Car Production Drives February Industrial Growth with a 25.2% Increase

The car industry in February grew by two percent, boosted by car production. This marks a return to growth after a 1.9 percent decline in January. According to data released on Thursday by the Czech Statistical Office (ČSÚ), car production contributed the most to the increase, rising by about a quarter compared to February last year. Monthly industrial production increased by 0.4 percent.

Car production grew by 25.2 percent year-on-year due to a lower comparison base from last year. The automotive industry improved despite shutdowns at some significant manufacturers. Machine and electrical equipment production also contributed to industrial growth, as a substantial portion of their output was tied to car production.

“Partly due to a low comparison base, pharmaceutical production increased by almost one-fifth year-on-year. Recovery has been apparent in the leather industry in recent months,” statisticians said.

However, most industrial sectors saw year-on-year declines in February. “The production of chemicals and chemical preparations, other non-metallic mineral products (primarily construction materials and glass), and the production of basic metals, metallurgy, and foundries all fell by almost one-fifth in year-on-year comparisons,” said Veronika Doležalová, head of the ČSÚ Industry Statistics Department.

The value of new orders for the Czech industry increased by 1.1 percent year-on-year. Although foreign orders were down by 2.7 percent, domestic orders increased by 10.1 percent. Once again, car production, other transport equipment, and the production of metal structures and metal products contributed the most.

The value of new orders in producing primary metals, metallurgy, foundries, and the chemical industry again declined.