Trade Deficit Widened to €7.3 Billion in September, Hit by Energy Prices

France's trade deficit worsened by 1.3 billion euros to reach 7.3 billion euros in September, due to a "sharp increase" in imports which was only partially offset by the increase in exports, customs said on Friday. In September, imports increased by 2.4 billion euros, to 62.7 billion, due to increased energy supplies, especially refined petroleum products. Exports increased by one billion euros, to 55.3 billion, thanks in particular to aeronautical deliveries to the Near East and the Middle East.

By geographical area, customs underline that the trade balance deteriorated with Asia (-0.7 billion euros), especially China, due to an increase in supplies of computer equipment, as well as with America (-0.5 billion euros) due to an increase in imports of natural hydrocarbons from the United States. The balance also deteriorated with the countries of the European Union (-0.5 billion euros) and Europe outside the EU (-0.4 billion), while it improved with the Near and Middle East (+0.6 billion euros) and Africa (+0.4 billion). Cumulative over twelve months, the trade deficit stood at 64.4 billion euros in September.

Furthermore, the current transactions deficit, which includes the balance of goods, services and income, reached 2.7 billion euros, almost double that recorded in August (1.4 billion euros), due to a deterioration in the deficit in trade in goods, the Bank of France indicated on Friday. The latter widened by 1.1 billion euros, to 6.2 billion, due to “both an increase in the deficit for goods excluding energy (-2.0 billion euros in September after -1.5 billion in August) and an increase in the energy bill (-4.2 billion euros in September after -3.6 billion in August)”. The surplus on trade in services remained stable at 4.9 billion euros.

Cumulated over 12 months, the current account deficit amounted to 13.7 billion euros, compared to -15.8 billion a year earlier.

Machine-translated from French