William Malcolm

Czech Car Production Falls To 6-Year Low

Production of passenger cars in the Czech Republic fell by 19.2 percent to 1.15 million vehicles last year. After the sharpest decline in history, caused mainly by restrictions due to coronavirus, it returned to the level of 2014, according to the Association of the Automotive Industry,

Škoda Auto produced 749,579 cars in its Czech plants, 17.4 percent less than in 2019. The increase in its market share on the EU markets and sales growth in Russia and Turkey helped mitigate its effects. At the Hyundai Motor Manufacturing Czech plant in Nošovice, production fell by 22.9 percent to 238,750 vehicles. Kolín’s TPCA also reduced production by 21.7 percent to 164,572 vehicles due to preparations for expanding the plant.

“Despite the almost one-fifth decline in production, it is necessary to highlight how the companies were able to cope with the restrictions. During the restart after the spring outages, they showed high flexibility, and their autumn production pulled the entire Czech industry forward. “The performance of some traditional manufacturers in the non-passenger car segments has been admirable. But the competitiveness of car manufacturers must also be appreciated, especially given the drop in demand for cars across the EU by almost a quarter,” said Bohdan Warrior.

A trio of passenger car manufacturers supplied a total of 97,298 cars to the Czech market. Last year, domestic production also accounted for almost half of new car registrations. Traditionally, strong exports fell by 19.9 percent in response to demand in the largest markets.

According to the independent analyst Antonín Šípek, the results of Czech road vehicle manufacturers can be assessed as satisfactory and in line with the given reality, given the global situation. “The decline in the production of passenger cars roughly corresponds to the development of sales in the main export territories, so there was no inefficient production of vehicles for storage,” he added.

From January to December, domestic manufacturers produced 5,070 buses, which is 2.8 percent less year-on-year. Of this, Iveco has 4,518 vehicles and SOR 526 vehicles. The company KH motor Centrum from Opava produced 26 buses.

The only truck manufacturer, Tatra Trucks, produced 1,180 trucks last year, only one less than in the previous year. At the only motorcycle manufacturer in Týnec Jawa, production fell by 44 percent to 553 machines.

Last year, 26,447 trailers of all categories were produced in the Czech Republic, representing a year-on-year increase of 0.8 percent.