The share of the electrical industry on the revenue from sales of own products and services of the manufacturing industry in the Czech Republic as a whole reaches ca. 15.5 %. Thanks to this share ratio, to the creation of added value as well as of employment, the electrical industry is virtually placed 2nd to 3rd among the most important industrial sub-sectors in the Czech Republic. Even though the area of electrical industry has been adversely influenced by the effects of the economic depression and it has grown weaker, it still provides employment for ca. 180 thousand employees, while the effects of the current crisis are not only negative, but it also contributes to the efforts for restructuring of manufacturing operations, to stronger specialization and to orientation towards new innovated products with higher added value.
Czech electrical industry and its structure
According to the standard classification of production, manufacturing in the electrical industry is divided in the following manner:
30–Office Machines and Computers (Computer Technology);
30.01–Office machinery and parts;
30.02–Computers and other information processing equipment, their parts, installation and assembly
31–Electrical Machines and Equipment (Heavy-Current Electrical Technology);
31.1–Electric motors, generators and transformers;
31.2–Electric distribution systems, switching and control systems;
31.3–Insulated cables and conductors;
31.4–Accumulators, primary cells and batteries;
31.5–Electrical sources of light and lighting apparatus;
31.6–Electrical equipment not otherwise mentioned;
32–Radio, Television, Telecommunications Equipment and Apparatus (AV Engineering, Electronic Components)
32.1–Tubes and other electronic parts;
32.2–Radio and television transmitters; apparatus for telephones;
32.3–Radio and television receivers, audio or video recording and reproduction apparatus;
33–Medical, precision-measuring, optical and time-measuring devices, industrial services and work (Instruments and Automation Equipment)
33.1–Medical devices and equipment, surgical and orthopaedic resources;
33.2–Measuring, inspection, testing, navigation and other devices and equipments;
33.3–Equipment for controlling industrial processes;
33.4–Optical and photographic devices and equipment;
33.5–Time-measuring devices.
Heavy-Current Electrical Technology
Electrical machines and equipment have a stable position in the structure of the Czech electrical industry. Its main products are electric motors, generators and transformers, electricity distribution and switching equipment, cables and insulated conductors. In the recent several years, especially on the basis of foreign investments, the range of electrical industry products has been extended to include electrical equipment for the automotive industry. The technical level of products and services attains global standards. These products are mostly sold to countries within the European Union. Enterprises engaged in heavy-current electrical engineering employ 58 % of the people working within the electrical industry in the Czech Republic. The trade balance related to this commodity has been traditionally favourable. Foreign owners of large production organisations have carried out the needed modernisation of technologies, improved the organisation of production, and - most importantly - arranged new business connections.
Heavy-current electrical engineering accounted for approximately 50 % of production in the Czech electrical industry in the past, but resulting from the influence of greater production increase in other branches of electronics, its share fell, however, from the point of view of its production volume and its added value, the heavy-current electrical engineering still belongs among structure-creating fields of industry.
Computer technology
Most of the manufacturing plants within this branch were “Greenfield” projects, while to a limited extent, buildings of former enterprises were also used. These companies are strongly influenced by globalization or by the participation of foreign investment capital. The majority of produced computers is exported on global markets. Through supranational companies, Czech Republic has joined other territories with developed production of competitive computer technology. There are also successful software-designing companies in the Czech Republic, their operation being not only in relation to the localization of worldwide software products or to the delivery of these services to Czech enterprises or to state agencies.
Significant changes occurred in the production of electronic components and telecommunications. New production units came into being and the product range changed. Facilities for the production of equipment for higher-level telecommunication systems, radio and television transmitters and transmission systems were modernised; new production centres of supranational companies were built.