Industry - January 2007

In January 2007, seasonally adjusted industrial production increased by 2.3%, compared to December 2006. In comparison to January 2006, industrial production grew by 9.8%. Sales from industrial activity at constant prices (of the year 2000) rose by 11.0%. Industrial new orders increased by 9.5% year-on-year.
Seasonally adjusted industrial production in January 2007 was up by 2.3% month-on-month. The trend grew by 0.7% (Table 5).

The year-on-year index of industrial production reached 109.8% (or 108.9% seasonally adjusted, SA). The growth of industrial production (Table 6) was most affected by ‘manufacture of transport equipment’ (+10.7%, contribution to the growth of industry in total 2.4 percentage points), ‘manufacture of electrical and optical equipment’ (+16.4%, contribution 1.9 p.p.) and ‘manufacture of rubber and plastic products’ (+27.9%, contribution 1.5 p.p.). Decreases were recorded for ‘electricity, gas and water supply’ (-5.3%, contribution -0.5 p.p.), ‘mining and quarrying of energy producing materials’ (-8.0%, contribution -0.1 p.p.) and ‘manufacture of basic metals and fabricated metal products’ (-1.0%, contribution -0.1 p.p.).

As to the main industrial groupings, production increases were observed for ‘capital goods’ (+13.7%), ‘consumer durables’ (+12.9%), ‘intermediate goods’ (+11.1%) and ‘consumer non-durables’ (+7.1%). Production of ‘energy’ decreased (-1.0%).

Sales from industrial activity at constant prices (of the year 2000) rose by 11.0% (+12.1% at current prices), or by 10.0% SA, year-on-year. The increase of sales from industrial activity was most contributed to by ‘manufacture of transport equipment’ (+10.6%, contribution to the growth of industry in total 2.5 percentage points), ‘manufacture of machinery and equipment’ (+26.1%, contribution 1.7 p.p.) and ‘manufacture of rubber and plastic products’ (+27.9%, contribution 1.7 p.p.). Sales from industrial activity decreased in ‘electricity, gas and water supply’ (-2.6%, contribution -0.2 p.p.) and ‘mining and quarrying of energy producing materials’ (-1.3%, contribution -0.02 p.p.).

Direct export sales of industrial enterprises increased by 17.6% at constant prices (+17.5% at current prices), and their proportion in total sales of industrial enterprises was 50.8% (current prices).
Sales from industrial activity of foreign-controlled enterprises were up by 13.6% at constant prices (+14.9% at current prices), and their proportion in total sales stood at 60.5% (current prices). Direct export sales of industrial foreign-controlled enterprises increased by 17.1% at constant prices (+17.0% at current prices) and made up 76.3% of total sales of these enterprises (current prices).

The average number of persons employed*) in the industry went up by 2.4% in January 2007 (+26.4 thousand persons) year-on-year. Increases were registered in ‘manufacture of electrical and optical equipment’ (+7.2%), ‘manufacture of transport equipment’ (+7.2%) and ‘manufacture of rubber and plastic products’ (+6.6%). Employment decreased most in ‘manufacture of leather and leather products’ (-7.1%), ‘manufacture of textiles and textile products’ (-6.8%) and ‘mining and quarrying of energy producing materials’ (-5.3%).
The average monthly nominal wage in the industry rose by 9.2% year-on-year and reached CZK 19 907. The average hourly wage increased by 8.4% and stood at CZK 130.9. Labour productivity in the industry (sales per employee) rose by 7.8% and hourly labour productivity by 7.1%.

Industrial new orders in selected CZ-NACE activities concluded in January 2007 reached the value of CZK 161.5 billion (current prices), of which non-domestic industrial new orders made up CZK 107.9 billion. The y-o-y index of industrial new orders in total stood at 109.5%, the index of non-domestic industrial new orders was 113.1%. Non-domestic industrial new orders grew most in ‘manufacture of basic metals and fabricated metal products‘ (+71.2%, contribution to the growth of industry in total 4.9 percentage points), ‘manufacture of motor vehicles, trailers and semi-trailers’ (+8.5%, contribution 3.0 p.p.) and ‘manufacture of electrical machinery and apparatus‘ (+21.5%, contribution 2.0 p.p.). Non-domestic industrial new orders dropped in ‘manufacture of wearing apparel; dressing and dyeing of fur‘ (-14.4%, contribution -0.1 p.p.), ‘manufacture of chemicals and chemical products’ (-0.4%, contribution -0.04 p.p.) and ‘manufacture of radio, television and communication equipment and apparatus’ (-0.2%, contribution -0.01 p.p.).
According to Eurostat, the seasonally adjusted index of industrial production in the EU25 rose by 3.9% in December 2006 compared to December 2005. Among the EU25 member states for which data were available, the highest increases were registered in Ireland (+15.2%), Poland (+10.1%), Slovakia (+8.9%) and Slovenia (+8.4%). The biggest decrease was recorded in Lithuania (-7.9%).

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Note
Contact: Jan Ernest, tel: (+420) 274054188, e-mail: jan.ernest@csu.gov.cz
Data source: CZSO direct survey in enterprises with 20+ employees
End of data collection: 6 March 2007
End of data processing: 8 March 2007
Related publication: 8001-07 Industry of the Czech Republic

*) Starting from January 2007, in accordance with Eurostat methodology, monthly data on numbers of employed persons are published by the Czech Statistical Office as part of the short-term industrial statistics. Unlike the average registered number of employees published before, the new indicator includes also persons working under agreement for work performed outside the employment relationship and other employed persons who participate in work for the company without having an employment relationship with the company. The new figure represents full-time equivalent (FTE). This change has an impact on average wage and labour productivity calculations. Year-on-year comparability of the data published is ensured.