The Board of Directors of the European Federation of the Parquet Industry met virtually on 2 April 2020 and discussed amongst others the parquet situation and the first impacts of the Covid-19 crisis on the European markets.
The European parquet markets had generally well started the year showing stable to slightly positive trends in January and February. But March and the arrival of the Covid-19 virus on the European territory put an end to this positive move.
When compared to the same period last year, the provisional results for the three first months of 2020 indicate stable parquet consumption in Scandinavia (except in Sweden for structural reasons), Baltic States and even Germany where the activity is continuing for the time being.
On the other hand, the South of Europe which is experiencing tougher restriction measures is generally already reporting significant declines in parquet consumption. Although it is right now impossible to predict when activities will restart and how consumption will then evolve, it is obvious that this crisis will have long-term and significant impacts on the European economy and industry.
A brief per country recap is provided in the table below.
Market overview
| Austria
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The Austrian parquet sales significantly decreased by 10% during the first quarter 2020 compared to the first three months of 2019. Activity was good in January and February, but the market collapsed in March. Some companies have stopped activities, shops are closed or work on-line only.
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| Baltic States
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Baltic countries’ parquet markets remained flat during the first quarter of the current year. Activities are so far continuing in these countries.
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| Denmark
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The Danish parquet market was flat during the first quarter 2020. Project market is still doing well while the retail shops have started to close with the crisis. People are nevertheless working a lot at home for refurbishing.
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| Finland
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While the Finnish market does not seem to be hit by the crisis so far, starts of new (premium) buildings are declining. All in all, parquet sales were stable on the Finnish market during the first quarter 2020.
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| France
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Compared to the first three months of 2019, parquet consumption fell by 15 to 17% during the first quarter 2020. January and February were normal months of activity, but the French parquet market collapsed in March. All shops are closed. All factories have stopped their activities.
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| Germany
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Parquet sales were flat (0 to -1%) in Germany during the first quarter 2020. The German market was stable until beginning of March which started well compared to 2019. Retail shops are now closed but DIY shops are open in most of the Lands. Companies and installers are still working. Production and construction activities are continuing (with restrictions) for the time being.
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| Italy | The Italian parquet market declined by 10% during the three first months of the current year. Activity in January was slow then Italy was the first European country hit by the crisis. All factories and shops are closed at least until mid-April and the comeback to normality will take time.
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| Norway
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Data indicates that the Norwegian market remained flat during the three first months of 2020. Restrictive measures are not as strong as in the South of Europe, but Norwegian are staying at home and demand for DIY products for refurbishment, such as paintings, is increasing. This does not concern parquet. Impacts of the unexpected weak Norwegian krone on the 2ndquarter’s activity are difficult to predict at this stage.
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| Spain | The Spanish market was stable during the first quarter of the year 2020. The quarter started well but March and the crisis put an end to this positive move. Strong lock-down measures are also in place in Spain.
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| Sweden | Parquet consumption decreased slightly by 3 to 4% during the first quarter 2020 compared to the first quarter 2019. This slight decline is due to structural changes, such as the decrease of starting of new buildings, but does not reflect the current crisis as life is almost normal in Sweden: businesses and shops are open.
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| Switzerland | Data indicates that parquet consumption fell by 8% in Switzerland during the three first months of 2020. The Swiss market was stagnating before plunging the two last weeks of March. Construction sites are closed and activities reduced. The restriction measures are significantly tougher in the French speaking part of the country.
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General Assembly 2020 cancelled
Having closely monitored the evolution of the situation throughout Europe, the FEP Board of Directors has unfortunately been forced to cancel the FEP General Assembly & Parquet Congress 2020 which was supposed to take place on 11-12 June in Hamburg.