Industrial production rebound continues in France, but the pace is slowing

French industrial production rose by 0.3 percent in July after a 0.6 percent increase in June, reported ING. The rebound continues, although the pace is expected to slow in the coming months due to a slowdown in the recovery and supply constraints.

Manufacturing output also increased 0.6 percent after a 1 percent rise in June. After the sharp fall in February 2021, which wiped out some of the progress seen at the end of 2020, manufacturing output is now rising steadily and is now 5.5 percent below its pre-crisis level.

While the food industry already has recovered and exceeded its pre-crisis level by 2.6 percent, this is not the case for other segments. The manufacture of capital goods in July was 3 percent below its pre-crisis level, while the manufacture of transport equipment was still 25.5 percent below its pre-crisis level. The manufacture of transport equipment is suffering from two phenomena: the production of automobiles has been slowed down by supply problems