Czech industry growing more slowly

Industrial production in the Czech Republic rose by 1.3% in February, thus losing further momentum. Following an increase of a revised 2.7% in January, this is already the third month in a row with a slowdown - despite sustained growth since November. Positive impetus came primarily from the automotive industry and the manufacture of metal products. In contrast, the energy sector had a dampening effect: planned shutdowns at power plants in particular had a negative impact on growth. The picture is also mixed in terms of incoming orders. The total value of new orders increased by 1.6% year-on-year, with demand from abroad rising by 2.5%. Domestic orders, on the other hand, fell slightly by 0.3%. In a monthly comparison, the volume of orders fell significantly by 6%, following unusually high figures in January, particularly in the automotive industry. The growth in new orders was mainly driven by the mechanical and plant engineering industry, in particular by stronger demand from the energy and construction sectors. In contrast, there were declines in the automotive industry and in the chemical, paper and textile sectors. At the same time, the construction industry developed much more dynamically. Construction output rose by 4.1% in February compared to the previous year, following a decline in January. In a monthly comparison, it increased by 0.8%. The main driver of growth was building construction, where production increased by 7.8%. By contrast, civil engineering - including infrastructure projects such as road, energy and telecommunications construction - recorded a decline of 5.5%. Construction activity also picked up noticeably: The number of building permits issued rose by 3.8%. Residential construction developed particularly strongly, with a 45.9% increase in projects started and a 20.8% increase in completed units. The post Czech industry grows more slowly appeared first on ostwirtschaft.de.