PRAGUE – Labor rates and operating expenses are rising in the Czech Republic, leading electronics manufacturers to evaluate opportunities in other parts of Eastern Europe, Asia and Africa. This is a change from 2004 to 2007, when the electronics manufacturing industry grew by leaps and bounds. Meanwhile, the country may move to design and other services to make up for any manufacturing losses.

“Rising operating expenses in the Czech Republic have forced a number of electronics manufacturers to consider other possible alternative locations in Europe so that they still save on manufacturing costs without compromising on proximity to the market,” says Frost & Sullivan analyst Harish Natesan. “The Czech Republic is also expected to witness a marked growth in design services against manufacturing in the coming years as there is an increasing demand for localized design activities in the country.”

Frost will discuss the state of the Czech electronics manufacturing market in a free telephone and web briefing Sept. 24. To participate, email Joanna Lewandowska at joanna.lewandowska@frost.com with the following information: your full name, company name, title, telephone number, email address, city, state and country.