A global study comparing the suitability of locations for global manufacturers to expand in or relocate their operations to in EMEA, the Americas and Asia-Pacific places the Czech Republic fifth overall and first in Europe. Cushman & Wakefield’s study looked at a wide range of criteria, including costs of construction, labor and electricity, labor supply, risks (including economic, political and natural disaster) as well as the pace of adoption of technology. The Czech Republic didn’t make the top ten list on costs and was beaten by CEE rivals Poland, Lithuania and Romania. But when risks factors were given priority, the Czech Republic ranked 3rd in the world.
“While the Czech Republic is far from being the cheapest country for the manufacturing industry, considering not just the payroll costs for the local labor but also the costs of utilities, industrial development and administrative charges, it is rated as the best manufacturing destination in Europe primarily thanks to a high degree of security, relative political stability compared with countries in the east of Europe and also economic and corporate stability. In effect, the risks for investors are minimal. Its central position with strategic access to Europe’s main markets is a great advantage as well,” says Ferdinand Hlobil, Partner and Head of Industrial agency, CEE at Cushman & Wakefield.
