France's Economy Shrinks 0.1% in Third Quarter as Exports Drop

France's economy contracted by 0.1% quarter-on-quarter in the third quarter of 2026, falling short of the forecasted 0.1% expansion and declining 0.1% year-over-year. The downturn followed flat growth of 0.0% in the second quarter and a 0.2% contraction in the first quarter. Output was weighed down by a 1.7% slump in exports, which deducted 0.6 percentage points from overall growth, alongside a 0.6% drop in business investment. Domestic demand provided modest support, with household consumption increasing 0.4%, government consumption up 0.3%, and inventories contributing 0.4 percentage points to GDP.