Boston, MA -- (SBWIRE) -- 01/06/2014 -- Light vehicle production in the Czech Republic declined 7.2% year-on-year (y-o-y) over the first nine months of 2013, to 834,198 units. The majority of production in this segment is for export, with Europe the main destination; the decline in output has moderated over the last few months on the back of improvements in regional sales.

Previously, BMI forecast an 8.0% decline in the country's passenger car output in 2013, as we held a bearish view on European autos sales. However, the regional market has picked up somewhat more than we had anticipated, with strong sales growth for the brands operating in the Czech Republic, and this has boosted output volumes. Accordingly, we now forecast a 5.0% decline in 2013.

View Full Report Details and Table of Contents

Sales

Czech household consumption remains relatively weak as government austerity measures erode disposable income and keep unemployment high. There are, however, signs that consumer confidence has improved somewhat over the last few months, although it remains weak, suggesting that the decline in sales may continue moderating in 2014 (see 'A Turnaround In H213', September 13). However, modest improvements in overall private consumption are likely to translate to only a slight uptick in big ticket purchases. We forecast vehicle sales to grow 3.1% in 2014, to 185,604 units.

In the longer term, there is still pent-up demand yet to be fulfilled, as the market is still below its pre-crisis levels. Passenger car sales fell 11.4% in 2009, rose 4.7% in 2010, and increased 2.4% in 2011. Czech passenger car sales reached their peak in 2008, at 182,554 units. While we expect a recovery in 2014 and beyond, our growth forecast over the 2014-2017 period shows that we do not expect sales to reach their 2008 high in this period.

About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

Browse all Transportation research reports at Fast Market Research

You may also be interested in these related reports:

- Russia Autos Report Q1 2014
- Thailand Autos Report Q1 2014
- Serbia Autos Report Q1 2014
- Algeria Autos Report Q1 2014
- Hungary Autos Report Q1 2014
- Italy Autos Report Q1 2014
- China Autos Report Q1 2014
- Indonesia Autos Report Q1 2014
- Australia Autos Report Q1 2014
- Malaysia Autos Report Q1 2014