A marginal revision higher but it still points to a renewed downturn in the French manufacturing sector to wrap up Q2. Falling new orders amid muted demand conditions remain the main concern as it has been since last year. HCOB notes that:
"Over the course of 2025, the headline HCOB PMI for France’s manufacturing sector had shown a marked improvement, edging closer to the expansion threshold by May. However, this positive momentum came to a halt in June, with the headline manufacturing index declining for the first time this year. The deterioration can largely be attributed to two key subcomponents. First, output contracted again after two consecutive months of modest growth, with several panellists citing persistent weakness in the automotive sector as a contributing factor. Second, domestic demand—which had exhibited a clear recovery trend since the beginning of the year—saw a notable loss of momentum in June. As a result, the fragile recovery path of French manufacturing has suffered a significant setback. The key question now is whether this represents a temporary correction or the premature end of a hard-won rebound.
"Looking ahead, there are still reasons for cautious optimism. Despite the decline in the headline index, future output expectations continued to improve in June, extending their upward trajectory. This optimism likely reflects a combination of factors: the European Central Bank’s recent monetary easing, planned increases in defence-related investment, and EUlevel initiatives aimed at reducing regulatory burdens. Labour market dynamics, however, remain subdued. The employment subindex has hovered around the neutral 50 mark for the fourth consecutive month, suggesting stagnation in industrial hiring activity.
"Price developments present a mixed picture. Output prices declined marginally for the fourth month in a row, likely reflecting ongoing competitive pressures. At the same time, input prices remained above the growth threshold, indicating continued cost increases. This divergence is placing further pressure on firms’ profit margins."
This article was written by Justin Low at www.forexlive.com. Read More Details
Finally We wish PressBee provided you with enough information of ( France June final manufacturing PMI 48.1 vs 47.8 prelim )
Also on site :
- 'Secret Lives of Mormon Wives' Stars Join 'Dancing with the Stars' Season 34
- Greenland has a message for the rest of the world: Come visit
- US accuses Harvard of anti-Semitic harassment of Jewish students, staff