HEAD OFFICE

DITTRICHOVA 21128 01 PRAGUE 2CZECH REPUBLIC

PHONE: +420 224 907 820WWW.CZECHTRADEOFFICES.COM

PROSPECTIVE INDUSTRIES

FOR TRADE AND COOPERATION

Czech Day, 45. MOS, Celje, Celjski sejem, 17. september 2012Robert Vindiš, CzechTrade Zagreb

•About CzechTrade

•Czech Export

•Prospective Industries

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About CzechTrade

About CzechTrade

CzechTrade is a trade promotion organization, founded by the Ministry of Industry and Trade of the Czech Republic.

Our main objective is to promote the internationalization of Czech companies by facilitating their cooperation links with foreign entrepreneurs.

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CzechTrade offices worldwide

CzechTrade currently has 33 offices covering 36 countries of 4 continents.

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CzechTrade in Croatia

CzechTrade office in Zagreb was established in 1999 and since then it has been assisting HR, SLO, B&H companies in finding business partners from the Czech Republic.

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CzechTrade ZagrebZrinjevac 10/I10 000 ZagrebCroatia

zagreb@czechtrade.cz

www.czechtrade.eu

www.czechtrade.hr

www.czechtrade.cz

www.mpo.cz

CzechTrade services

CzechTrade provides a wide range of business support and networking services including.

Introduction to Czech quality suppliersAssistance with local outsourcingOrganisation of buyer´s visits and meetings with Czech companiesParticipation in trade fairs abroadInformation about doing business in the Czech RepublicOn-line services – Your Czech Supplier, CIPASCzech Exporters Directory

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CzechTrade services for foreign companies

Supplier SearchCzechTrade can help Slovenian, Croatian companies find new suppliers of goods and services based in the Czech Republic. This service is usually used by buyers, purchasing managers, business development managers or managers responsible for sourcing materials, industrial products and services.

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Czech Exporters Directory

Czech Exporters Directory is a professional database of Czech companies focusing on entering foreign markets. The Directory is available on-line, free of charge and contains presentations of Czech companies and their products from 27 industrial branches. If Slovenian, Croatian, B&H companies are looking for Czech exporters, this is the right way to go.

http://exporters.czechtrade.cz9

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BusinessInfo.cz

Czech Business Web Portal

A government business portal which provides a wealth of information for companies which are looking for guidance, assistance and business in the Czech Republic.

http://www.businessinfo.cz/en

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Czech Export Alliances

Alliance – partnership, union, cooperation of organizations

CzechTrade also initiates the formation of Czech exporters´ field alliances. Companies associated in alliances can offer a complex supply of goods and services in a specific field.

http://www.export-alliances.com

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The Agency´s services for Czech companies

consultations and consultancyindividual services abroadpresentations and trade fairs abroadexport academy / educationdesign for exportexport opportunities

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The Czech Republic

The Czech Republic is a small and highly-open economy.

exporting three quarters of its output an attractive destination for foreign investments

Membership of international organizations and initiatives:UN, EU, OECD, WTO, IMF / World Bank, IBRD, EBRD, NATO, ILO, WHO, World Summit on Sustainable Development, UNESCO, Visegrad Group

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The Czech Republic

The strategic geographical location, the long-established industrial tradition,the reasonable costs, the well-developed infrastructure and the skilled labour force

make the Czech Republic a perfect source base for your business.

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Czech Export

Czech Export

GDP of the Czech Republic$272.2 billion (2011 est.)GDP growth 1.8% (2011 est.)

Czech Exportapprox. $150 billion (2011 est.)

EU countries - 83.2 % of all Czech exportsGermany - 32.2 % of all Czech exports

Czech Importapprox. $145 billion (2011 est.)

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Famous Czech products

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Czech Export & Import Commodities

Export commodities: machinery and transport equipment (53 % of all exports), raw materials and fuel, chemicals

Export partners: Germany 31.7%, Slovakia 8.7%, Poland 6.2%, France 5.5%,UK 4.9%, Austria 4.7%, Italy 4.5% (2010)

Import commodities: machinery and transport equipment, raw materials and fuels, chemicals

Import partners: Germany 25.6%, China 11.9%, Poland 6.5%, Russia 5.4%, Slovakia 5.2% (2010)

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Sophistication of Czech Export Compared to Import

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Total

Computers

Cars

High+Medium High

Low+Medium Low

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Prospective Industries – Trade & Cooperation

•Automotive Industry•Mechanical Engineering•Building & Construction•Energy Industry•Information & Communication Technologies•Medical/Healthcare Products & Equipment•Glass, Porcelain & Ceramics•Chemical Industry•Environmental Technologies•Electrical Engineering & Electronics•Wood Processing Industry

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Prospective Industries – Trade & Cooperation

•The auto industry remains the largest single industry, and, together with its upstream suppliers, accounts for nearly 24% of Czech manufacturing.•The Czech Republic produced more than a million cars for the first time in 2010, over 80% of which were exported.•The sector directly employes over 140,000 people.

Main Facilities (personal vehicles):•Škoda Auto Mladá Boleslav•TPCA (Toyota, Peugeot, Citroen) Kolín•Hyundai Nošovice

•Other Facilities: lorries (Tatra, Avia, Ashok Leyland), busses (Iribus Iveco, Sor Libchavy), trams (Siemens, Škoda)

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Automotive Industry

•In 2010 machine tool exports from Czech Republic totaled 10,345 billion CZK (in 2008 the maximum of 14.62 billion CZK was reached).•Machine tool exports by territories in 2010 went mainly to Germany, Russia, China, USA, Poland, Slovakia, Italy and Ukraine (with more than 40% of Czech exports into the countries of EU).

