Advanced industrial technologies

The Czech Republic enters 2026 as one of Europe's most industrially advanced economies, distinguished by a technologically sophisticated production base. The country consistently ranks among the world's top economies in the Economic Complexity Index, reflecting the diversity of its exports. Manufacturing accounts for more than one quarter of Czech gross value added, placing the country among the most industrialised globally.

Mechanical engineering and industrial production have formed the backbone of the economy since the 19th century. This tradition is complemented by a stable macroeconomic environment, strong technical education and a dense network of R&D institutions. These factors create an attractive setting for advanced manufacturing and the localisation of high-value-added activities.

The Czech Republic hosts manufacturing plants and R&D operations of global leaders, including ABB, Siemens, Bosch, Honeywell, GE Aerospace, Daikin, Hitachi Energy, Sandvik, Komatsu and Edwards. These investments reflect long-term confidence in Czech engineering capabilities, productivity and the availability of skilled technical talent.

Czech industry is competitive in specialised high-tech niches, including the manufacturing of electron microscopes, advanced machine tools, precision measurement systems and monocrystalline materials. Czech companies are also active in advanced materials research, such as nanostructured polymers and functional coatings. In machine tools, the country remains one of Europe's leading exporters per capita, while the share of high-tech products in total exports has exceeded 20%.

Applied nanotechnology and advanced materials represent a rapidly growing segment. Building on traditions in chemistry and electronics, Czech research institutions have developed globally recognised capabilities in electron microscopy and nanofibre production. These competencies are translated into commercial applications in semiconductors, nanomedicine and energy storage. A stable pipeline of graduates continues to support the transition from laboratory research to industrial deployment.

Digitalisation and automation are reshaping industrial production. Companies are integrating robotics, industrial artificial intelligence, additive manufacturing and digital twins into production processes. The Czech Republic has become a strong location for industrial software development and system integration, enabling manufacturers to increase efficiency and resilience.

A key differentiator of the ecosystem is its support for translating innovation into market-ready solutions. Through Technology Incubation operated by CzechInvest, the country aims to support up to 270 innovative startups, with approximately 240 companies already in incubation by 2025. Around 40% of these startups originate from technology transfer, strengthening the link between academia and industrial deployment.

In 2026, advanced industrial technologies in the Czech Republic combine deep roots with a forward-looking approach to digitalisation and materials innovation. This positions the country as a highly competitive destination for advanced production and long-term industrial investment.

Filip Krůta
Director of Innovation Department
CzechInvest
filip.kruta@czechinvest.gov.cz
www.czechinvest.gov.cz