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Ústí: The Heart of Czech Industry
( 08 / February / 2008 )
Ústí: The Heart of Czech Industry
Basic facts
Population: 823, 173
Unemployment: 11%
GDP: EUR 7.376 million
Last year, 31 foreign and domestic investors brought almost CZK 20 billion into the Ústí region. This figure pushed Northern Bohemia into the lead in the regional statistics. New investment has already significantly helped to bring down the unemployment rate (which is still the highest in CR) and will ensure the creation 6,508 new jobs in the coming years.
The Ústí region is one of the most industrialised areas in the Czech Republic. The regional capital, Ústí nad Labem, which is located roughly one hour from Prague, has always been a home to traditional industrial sectors such as chemicals, food and engineering.
Due to its strategic location, it represents an important transportation and communication hub not only for the Czech Republic, but also for Europe as a whole.
As the proximity to Germany suggests, the majority of investors come from the Czech Republic’s biggest neighbour, nonetheless the location is equally attractive for British and American investors. Many of the new investors have successfully settled in the local industrial zones (Triangle, Kadaň, CTPark Teplice, etc.).
Nonetheless, manufacturing investors in the North are increasingly considering alternative options such as reconstruction of a brownfield site as opposed to a greenfield investment. EU funds afford great opportunities to co-finance such reconstruction.
There are many reasons to invest in the Ústí region, including the local industrial tradition, good infrastructure, well-developed transportation network, a skilled work force, relatively low labour cost, a good base for university and higher education and an improving environment.