The Turkish Ready-Mixed Concrete Association (THBB) has announced the “Ready-Mixed Concrete Index” May 2025 Report, which shows the current situation and expected developments in the construction-related manufacturing and service sectors, which are eagerly awaited every month. In May, the gap between the Activity and Confidence Indexes reached its highest level in the last 4 years. The fact that confidence has bottomed out despite the increase in activity is the clearest indication that the sector cannot maintain this performance.
The Turkish Ready Mixed Concrete Association (THBB) reveals the current situation and expected developments in the construction sector and related manufacturing and service sectors in Türkiye with the Ready Mixed Concrete Index it announces every month. This Index, which is related to ready mixed concrete, which is one of the most basic inputs of the construction sector and is used in construction without being stored in a short time after production, is a leading indicator that reveals the growth rate of the construction sector.
According to the Ready-Mixed Concrete Index May 2025 Report, the Activity Index, which moved around the threshold value in March and April, recorded a significant increase in May. Despite this increase in activity, the Expectation Index decreased in May. The Confidence Index, on the other hand, seems to have decreased to a very low level. The gap between Activity and Confidence Indexes has reached its highest level in the last 4 years. The fact that confidence has bottomed out despite the increase in activity is the clearest indication that the sector cannot maintain this performance. Finally, the combined Concrete Index, despite the increase in activity, showed a negative movement at the level of April.
In May, the indexes other than Activity decreased compared to the same month of the previous year. The biggest decrease is seen in the Confidence Index. The increase in Activity should be considered together with the decrease in the Expectation and Confidence Indexes, despite the index value being above the threshold value. In this case, it can be evaluated that the increase in Activity is temporary. The Expectation Index and Ready-Mixed Concrete Index also decreased at similar rates compared to the same month of the previous year.
Evaluating the results of the report, Yavuz Işık, Chairman of the Board of Directors of the Turkish Ready-Mixed Concrete Association (THBB), said, “In May, the gap between the Activity and Confidence Indices reached its highest level in the last 4 years. The fact that confidence has bottomed out despite the increase in activity is the clearest indication that the sector cannot maintain this performance. The increase in Activity compared to the same month of the previous year should be taken into consideration together with the decline in the Expectation and Confidence Indices, despite the index value being above the threshold value. In this case, it can be assessed that the increase in Activity is temporary.”
Evaluating the economic developments, THBB President Yavuz Işık said, “Monetary policy, especially geopolitical developments, also affects the construction sector. According to the latest announced Turnover Index results, the Turnover Index in the total of industry, construction, trade and service sectors increased by 2025% annually in April 32,7. In the same period, the Construction Turnover Index exceeded the average with an annual increase of 41,0%, but the turnover of the construction sector increased by 0,4% in April, while the Construction Cost Index increased by 1,67% in April compared to the previous month. Accordingly, the increase in the sector's sales remained quite limited compared to the increase in construction costs. As long as Türkiye does not enter the next phase of the monetary policy, the "interest rate reduction" corridor, a slowdown and subsequent contraction in the manufacturing industry that provides input to it, especially in construction, will be inevitable.”
