Read the analysis by Zdeněk Rod, a member of our Academic Council, which the evolution and current renaissance of the Czech defence industry—an historically resilient sector that has shifted from interwar export powerhouse, through wartime exploitation and communist centralisation, to post-1989 market restructuring. It shows that the industry today contributes roughly 1% of GDP, is overwhelmingly export-oriented, and is led by a small set of globally active firms (notably CSG, Colt CZ Group, and STV Group) with strengths in ammunition, land systems, small arms, aerospace, and advanced radar/electronics. The study explains how Russia’s war against Ukraine has accelerated demand, investment, and international relevance, while also identifying persistent constraints—limited participation in high-value strategic procurement, financing barriers (including ESG-related banking reluctance), labour and skills bottlenecks, and administrative hurdles in EU programmes. It concludes by assessing opportunities for deeper European cooperation and long-term capability growth if political support and industrial strategy are sustained.
Analysis by Zdeněk Rod: Defence Industry in Central Eastern Europe and the Defence Sector in the Czech Republic: Past, Present and Future
