France: Industry deteriorates unexpectedly in July
September 10, 2013
In July, industrial production fell a seasonally adjusted 0.6% over the previous month, which defied market expectations of a 0.5% increase. The print followed a sharper 1.4% decline seen in June. The largest decline was tallied in the manufacturing sector, mainly in the production of coke and refined petroleum products as well as in transport equipment.
On an annual basis, industrial output dropped 1.8% in July, exceeding the 0.1% decrease recorded in June. Despite the negative print, annual average growth in industrial output was unchanged over the previous month at minus 1.7%, as recorded in July.
FocusEconomics Consensus Forecast panelists expect industrial production to contract 1.3% this year, which is up 0.3 percentage points from last month's forecast. For 2014, participants expect industrial output to drop 1.2%.