France Q3 GDP Growth Beats Estimates

France’s economy expanded 0.2% qoq in Q4 2025, easing from a 0.5% rise in Q3 and matching market expectations, flash data showed. It marked the weakest quarterly growth in three quarters, reflecting a softer contribution from domestic demand. Government spending growth moderated (0.3% vs 0.7% in Q2), while fixed investment lost momentum (0.2% vs 0.7%). The investment slowdown was driven by weaker outlays on transport equipment, capital goods, and construction. Inventory changes remained a drag on growth, subtracting 1.0ppts. In contrast, household consumption accelerated (0.3% vs 0.1%), supported by faster growth in goods spending and a further rise in services consumption. Net trade provided a strong boost, contributing 0.9ppts, with exports slowing sharply (0.9% vs 3.2%) and imports falling (-1.7% vs 1.5%). On an annual basis, GDP rose 1.1%, accelerating from 0.9% in Q3 but slightly below the 1.2% forecast. Still, it marked the strongest yearly expansion in five quarters.

France’s economy expanded by 0.5% quarter-on-quarter in Q3 2025, accelerating from 0.3% in the previous quarter and confirming preliminary estimates. This marks the sharpest quarterly expansion since Q2 2023, supported by firm domestic demand and a rebound in exports. Exports jumped 3.2% after 0.3%, driven by a strong recovery in transport equipment (+13.4%), while imports rose at a softer pace of 1.3% after 1.5%. As a result, net trade contributed +0.6 points to growth. Meanwhile, household consumption increased 0.1%, unchanged from Q2, as lower food spending (–1.0% after +1.5%) was offset by a rebound in energy demand (+1.3% after –2.3%) and slight growth in services (+0.1%). Fixed investment rose 0.5% after stagnating, supported by stronger information and communication (+1.7%) and capital goods (+1.7%). Government consumption remained steady at +0.5%. On an annual basis, GDP expanded 0.9%, up from 0.7% in Q2, marking the strongest growth in a year.

France’s economy expanded by 0.5% quarter-on-quarter in Q3 2025, accelerating from 0.3% in the previous quarter and well above market expectations of 0.1%. This marked the fastest quarterly growth since Q2 2023, supported by a sharp rise in exports and solid domestic demand. Exports jumped 2.2% (vs +0.3% in Q2), led by strong performance in transport equipment, particularly aerospace, as well as in the chemical and pharmaceutical sectors. Meanwhile, imports declined 0.4% (vs +1.4% in Q2), resulting in a 0.9 percentage point contribution from net trade. On the domestic side, final demand added 0.3 percentage points to GDP growth. Fixed investment rose 0.4% after stagnating in Q2, buoyed by a rebound in manufactured goods, especially capital goods and transport equipment. Household consumption remained stable at +0.1%, while inventory changes subtracted 0.6 percentage points. On an annual basis, GDP rose 0.9%, representing the strongest yearly growth in four quarters.