According to data published by Czech Statistical Office, seasonally adjusted industrial production was 2% higher in November 2010 month on month and 15.9% higher year on year.

Mr Jaroslav Vomastek director of economic analysis at the Ministry of Industry and Trade said that "The performance of the Czech economy continues to reflect the growing German economy and the continuing recovery of other business partners. At the same, the [November] increase is compared to a low base last year."

Mr Jan Vejmělek analyst at Komerční banka said that "In the same way that the collapse of external demand has drawn the Czech economy into the recession, the revival of external demand means for the Czech economy a substantial growth stimulus. It is clear that the strength of external demand is critical for Czech producers. The recovery of our key business partners led by Germany stays behind the fact that industrial production has recorded double digit rate growth for four months in a row. The statistics of orders suggest this trend could be maintained for the next few months, as well."

Mr Vojtěch Benda, senior economist for commercial banking at ING in the Czech Republic, also saw Germany as the key. He added that "The data show that economic growth did not lose steam in the fourth quarter, mainly thanks to the export-oriented industry as the main engine. The hefty growth in Germany, underlined with the latest impressive data of German new orders, suggests the strong performance of the Czech industrial output will continue also in coming months. If December brings no big disappointment, the GDP growth in 4Q should be above 3% year on year."

When adjusted for working days, production was up 13% on the year and there was one more working day in November 2010. The year on year growth in industrial production was most contributed to by manufacture of motor vehicles, trailers and semi trailers, which grew by 23.8%, manufacture of machinery and equipment, which grew by 26.2%, and manufacture of fabricated metal products, which grew by 20.4%.

The biggest decline of industrial production was recorded in manufacture of wearing apparel, down by 9.1%, manufacture of coke and refined petroleum products, down by 6.6%, and manufacture of furniture, down by 1%.

New orders grew by 14.2% on the year, and non domestic new orders grew by 21.6%. The growth was contributed to most by motor vehicles, basic metals, and computer and electronic products. Decreases were seen in transport equipment and apparel.

(Sourced from www.ceskapozice.cz)