Czech Industrial Production Sees Mild Growth Thanks to Car Manufacturing

Industrial production in the Czech Republic saw a slight acceleration in year-on-year growth to 1.4% in May from April’s 1.2%. As in April, car production rose while output fell in most other industrial sectors. Industrial orders fell again, with their value declining by 4.4% year-on-year.

The Czech Statistical Office (CSU) released this information on Friday via its website. Industrial production grew 1.6% month-on-month.

“The production of motor vehicles contributed the most to the slight growth in industrial output, with production increasing month-on-month. Both the production of automobiles and their parts saw growth. Planned outages and lower production in coal-fired power plants affected the decline in electricity, gas, and heat production,” said Radek Matejka, Director of the Department of Agriculture and Forestry, Industry, Construction, and Energy at the CSU.

Production in mining and quarrying decreased by a fifth compared to May last year, mainly due to a reduction in brown coal mining. Production of other non-metallic mineral products, the chemical industry, primary metals, and foundries also fell by double digits. In contrast, the production of other means of transport and equipment increased significantly due to the completion of long-term orders.

Foreign orders fell 4.7% year-on-year in May, with domestic orders declining by 3.9%. The value of new industrial orders was stagnant compared to April.

The average number of industrial employees decreased by 1.7% year-on-year in May. Their average gross monthly nominal wage increased by 11.1%.