018 by a further 2.8%, both y-o-y, Eurofer notes. The association adds that the recovery will continue to be led by residential activity in Western Europe, but that a new injection of investment in civil engineering in Central Europe will also support it.

The construction sector uses 35% of the total steel consumed in Europe, Eurofer calculates.