French industrial production experienced another drop in October, defying expectations for a modest recovery and indicating a slowdown across the eurozone.
According to the latest report from national statistics body Insee, total production in French industry decreased by 0.3% compared to the previous month. This follows a 0.6% drop in September, which was revised down from an initial estimate of a 0.5% decline.
Economists had anticipated a slight upturn in output for October, as revealed in a poll conducted by The Wall Street Journal. However, this marks the third consecutive month of declining production in the second-largest economy in the eurozone, underscoring the impact of tight monetary policy throughout the currency bloc. The broader French economy only expanded by 0.1% between July and September, and experts predict minimal growth in the final quarter of the year.
Despite the overall decline, the manufacturing and food industries did experience some growth in October, as reported by Insee. Conversely, extractive industries and electricity generation saw a downturn, and construction output also suffered a decline during the month.