IV. CZECH INDUSTRY
BUILDING INDUSTRY AT THE CROSSROADS The building industry sector comprises business firms involved in construction and having their headquarters in a territory with predominant construction activity (branch classification of economic activity 45). Construction covers building work, reconstruction, enlargement, renewal, repair and maintenance of permanent and temporary buildings and structures. It also covers the assembly of structures and the built-in materials and constructions.
In 2020, after three strong growth years, Czech building production dropped by 7.7 %, the biggest decrease for the past decade. The key role in this process was played by building construction, whose slowdown (by one-tenth) was the highest since the year 2000. On the other hand, the performance of civil engineering last year declined by a mere 1 %, despite the higher benchmark. This reflects the continuing increase in public investment in transport infrastructure, where investment transfers into the State Fund of Transport Infrastructure (SFDI) rose by 41 %. The flow of money from EU structural funds also showed an increase (+21 %, to CZK 75.8 billion). Also growing is the number of projects under construction, which will call for massive
construction of transport infrastructure in 2021. In anticipation of this requirement, a record CZK 127.5 billion has been allocated to transport infrastructure by the SFDI budget.
PUBLIC PROCUREMENT To mitigate the economic consequences of the pandemic, it is important to prevent any slowing down of preparations for future public procurement. Currently there are 259.7 km of motorways and 1st-class roads under construction, including 127.7 km of motorways on green field sites (D11 Hradec Králové – Jaroměř, D 35 Opatovice – Ostrov, D55 Otrokovice ring road, enlargement of D7 Panenský Týnec ring road), 71 kilometres modernisation of D1 and 61 km of 1st-class
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The Czech Republic – Your Business Partner in the EU
2021
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