FX.co ★ France Manufacturing Downturn Eases

The HCOB France Manufacturing PMI increased to 48.9 in March 2025, up from 45.8 in February, surpassing market expectations of 46.2, according to preliminary estimates. Although the sector continued to contract, the downturn was the mildest since the growth observed in January 2023, primarily due to a less pronounced decline in output. Nevertheless, factors such as domestic and international uncertainty, competitive pressures, and weak demand in key sectors like automotive, construction, and agriculture sustained the cautious outlook. Despite these challenges, optimism for enhanced activity reached its highest point in nine months.