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Plastics

Commercial Specialist responsible for the sector:

Hana Obrusnikova, Hana.Obrusnikova@trade.gov

Reports available to US companies upon request:

Plastics Market in the Czech Republic (2007)

Summary

The plastics industry in the Czech Republic has experienced unprecedented growth in recent years due to massive foreign investments into the automotive and electronic industries. Plastic products are finding great applications also in the food processing industry and construction sector. The sector is uniquely insulated against the ebbs and flows of the global market, experiencing growth that is consistently above the average of the processing industry. Over the past ten years production has increased 3.5 times. Despite a sharp rise in plastics production, Czech manufacturers cannot meet domestic demand. In 2004 the country imported plastic products worth almost 2.3 billion USD. Per capita consumption of plastics in the Czech Republic is higher than in other countries in Central and Eastern Europe but is still lower than the average consumption in the old EU member states (Western Europe). They report about 90 kg of plastics consumption per capita, while the Czech Republic consumes less than 20 kg per capita. Demand for plastics is therefore expected to grow over the next years as consumer spending and incomes rise. Small and medium size companies (SMEs) play a major role in this sector, accounting for 52% of the total revenue, 60% of employment and 53% of added value.