FX.co ★ France Industry Confidence Weakens Slightly

In September 2025, France's manufacturing climate indicator dropped to 96, aligning with projections and down from 97 in August. This figure remains below the long-term average of 100. The dip was primarily caused by a significant reduction in past production levels, which fell from -1 in August to -8, marking the lowest point since 2013, excluding the pandemic years. Furthermore, general production prospects diminished further, decreasing to -14 from -12. Overall, order books became weaker, shifting from -20 to -23, and foreign demand saw a decrease from -15 to -17. However, inventories of finished goods rose above the average, climbing from 11 to 16. In terms of employment, businesses reported reduced past workforce levels, dropping from -2 to -4, although there was a slight improvement in future workforce expectations, which went from -2 to -1. Personal production prospects showed a strong recovery, soaring to 8 from -4, surpassing the average. Meanwhile, expectations for selling prices slightly declined, moving from 3 to 2. Examining sectors individually, sentiment declined in transport equipment but improved in the food and beverages sector and in machinery and equipment goods, while it remained steady in other manufacturing at 95, considerably below its historical average.