Spain construction output drops 9.8% as building slumps
Spain’s construction output fell 9.8% in July from a year earlier, marking its seventh consecutive annual decline. Building construction plunged 35.2%, driving the overall fall. Spain’s National Statistics Institute (INE) released the figures in Madrid on 14 September.
The drop was 2.5 points smaller than in June, when output was down 12.3%. Civil engineering output fell 4.6%, while specialised construction activities slipped by 0.8%.
Building work drives the annual fall
Adjusted for seasonal and calendar effects, construction output was 13% below its July 2025 level. That followed a 14.7% decline in June.
The General Construction Production Index, known as IPCO, tracks the monthly activity of construction businesses through their value added. It replaced an earlier Ministry of Transport and Sustainable Mobility survey from January 2026.
Third monthly decline in a row
From June to July, adjusted construction output fell by 0.3%, after a 0.7% fall the previous month. It was the third straight monthly drop.
Of the three areas measured, only building construction recorded a monthly fall, down 1.4%. Specialised construction activities rose 2% over the month.
Source: Europa Press / Mallorca.com