The HCOB France Manufacturing PMI fell to 41.9 in December 2024 from 43.1 in November, matching preliminary estimates and marking the steepest contraction since May 2020.
French manufacturing PMI falls to 41.9
Weak demand drove a sharp decline in new orders, triggering the steepest production cut since May 2020. Input purchasing also dropped at the second-fastest pace of the year, while stocks of purchases fell at their fastest rate since June 2009. Employment declined at a five-month high, and backlogs were cleared at the quickest pace in over four years. Firms lowered prices for the third month to boost sales despite a slight increase in input costs.
Subdued sentiment amid demand and political worries
Business sentiment remained subdued, with concerns over weak demand, political uncertainty, and hesitant client investments clouding the outlook.
