French industrial production fell 2.6% in May on the month, as the production of cars, energy and consumption goods shrank, national statistics institute Insee said Thursday.

A Dow Jones Newswires survey of economists forecast a more moderate fall of 0.5%. The April data were revised up to show an increase of 1.5% on the previous month, from the 1.4% initially estimated.

Car production fell 8% on the month, while consumption goods output and machinery declined 1.3% and 1.1%, respectively, Insee said.

After displaying unexpected resilience to the global slowdown in the first three months of the year, the euro-zone economy slowed in the second quarter, and France is following suit.

The outlook for France has worsened as signs of a slowdown appear in Germany, which accounts for about 15% of French exports. Industrial output in the euro zone’s largest economy fell for the third month in a row in May, down 2.4%.

Source: http://www.djnewswires.com/eu

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