France's manufacturing climate drops to 3-month low

France’s manufacturing climate indicator dropped to 95.3 in January 2025, down from a revised 97 in December and below market expectations of 96.

France's manufacturing climate drops to 3-month low

This marked the lowest level in three months, as manufacturers grew more pessimistic about overall order books (-27 vs. -18 in December) and foreign order books (-19 vs. -8), both now falling below their historical averages. However, views on finished goods inventory were more positive (10 vs. 15), and assessments of expected workforce changes remained unchanged (-1). Expectations for personal production turned positive (1 vs. -1), and outlooks for general production improved slightly (-15 vs. -19).

Price expectations up, economic uncertainty eases

Additionally, expectations for selling price trends saw an uptick (9 vs. 2), and the indicator for perceived economic uncertainty declined to 29 from 32 in the previous period.