French industrial production rose sharply in January

According to the report from Insee, in January 2021, output bounced back in the manufacturing industry (+3.3%, after −1.4%) as well as in the whole industry (+3.3%, after −0.7%). Economists had expected a 0.5% increase in the whole industry. Compared to February 2020 (the last month before the first general lockdown), output remained lower in the manufacturing industry (−2.6%), as well as in the whole industry (−1.7%).

In January, output recovered sharply in “other manufacturing” (+3.9% after −0.8%) and in the manufacture of machinery and equipment goods (+8.4% after −3.3%). It remained dynamic in mining and quarrying, energy, water supply (+2.9% after +3.4%). It bounced back in the manufacture of food products and beverages (+1.6% after −2.0%) and in the manufacture of coke and refined petroleum due to the re-opening of several refineries that had been shut down over the previous month (+7.2% after−30.7%). Conversely, it fell back in the manufacture of transport equipment (−2.9% after +1.2%).

In January 2021, output yet remained below its February 2020 level in most industrial activities. It slumped in the manufacture of coke and refined petroleum (−27.3%) and in the manufacture of transport equipment (−16.0%), especially in the manufacture of other transport equipment (−22.9%). Compared to February 2020, output increased in the manufacture of machinery and equipment goods (+1.2%). It edged up in “other manufacturing” (+0.2%), thanks to pharmaceuticals (+25.6%), while most sub-branches in "other manufacturing" remained behind.