Moderate French GDP growth in Q2 2025; foreign trade's role negative

Final domestic demand (excluding inventories) was sluggish (zero contribution to growth, minus 0.1 points in Q1 2025).

Household consumption rebounded by 0.1 per cent in Q2 2025 after a 0.3-per cent drop in Q1, while gross fixed capital formation continued to fall—minus 0.3 per cent in Q2 after minus 0.1 per cent in Q1.

Foreign trade kept contributing negatively to GDP growth in Q2 2025—minus 0.2 points after minus 0.5 points. Exports rebounded slightly by 0.2 per cent QoQ in Q2 after a 1.1-per cent drop in Q1, while imports accelerated by 0.8 per cent QoQ in the quarter after a 0.3-per cent rise in the preceding quarter.

Finally, changes in inventories made once again a positive contribution to GDP this quarter: plus 0.5 points after plus 0.7 points in Q1 2025, an INSEE release said.

Production in the manufacturing industry slowed in Q2 2025 to a 0.1-per cent rise QoQ after a 0.5-per cent QoQ increase in Q1. It continued to fall sharply in refineries (minus 10.6 per cent after minus 3.5 per cent in Q1) as a result of maintenance shutdowns at several sites in April and May.

Energy consumption fell sharply by 2.4 per cent after a 0.8-per cent rise in Q1 2025.

ALCHEMPro News Desk (DS)