Czech Industry is Slowly Recovering From a Record Slump

Industrial production in the Czech Republic slowed its year-on-year decline to 11.9 percent in June, from 25.7 percent in May.

The recovery of car production significantly contributed to a better result. In a month-on-month comparison, June’s industrial production was higher by 13.4 percent.

According to Czech statisticians, the situation in the industry began to slowly stabilize in June after a previous slump caused by the coronavirus crisis.

“In a number of industrial enterprises, production gradually began to return to pre-pandemic levels,” said Radek Matějka from the Czech Statistical Office.

Compared to May, industrial production was encouraged by the resumption of car production, which also helped manufacturers of parts for the automotive industry.

The construction industry in trouble

On the contrary, worse and worse numbers keep coming from the construction field.

In June, construction output fell by 11.5 percent year-on-year in real terms, after a 7.7 percent decline in May. Once again, building construction has deteriorated, including the construction of apartments, offices, and warehouses.

Compared to previous months, civil engineering works also recorded worse results, including mainly transport infrastructure.



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