Though with only a population of 10.6 million, the Czech Republic is one of the most prosperous and industrialized economies in central Europe and serves as an entry point for U.S. companies expanding beyond traditional markets in western Europe to the developing markets in the east. As the European Union (EU) member, the Czech market complies with EU market entry regulations.
Building on its geographical location and strong industrial base, the Czech Republic has opened its markets and attracted foreign direct investment. The economy has become highly integrated in global supply chains and economic growth has been strong, though volatile. As a medium-sized, open, export-driven economy, the Czech Republic is heavily dependent on foreign demand, especially from the Eurozone. More than eighty percent of Czech exports go to EU states, particularly Germany. Similarly, top suppliers of imports are Germany, Poland, and Slovakia. Although locally produced and EU-imported agricultural products dominate the Czech market, there are good opportunities for U.S. products, particularly at the upper end of the market.