French construction confidence holds up

French construction industry managers’ confidence over future activity held up in August as it did the previous month, according to a l’Institut National de la Statistique et des Études Économiques (Insee) report monitored by Kallanish.

French construction companies’ general outlook for the sector remained optimistic regarding their activity over the next three months. However, fewer business managers in August than in the previous month considered that the level of their order books is higher than normal. Order books provided 8.7 months of work, above the long-term average of 5.8 months.

The capacity utilisation rate last month remained stable on July but production bottlenecks increased. “A quarter of business managers consider that they are unable to increase their production due to a lack of staff, a share virtually stable, at a high level,” Insee reports.

In August almost as many business managers as in the previous month eported an increase in their prices for the next three months. 

French rebar and other reinforcing steel prices remain stable despite the current significant scrap falls in the country.

Natalia Capra France