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French industry output plunges in October

Published 12/10/2008, 03:06 AM
Updated 12/10/2008, 03:10 AM

PARIS, Dec 10 (Reuters) - French industrial output plummeted in October, pulled down by the largest fall in auto production since August 1999, official data showed on Wednesday. Output fell 2.7 percent month-on-month in October, national statistics office INSEE said. That was largest drop since May and far worse than the forecast for a fall of 0.6 percent.

Output in the troubled car industry tumbled 14.3 percent.

French auto companies have been forced to cut back production as consumers, their budgets are hit by the financial crisis and a slowing economy, hold off from buying new cars.

The report also showed declines in production of energy, consumer goods, capital goods and intermediary goods. (Reporting by Anna Willard and Brian Rohan, editing by Mike Peacock)

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