The German upholstered furniture industry recorded a 7.2% decline in revenues between January and July 2025, reaching approximately Euro 540 million compared to Euro 580 million in the same period of 2024. Domestic sales fell by around 10% year-on-year, with industry representatives citing consumer restraint, bureaucratic pressure, and stagnant construction activity as key challenges, according to the Association of the German Upholstered Furniture Industry.
Official statistics highlight a continued downturn in orders, which were around 5% below the previous year’s level in both volume and value as of August. Foreign sales fell 1.6% during the first seven months, with July alone posting a 3.3% drop due to seasonal effects.
The largest European export market remains Switzerland, where revenues stayed nearly stable at approximately Euro 104 million (–0.3%). Sales to Austria declined by 8%, from Euro 68 million to Euro 63 million. Meanwhile, exports to France rose 6.9%, to Italy 19.3%, and to the United Kingdom 4.4%. Exports to Spain surged 43.4%, attributed to a strong housing market.
Outside Europe, sales in the United States increased 2.5%, while shipments to the United Arab Emirates jumped 82%. Despite this growth, UAE revenues remained marginal at just under Euro 2 million due to their small export share.
Germany’s imports of upholstered furniture rose 16% in the same period. Polish-made products accounted for 42% of imports, up 13.9% from the previous year. Imports from China made up 25% of the total, growing 24.7%. Other key suppliers include Italy, Hungary, and Romania.
Industry leaders also voiced concern over the upcoming implementation of the EU Deforestation Regulation (EUDR), set to take effect in January 2026. Many manufacturers, especially smaller firms, are not yet prepared to prove the deforestation-free origin of materials like wood, leather, and rubber. The association welcomed EU Environment Commissioner Jessika Roswall’s recent proposal to postpone enforcement until the end of 2026.
Further uncertainty surrounds the planned Digital Product Passport under the EU Ecodesign Regulation. Although its introduction is scheduled for 2030, companies are already preparing for complex data and documentation requirements. However, the passport also offers potential benefits in transparency, traceability, and sustainability, which will be discussed at the industry conference “Rethinking the Digital Product Passport” on October 9, 2025, in Cologne.
A recent internal survey by the association shows that around 60% of companies aim to significantly reduce CO2 emissions or achieve climate-neutral production. About 30% prioritize recyclability at the product's end-of-life, while nearly 40% use sustainable materials like recycled textiles.
Designs increasingly feature soft fabrics such as bouclé, chenille, velour, or cord, with declining use of leather. Adjustable elements and built-in charging ports cater to modern digital lifestyles. Organic forms dominate for 84% of respondents, although classic straight-lined shapes remain relevant. Beige, sand, and gray remain the most popular colors, complemented by greens like sage and olive, and earthy tones including brown, terracotta, and rust.
Despite current market pressure, the association anticipates a moderate seasonal recovery in the final quarter. Full-year revenue is expected to end 2025 about 5% below 2024, slightly improving on the current status.
