The high inflation in Germany has led to a substantial increase in revenue for the craft sector in 2022. While the overall growth was significant, there were notable differences between individual trades within the sector.
According to the Federal Statistical Office, revenues in the German craft sector rose sharply by 9.3 percent to 720 billion euros in 2022 compared to the previous year. This increase was primarily attributed to inflation, with the consumer price index for Germany rising by 6.9 percent during the same period. The data covers approximately 570,000 businesses in the craft sector.
Employment in the craft sector saw a slight decline of 0.3 percent, with about 5.4 million people employed in 2022. Of these, 4.1 million were subject to social security contributions, while the remaining 630,000 had minor employment in the craft sector. Overall, 13 percent of all employees subject to social security contributions in Germany worked in the craft sector.
Crafts sector’s prominence in construction industry
The craft sector is particularly well-represented in the construction industry, with 67 percent of companies in this field belonging to the craft sector in 2022. Across the entire German economy, craft businesses accounted for 16.6 percent of all companies. Their share of the total revenue in the German economy was 7.4 percent, which was 1.1 percentage points lower than the previous year.
Varied growth across different craft branches
Employment trends varied across different craft branches. The automotive trade saw a slight increase of 0.6 percent, crafts for commercial needs grew by 0.4 percent, and the health sector increased by 0.2 percent compared to the previous year. Other areas experienced slight declines in employment, with the food industry seeing the largest decrease at 1.1 percent.
Revenue growth showed more significant differences across sectors. Crafts for private needs saw a strong increase of 15.6 percent, while those for commercial needs grew by 11 percent. The main construction trade increased by 10.5 percent. In contrast, the health sector saw a comparatively modest growth of 2.9 percent compared to the previous year.
