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- French manufacturing production contracted for the second month running, albeit marginally - Markit
French manufacturing production contracted for the second month running, albeit marginally - Markit
At 54.2 in November, the IHS Markit Flash France Composite Output Index was little changed from 54.1 in October, highlighting the joint-weakest rise in private sector activity in close to two years. Manufacturing production contracted for the second month running, albeit marginally. Anecdotal evidence suggested that the downturn reflected falling demand, particularly for autos, and challenging market conditions.
Commenting on the Flash PMI data, Eliot Kerr, Economist at IHS Markit said: “The latest flash results pointed to a second consecutive contraction in manufacturing production as goods producers continued to mention weak automotive sector demand. Nonetheless, overall private sector output growth remained solid as the service sector reported robust growth. “Despite input price inflation easing, panellists continued to cite higher raw material prices, particularly for oil. With pricing power muted, margins remained under pressure. “The latest survey responses also revealed that recent protests over fuel taxes adversely affected the economy, with some panellists blaming demonstrations for lengthened delivery times.”
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