France Industrial Output Unexpectedly Falls

Industrial production in France fell 0.7% month-on-month in February 2026, reversing a downwardly revised 0.2% gain in the previous month and defying market expectations of a flat reading. Manufacturing output stalled after rising 0.2% in January, as a contraction in transport equipment (-0.8% vs 8.5%) was offset by a rebound in other industrial manufacturing (0.4% vs -1%) and a softer decline in agri-food products (-0.8% vs -0.9%). Overall industrial activity was further weighed down by mining, quarrying, energy, and water supply, which dropped sharply to 3.2% from a 0.3% increase, driven by a decline in electricity, gas, steam, and air conditioning (-3.2% vs 0.2%). Meanwhile, construction output decreased at a softer pace (-1.3% vs -1.4%), reflecting more moderate declines in civil engineering (-5.3% vs -6.7%) and building construction (-0.4% vs -3.6%). On a yearly basis, industrial output slipped 0.3% from a 1.9% gain in January 2026.

Industrial production in France rose 0.5% month-on-month in January 2026, in line with market expectations, rebounding from a 0.5% decline in December. Manufacturing output increased 0.6% after falling 0.7% the previous month, driven solely by a surge in the manufacture of transport equipment (+9.9% vs -12.8% in December), particularly other transport equipment (+19.1% vs -20.1%) and more specifically in aerospace construction. Conversely, output fell mainly in food products and beverages (-0.8% vs +1.9%), coke and refined petroleum products (-3.4% vs -0.9%), and computer, electronic, and optical products (-0.5% vs +1.9%). Production in mining and quarrying, energy, and water supply was stable (0.0% vs +0.1%), while construction output declined 1.4% as all construction activities fell. On a yearly basis, industrial activity rose 1.9%, while on a three-month basis it increased 0.1% compared with the prior period.

Industrial production in France fell by 0.7% month-on-month in December 2025, reversing an upwardly revised 0.1% gain in the previous month and defying market expectations of a 0.2% increase. This marked the first decline since August, as manufacturing output slipped (-0.8% vs 0.5%), driven mainly by a sharp fall in the manufacture of transport equipment (-9.9% vs 3.8%). The drop was led by declines in the manufacture of other transport equipment (-15.8% vs 4.3%), particularly in aerospace construction, where the steep fall in December offset the gains recorded over the previous three months. Moreover, output in water supply, sewerage, waste management and remediation fell significantly (-2.1% vs -0.2%). In contrast, output declined at a softer pace in mining and quarrying (-0.2% vs -1.7%) and electricity, gas, steam and air-conditioning supply (-0.1% vs -1.8%). On a quarterly basis, industrial production rose 0.3%, while the year-on-year output increased 1.8%.