The IHS Markit France Manufacturing PMI was revised slightly higher to 50.4 from 50.3 in December of 2019. It compars with 51.7 in the previous month. The reading pointed to the slowest growth in factory activity in three months as several unions including transportation went on strike in December to protest against a reform of France’s pension system, which will see people need to work longer to get a full pension. Output slowed, employment stagnated and new orders contracted amid softening demand conditions. On the cost front, firms recorded the first rise in input prices since August, due to increased expenditure on pork, dairy products and raw materials. Output prices also increased. Finally, business confidence was the joint-weakest since April of 2016. Manufacturing PMI in France averaged 50.09 points from 2011 until 2019, reaching an all time high of 58.80 points in December of 2017 and a record low of 42.70 points in September of 2012. source: Markit Economics
Manufacturing PMI in France is expected to be 50.30 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Manufacturing PMI in France to stand at 52.70 in 12 months time. In the long-term, the France Manufacturing PMI is projected to trend around 54.00 points in 2020, according to our econometric models.