France’s Economy Edges Up as War Fears Trigger Price Surge Concerns

France’s economy showed slight improvement at the start of the year, with growth reaching 0.3% in the first quarter, up from 0.2% in the previous quarter. This increase was partly driven by businesses rushing orders ahead of expected price hikes linked to the Middle East conflict. Activity remained steady across industry, services, and construction in March, supported by strong performance in sectors like aeronautics, nuclear power, and defense. Despite this momentum, uncertainty is rising. Businesses are becoming more cautious as supply chain disruptions and higher energy costs begin to bite, especially for petroleum-based products. Price increases are also expected to accelerate, with 23% of industrial firms planning hikes in April, up from 11% in March, signaling growing pressure on the economy.