Slovak car industry is getting less competitive, experts warn

Economists evaluate wage costs, labour productivity as well as investments in R&D.

Volkswagen Slovakia has already interrupted production.  Volkswagen Slovakia has already interrupted production. (Source: Courtesy of VW Slovakia)

While the Slovak automotive industry remains one of the main pillars of the Slovak economy its competitiveness, compared to other countries, is worsening. This is due to the higher growth dynamics of wage costs over labour productivity, as well as too little investment in research and development.

Related articleAre the records of Slovak car industry getting a bitter undertone? Read more 

“The decrease in the cost-related competitiveness of the automotive industry may lead to a lower interest in investing in Slovakia, which will have a direct impact on the inflow of foreign investments,” said Alexander Matušek, president of the Slovak Automotive Industry Association (ZAP), during a presentation of the results of an analysis of the competitiveness of the local car industry. “We have been observing stagnation in this respect since 2015.”

ZAP commissioned the study from the independent Industriewissenschaftliches Institut in Vienna.

The rest of this article is premium content at Spectator.sk
Subscribe now for full access

I already have subscription - Sign in

Subscription provides you with:
  • Immediate access to all locked articles (premium content) on Spectator.sk
  • Special weekly news summary + an audio recording with a weekly news summary to listen to at your convenience (received on a weekly basis directly to your e-mail)
  • PDF version of the latest issue of our newspaper, The Slovak Spectator, emailed directly to you
  • Access to all premium content on Sme.sk and Korzar.sk

Get daily Slovak news directly to your inbox

Theme: Automotive

Read more articles by the topic

Top stories

Old-age pension scheme gains three new features

Brand new parental bonus raises concerns.

13 h
Ján Sýkora is an easy-going ice-hockey player who has got a great sense of humour.

Fashion brands mean nothing to me. Professional hockey player about his life in central Slovakia

In an entertaining interview, the down-to-earth ice hockey player, Ján Sýkora, talks about being a busy bee with a poor memory.

23 h
Štefan Holý

Deputy PM Holý lied about his exception when travelling to Britain

Corruption demonstrated by a scientist who was barred from travelling.

17 h

News digest: Weekend testing will be possible on buses as well as in companies

Numbers of victims of human trafficking is alarming. Coronavirus spreads among homeless people in Bratislava.

17 h