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Hungary’s construction output contracted by 12.2% year-on-year in July 2026, deepening from a 1.2% decline in June. This was the third consecutive month of contraction and the sharpest drop since January, as activity weakened across both main construction segments.
Building construction output fell by 10.7% in July, following a 5.5% decline in the previous month. Civil engineering output shrank by 14.0%, reversing a 5.6% increase in June. The downturn in civil engineering was driven in particular by a 26.2% decline in road and railway construction and a 52.2% drop in utility projects, which reduced the division’s overall performance by 14.5 and 19.5 percentage points, respectively.
On a seasonally and working-day adjusted basis, total construction activity fell by 4.6% month-on-month in July, after a downwardly revised 4.0% decline in June. Over the first seven months of the year, total construction output was 2.7% lower than in the same period a year earlier.
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