AUTOMOTIVE STUDY 2025 / Šaroch (ed.) et al.

3 THE AUTOMOTIVE INDUSTRY (AND AUTOMOTIVE MARKET) IN THE CZECH REPUBLIC

e Czech Republic is a superpower in car production. In world comparison, it ranks second in the number of cars produced per capita and rst in the production of buses. e Czech automotive sector directly employs one-sixth of the workforce of the entire manufacturing industry and is a buyer of products from many other sectors, including from abroad. e Czech automotive sector accounts for 24% of the Czech Republic’s manufacturing industry’s sales, 17% of its value added and 27% of the Czech Republic’s total exports. is chapter describes the signi cance and development trends of the Czech automotive industry, which is the base not only for the production of cars for the European market, but also for the production of parts and components for automotive customers practically all over Europe. Not only how the present nal car manufacturers, but also their suppliers, will succeed in today’s rapidly changing world of car manufacturing will be crucial for the future of this sector in the Czech Republic. In fact, their nancial performance has not been very good in recent years due to rising costs, rapid technological and production changes, weaker European market performance and uncertainty about the future, as shown, among other things, by the data in this chapter. 3.1 Distribution of production capacities in the Czech Republic and trends As of 2018, the production capacity of motor vehicles in the Czech Republic is between 1.4 and 1.5 million vehicles. Of these, 99.5% are passenger cars. is puts the Czech Republic among the top countries in the world in terms of production intensity. In terms of the number of vehicles produced per capita, it ranks 2nd globally behind Slovakia, and even 1st in bus production. e volume of production of all motor vehicles in the Czech Republic has more than doubled from 2005 to 2023.

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