Industry - June 2008

In June 2008, seasonally adjusted industrial production decreased by 0.7%, compared to May 2008. Industrial production grew by 2.2%, year-on-year. Sales from industrial activity at constant prices increased by 2.1%, year-on-year. The value of industrial new orders decreased by 6.0%, year-on-year.
Seasonally adjusted industrial production in June 2008 was down by 0.7%, month-on-month. The trend grew by 0.2% (Table 6).
The year-on-year index of industrial production reached 102.2% in June 2008 (103.0%, seasonally adjusted). The growth of industrial production (Table 5) was most contributed to by 'manufacture of electrical and optical equipment' (+14.3%, contribution to the growth of industry in total 2.0 percentage points), 'manufacture of basic metals and fabricated metal products' (+6.0%, contribution 0.8 p.p.) and 'manufacture of chemicals, chemical products' (+13.2%, contribution 0.7 p.p.). A decrease of industrial production was recorded in 'manufacture of food products; beverages and tobacco' (-9.8%, contribution to the drop of industry in total -0.8 percentage points), 'manufacture of textiles and textile products' (-12.3%, contribution -0.3 p.p.) and 'manufacture of other non-metallic mineral products' (-6.6%, contribution -0.3 p.p.).

In June 2008, production increased in main industrial groupings: 'consumer durables' (+20.8%), 'intermediate goods' (+4.5%) and 'capital goods' (+1.6%). A decrease was recorded in main industrial groupings: 'consumer non-durables' (-7.2%) and 'energy' (-0.6%).

Revenues from industrial activity at constant prices (of the year 2000) rose by 2.1%, y-o-y (+0.3% at current prices), SA they increased by 3.0%. The increase of revenues from industrial activity was most contributed to by ‘manufacture of electrical and optical equipment’ (+12.0%, contribution to the growth of industry in total 1.9 percentage points), 'manufacture of basic metals and fabricated metal products' (+6.3%, contribution 0.6 p.p.) and 'manufacture of chemicals, chemical products' (+13.2%, contribution 0.6 p.p.). The drop of revenues from industrial activity was contributed to by 'manufacture of food products; beverages and tobacco' (-10.0%, contribution -0.8 p.p.), 'manufacture of other non-metallic mineral products' (-6.6%, contribution -0.3 p.p.) and 'manufacture of textiles and textile products' (-12.6%, contribution -0.2 p.p.).

Direct export revenues of industrial enterprises were 4.3% up at constant prices, (-4.3% at current prices). Their contribution to total revenues of industrial enterprises stood at 48.3% (current prices).

Revenues from industrial activity of foreign-controlled enterprises increased by 2.3% at constant prices (-1.6% at current prices). Their contribution to total revenues (at current prices) stood at 59.4%. Direct export sales of industrial foreign-controlled enterprises increased by 4.2% at constant prices (-3.9% at current prices) and made up 76.2% of total revenues of these enterprises (at current prices).

The average number of persons employed in industry increased in June 2008 by 17.9 thousand persons, y-o-y (i.e. + 1.5%). Increases in average number of persons employed were registered in 'manufacture of electrical and optical equipment' (+6.7%), 'manufacture of rubber and plastic products' (+5.2%) and in 'manufacture of transport equipment' (+4.9%). Employment decreased most in 'manufacture of textiles and textile products' (-10.4%), 'manufacture of coke, refined petroleum products' (-8.5%) and in 'manufacture of leather and leather products' (-5.1%).

The average monthly nominal wage in June 2008 amounted to CZK 22,837 and rose by 7.9%, y-o-y. The average hourly wage increased by 8.3% and stood at CZK 158.2. Labour productivity in industry increased by 0.4% and hourly labour productivity was by 1.0% higher.

Industrial new orders in selected CZ-NACE activities concluded in June 2008 reached the value of CZK 157.9 billion at current prices, of which non-domestic industrial new orders made up CZK 99.4 billion. The y-o-y index of industrial new orders in total stood at 94.0%, the index of non-domestic industrial new orders was 91.5%. Non-domestic industrial new orders dropped most in 'manufacture of motor vehicles, trailers and semi-trailers' (-22.7%, contribution -7.7 p.p.), 'manufacture of office machinery and computers' (-45.7%, contribution -2.0%) and ‘manufacture of machinery and equipment' (-6.6%, contribution -1.0 p.p.). Non-domestic industrial new orders rose most in 'manufacture of basic metals' (+29.9%, contribution +2.0 p.p.), 'manufacture of fabricated metal products' (+16.9%, contribution +1.2 p.p.) and in 'manufacture of chemicals and chemical products' (+1.0%, contribution +0.1 p.p.).
According to Eurostat News Release, working day adjusted industrial production in the EU27 decreased by 0.5% in May 2008 compared to May 2007. Among the EU27 member states for which the data were available, the highest increases were registered in Ireland (+9.2%), Bulgaria (+8.6%) and Denmark (+7.4%). A growth was reported for Slovakia and Germany (4.0% and 0.9%, respectively). The biggest decrease was recorded in Latvia (-8.1%).

Analysis - Development of industry in the second quarter of 2008

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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: 4 August 2008
End of data processing: 6 August 2008
Related publication: 8001-08 Industry of the Czech Republic
( http://www.czso.cz/csu/2007edicniplan.nsf/p/8001-08 )