PM Modi on Slovakia tour.
Prime Minister Narendra Modi is on a visit to the European country Slovakia. He reached the capital Bratislava on Sunday night and met Prime Minister Robert Fico. For the first time after the independence of Slovakia, an Indian Prime Minister has reached here. This tour is special in many ways. Slovakia is the country which is called the car factory of Europe. Slovakia, with a population of 54 lakh, produces 10 lakh cars every year.
When Slovakia was part of the Czechoslovak Socialist Republic, the cars produced there were, by Western standards, substandard, noisy, fuel-guzzling, and slow. But after the Velvet Revolution of 1989 ousted the communist rulers from power, Volkswagen began investing in Czechoslovakian carmaker Skoda in 1991. After this, the process of manufacturing cars started here such that it came to be known as the car factory of Europe.
Presently there are many famous brands including Volkswagen, KIA, Jaguar, Land Rover. These companies run assembly plants in Slovakia, but design, engineering, branding, and profits all remain in the origin countries.
The car industry accounts for 13% of Slovakia’s GDP.
Why is it not written Made in Slovakia?
Slovakia is not called the car factory of Europe for no reason. The car industry here accounts for 13% of Slovakia’s GDP and 54% of industrial production. This accounts for 33% of industrial exports.Now let us understand why the name of the country is not written on cars. There are many brands here. For example, Volkswagen is a German brand. Kia South Korean and Jaguar Land Rover British. Stellantis European-American. All of these multinationals run assembly plants in Slovakia, but design, engineering, branding, and profits all remain in the parent countries.
Range Rover.
The cars here do not have the label of Made in Slovakia. Many reasons account for this. For example, under international trade rules, “Country of Origin” is the country where the main value of the product is created, i.e. where its brain (Research and Development, Design and Engineering) is. Parts imported from outside are assembled in Slovakia’s plants. Up to 50% of expensive components like battery cells come from outside.
If you understand in simple language, Slovakia has one hand and someone else is thinking. This is the reason why vehicles and their parts are not completely manufactured here and do not have the label of Made in Slovakia. Companies also consider the brand more influential than the country.
#WATCH | Bratislava | PM Narendra Modi meets Prime Minister of Slovakia Robert Fico at Bratislava Castle for their bilateral engagement
(Source: DD) pic.twitter.com/8sl2q7ZXpp
— ANI (@ANI) June 15, 2026
How was the fort built?
Now the question is how Slovakia became a car factory. The biggest reason for this is the cost of labour. The labor cost here was only 20% of that in Germany, that is why big companies came here. The geographical location of the country has also played a role behind this because this country is in the middle of Europe and excellent logistics made it ideal for exports.
Also read: No war, no blood, how did Slovakia get freedom from slavery? Where PM reached
