French economy sees modest recovery amidst looming trade tariffs

Published 30/04/2025, 09:28
French economy sees modest recovery amidst looming trade tariffs

Investing.com -- The French economy has shown a slight recovery at the beginning of the year, amidst looming pressure from trade tariffs.

The gross domestic product (GDP) saw an increase of 0.1% in the three months leading up to March, according to the French statistics authority’s announcement on Wednesday. This growth, although modest, reverses the contraction observed in the previous quarter.

This growth rate was slightly below the 0.2% expansion that economists had anticipated, as per a poll conducted by the Wall Street Journal before the data was released. The growth was impacted negatively by foreign trade, as exports saw a decline in the quarter. This suggests that U.S. firms’ stockpiling ahead of the implementation of trade tariffs did not provide a substantial temporary boost.

In early April, President Trump introduced sweeping new duties of 20% on goods, including those from Europe. However, he later put these tariffs on hold for 90 days.

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