Analyst: Czech industry saw its biggest monthly drop since July 2023

Domestic industrial production in the Czech Republic fell month-on-month in January by the largest amount since July 2023. According to analysts, the increase in new orders by about 10% is a positive sign. However, the future development remains uncertain due to the war in the Middle East.

Industrial production in the Czech Republic slowed its year-on-year growth to 2.8% in January, while compared with December 2025 it fell by 2.6%.

“After four consecutive months of rising industrial production, January brought a sobering result in the form of the sharpest monthly decline since July 2023. The manufacturing sector in particular showed a very weak result, falling by 3.8% month-on-month,” stated analyst at Investika Vít Hradil.

From a broader perspective, the overall result is industrial stagnation, as total output has remained practically unchanged since 2018, he added.