France Manufacturing Unexpectedly Contracts in May

France’s S&P Global Manufacturing PMI fell to 48.9 in May 2026, slipping back into contraction after five months of expansion and down from 52.8 in April, preliminary estimates showed. The reading also defied expectations of continued expansion at 52.2, as output declined amid weaker demand conditions, with firms citing higher fuel and energy costs, material shortages, and broader economic uncertainty as key factors weighing on production. The manufacturing output index shed more than 6 points on the month to 46.4. Price indices also continued their ascent in May, signaling a further rise in inflationary pressure, with input costs rising at a faster pace, as metal- and oil-based products featured heavily in supplementary survey responses.

France’s S&P Global Manufacturing PMI rose to 52.8 in April 2026 from 50.0 in March, confirming initial estimates and marking its strongest growth since May 2022. New orders and output expanded at their fastest pace since early 2022, driven by client stockpiling ahead of higher prices and disruptions. Purchasing activity rose for only the second time in four years, with inventories of inputs and finished goods increasing due to precautionary stock building linked to Middle East tensions. Export orders declined despite stronger domestic demand. Supply-chain pressures remained elevated, with delivery delays from shortages, logistics issues, and rerouted shipping, pushing backlogs to their highest since February 2022. Employment fell for a third month. Input cost inflation rose to a near four-year high, while output prices increased at the fastest pace since February 2023. Business confidence improved but remained weak amid geopolitical risks.

France’s S&P Global Manufacturing PMI rose to 52.8 in April 2026 from 50 in March, defying market expectations of 49.5 and marking the highest level since May 2022, flash estimates showed. Manufacturing output rebounded strongly, reaching a 50-month high, as client precautionary stockpiling drove order intakes into expansion for the first time in nearly four years. Firms increased inventories of both pre- and post-production goods amid changes in procurement strategies due to the Middle East conflict. The survey indicated that customers brought forward purchases amid concerns over higher prices, supply shortages, and logistics issues. However, manufacturers continued to reduce headcount, contributing to a buildup in backlogs. Cost pressures also intensified, with input prices rising at the fastest pace since June 2022, while output price inflation accelerated to a 38-month high.