French architecture in France

France PMI April 2024

France: Manufacturing PMI decreases in April

The HCOB France Manufacturing Purchasing Managers’ Index (PMI) fell to 45.3 in April from 46.2 in March. As a result, the index moved further below the 50.0 no-change threshold, and signaled a faster deterioration in manufacturing sector operating conditions compared to the previous month.

April’s decline in the PMI was primarily driven by a significant and accelerated decrease in new factory orders, with firms reporting reduced demand from key domestic sectors such as construction and transport, as well as subdued export demand from the U.S., Mexico, Germany, and parts of North Africa. This led to a marked decrease in production, with output levels contracting solidly and at the fastest rate for three months. Efforts to manage lower new business intakes included allocating more resources to clear backlogs of work, resulting in a sharp reduction in outstanding business volumes.

Meanwhile, input price inflation reached a 14-month high in April, driven by rising costs for oil-based products, steel, and foodstuff, marking the fastest pace of inflation since February 2023. Despite these cost pressures, competitive pressures prevented firms from passing on higher costs to clients, leading to a fall in average selling charges for the eleventh consecutive month. Lastly, French manufacturers expressed increased optimism towards the 12-month outlook, the most positive sentiment since April 2023, buoyed by hopes of economic growth in external markets and a recovery in demand.

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest