Cushman & Wakefield has released Future Flows, its new EMEA report on the forces driving demand for industrial and logistics real estate across Europe. The report focuses on two distinct growth drivers: the rapid expansion of defence manufacturing and the growing presence of Chinese businesses. Both are creating new occupier demand, and Belgium features in both stories.
DEFENCE: BELGIUM AMONG EUROPE'S ACTIVE MARKETS
Rising defence budgets and a strong push to source equipment within Europe are driving a wave of new manufacturing capacity. EU defence spending is projected to grow from €419 billion in 2025 to €547 billion by 2029.
- Cushman & Wakefield identified 197 defence manufacturing facility investments across Europe between 2024 and August 2026.
- Belgium accounts for 7 of these, placing it among the ten most active countries, on a par with the Netherlands and Estonia.
- Belgian investments are spread across artillery and munitions (3), aircraft and ships (2) and systems and components (2).
- Across Europe, more than half of the investments concern new facilities. The most common requirement is 10,000 to 25,000 sqm, with the average new facility measuring around 20,000 sqm.
- Many occupiers adapt conventional industrial buildings. As large programmes move into production, demand is expected to spread to smaller suppliers looking for small and mid-sized units.
CHINESE BUSINESSES: BELGIUM ON THE RADAR
Chinese manufacturers, retailers and logistics providers have leased more than 2.5 million sqm of industrial and logistics space in Europe since 2024. In the first half of 2026 alone, their take-up exceeded the full-year total of 2025.
- In a Cushman & Wakefield survey of 78 Chinese businesses planning to invest in Europe, Belgium ranks among the top ten priority countries, on a par with Poland and ahead of the Netherlands.
- Belgium is the 12th largest online retail market of the 25 European countries tracked, and JD.com's new Joybuy platform, launched in March 2026, already operates in Belgium.
- Since 1 July 2026, the EU no longer exempts low-value parcels from customs duty. This pushes Chinese ecommerce operators to hold stock and fulfil orders from within Europe.
- Demand focuses on modern, high-quality units, with 10,000 to 25,000 sqm the most sought-after size (32% of space leased). Speed matters: 48% of businesses surveyed expect to be operational within a year of deciding to invest.
WHAT IT MEANS FOR BELGIUM
Both demand streams point in the same direction: modern industrial and logistics units, often in the 10,000 to 25,000 sqm range, that can be occupied quickly. For Belgian owners, developers and investors, this opens opportunities in new development as well as in the repositioning of existing assets. Early engagement with these occupiers, and a clear understanding of their timelines and compliance requirements, will be key to capturing this demand.
Download the full EMEA report here.
