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France: Strikes hit industrial production in October

December 10, 2010

In October, industrial output contracted 0.8% over the previous month in seasonally adjusted terms. The contraction followed on a marginal expansion of 0.1% tallied in September. On an annual basis, industrial activity decelerated from a 5.6% rise in September a to 4.7% expansion. The monthly contraction was broad-based with all main sectors contracting over the previous month. Manufacturing contracted 0.8% month-on-month, mainly due to a plunge in the manufacture of coke and refined petroleum (-56.5% mom), which was the result of protests that blocked ports and triggered the shutdown of refineries and petrochemical plants. Meanwhile, construction contracted 0.7% and mining, energy, water and waste management dropped 0.5% mom. Despite the negative October reading, the trend continues to improve, with annual average growth of industrial output jumping from 3.1% in September to 4.3% in October.


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