France’s economy contracted by 0.1% quarter-on-quarter in Q3 2026, following stagnation in Q2, defying expectations of a 0.1% expansion, preliminary estimates showed. Net trade subtracted 0.6 percentage points from GDP growth, reversing a positive 0.6-point contribution in Q2, as exports fell 1.7% after rising 2.8%, while imports edged up 0.1% following a 0.9% increase. Gross fixed capital formation also fell for a third consecutive quarter, declining 0.6% after a 0.5% drop in Q2. Meanwhile, domestic demand excluding inventories continued to support growth, contributing 0.1 percentage points, unchanged from the previous quarter. Household consumption accelerated to 0.4% from 0.2%, while government consumption rose 0.3%, easing from 0.4%. Inventory changes contributed 0.4 percentage points to GDP growth after subtracting 0.7 points in the previous quarter. On a yearly basis, GDP also shrank by 0.1%, marking the first contraction since Q4 2020.