At 51.2 in October, down from 52.5 in September, the seasonally adjusted IHS Markit France Manufacturing PMI pointed to a weaker improvement in operating conditions. Notably, this represented only a modest improvement in business conditions that was the weakest in 25 months.

Eliot Kerr, Economist at IHS Markit, which compiles the France Manufacturing PMI survey, said: "For the first time since mid-2016, French manufacturing output contracted in October. There was also weaker new business growth as new export orders contracted for the third time in four months. Survey respondents frequently mentioned a subdued automotive sector in explaining October's weaknesses. "For French manufacturers, profit margins may be squeezed as output prices rose more slowly than input prices in October. The sharp input cost inflation was attributed to higher rates for oil, steel and aluminium."