Useful Link:Association of Engineering Technologieswww.sst.cz

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Mechanical Engineering

•Relatively high share of exports of construction materials in total production (approx. 26.2%).•Civil engineering employes around 9% of people and contributes to the overall GDP by 7%.

Main Producers (construction materials):•Lasselsberger, Wienergerger, Tondach, Lafarge group

Main Civil Engineering Companies :•Metrostav, Subterra, Zakládání staveb(czech ownership)•Skanska, Strabag, Hochtief, OHL (foreighn ownership)

Useful Link:Association of Building Entrepreneurs of the Czech Republicwww.sps.cz

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Building & Construction

•Coal accounts for approx. 90% of all power sources (its share in fuel-power balance is 60%).•Czech Republic is an important exporter of power in EU.

Production of power:•Thermal power plants 66%•Nuclear power plants 31%•Hydroelectric power generation 3%

Main Suppliers:•ČEZ, E.ON, Pražská energetika

Useful Links:Czech Association of Energy Employers www.csze.czAssociation of Energy Manager www.aem.cz

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Energy Industry

•Almost 33,000 ICT companies employ over 130,000 people.•ICT sector represents around 15% of total exports.•Exports of ICT goods have increased 15 times in the past decade. Export of ICT services incerased 9 times (88% of exports go to Europe, 10% to the U.S.A.)

Large Czech ICT Companies:•Unicorn, Stapro, AVG Technologies

Useful Link:Association for Information Technologies and Telecommunications www.ictu.cz

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Information & Communication Technologies

•More than 60% of products are exported.•Czech Republic has an extensive network of research institutes and technical universitites.•Several foreign companies moved their development and manufacturing plants to the Czech Republic.

Large Companies:•Linet, BTL, Borcad

Useful Links:Czech Association of Medical Device Suppliers CzechMed www.czechmed.cz

Association of Biotechnollogical Companies of the Czech Republic CzechBio www.czechbio.org

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Medical/Healthcare Products & Equipment

•More than 90% of glass production are exported.•This sector has an active balance of 20.67 billion CZK.•Ceramics count for 4-5 bil. CZK; flat glass for 14 bil. CZK, container glass 3.7 bil. CZK, glass fiber 4.8 bil. CZK.•Glass and ceramics in total count for 38 billion CZK.

Useful Link:Association of the Glass and Ceramic Industry of the Czech Republic www.askpcr.cz

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Glass, Porcelain & Ceramics

•Rubber and Plastics have the greatest significance in this sector (45.7% of total sales in the industry); then Basic Chemical Agents and Pharmaceuticals (34.8%), and oil processing (19.5% share of sales).•Share of the industry on total exports count for 12.2%, on total employment for 11.1%.

Large Multinational Companies:•Siemens, Robert Bosch, TRW, Johnson Controls, Valeo, PeguformG (and others realized their investments in the palstics industry)

Useful Link:Association of Chemical Industry of the Czech Republic www.schp.cz

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Chemical Industry

•Share of investment in environmental protection as the perscentage of GDP:

•23.5 bil. CZK in 2009 (0.65% of GDP)•The greates share of investment was aimed at climate and air protection and water treatment.

Useful Links:Czech Industrial Coalition for Packaging and the Environment www.cicpen.cz

Czech Association of Waste Management www.caoh.cz

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Environmental Technologies

•The biggest share in the revenue from electrical industry belongs to high-voltage electronics (44%), followed by computer technology (24%), radio & TV technology (21%) and instrumentation & automation technology (11%).•Between 1997-2007, foreign investment in the electrical industry exceeded 150 bil. CZK. The electrical industry counts for approx. 30% of the total volume of foreign investment in the Czech Republic (ranked 2nd after the car industry).

Useful Link:Czech and Moravian Electrical and Electronic Association www.electroindustry.cz

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Electrical Engineering & Electronics

•Annual volume of timber harvesing amounts to 14.5 million m3.•More than 90% of the timber harvested is industrially processed.•The Czech Republic holds a strong position in the sector of the development , production and sale of woodworking machines.

Useful Links:Moravian Silesian Wood Processing Cluster www.msdk.cz

Agriculture and Forestry Machinery Association www.zetis.cz

Association of the Pulp Paper Industry www.acpp.cz

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Wood Processing Industry

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• Mining & Power: mining equipment, subcontracting in power generation and transmission• Transportation: rail and tram sector, parts and accessories• Electrical and electronics products, telecommunication equipment• Environmental technologies: renewable energy sources, water purification, innovation in recycling, waste disposal and remediation of environmental damages• Medical equipment and supplies to health care: medical devices, supplies, instruments and equipment

Prospective industries for Czech exporters

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• Medical equipment and supplies to health care: medical devices, supplies, instruments and equipment• Consumer goods: food, beverages, indoor decor, sports equipment and accessories, etc.• Engineering: machinery, supply of components and spare parts, individual custom made production; new technologies that improve time, cost and energy efficiency of the manufacturing or storage process• New high tech sectors: biotech, ICT and software (individual opportunities)

Prospective industries for Czech exporters

CZECH TRADE PROMOTION AGENCY

Head Office Dittrichova 21128 01 Prague 2Czech RepublicPhone: +420 224 907 820E-mail: info@czechtrade.czwww.czechtradeoffices.comwww.czechtrade.eu

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Contact information

If you are interested in business opportunities in the Czech Republic or want to know more about Czech industry, feel free to contact our office:

CzechTrade ZagrebTrg Nikole Šubića Zrinskog 10/I

10 000, Zagreb, Croatiazagreb@czechtrade.cz

www.czechtrade.hr

www.czechtrade.cz

www.mpo.cz

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Thank you for your attention!

Robert Vindiš,Director of CzechTrade in Croatia