Informations Rapides · 23 July 2026 · n° 179

In July 2026, expected demand by industrials, mostly foreign, has rebounded Quarterly business survey (goods-producing industries) - July 2026

In July 2026, business leaders in the manufacturing industry are more optimistic than in the previous quarter about the evolution over the next three months of demand, particularly foreign demand. Moreover, balances of opinion on the expected change in investments and general prospects for change in hourly wages have significantly increased. Finally, industrials anticipate a deceleration in their selling prices.

In July 2026, the balances of opinion on the expected change in demand, both global and foreign, have rebounded, the one on foreign demand more strongly. Both have moved away from their long-term average. Regarding past changes, the associated balance of opinion for global demand has fallen back but remains above its average, while the one relating to foreign demand has increased for the fourth consecutive quarter and has reached its highest level since October 2022, significantly above its average.

The balance of opinion on the expected change in investments over the next three months has significantly increased again, more markedly than usual in July (for these series not seasonally adjusted, collected since October 2021). It has moved back above its average.

The share of industrial companies at the limit of their production capacity has slightly decreased in July 2026: 42% report that they would not be able to increase their production with their current means if they received more orders, after 44% in the previous quarter. This proportion remains significantly above its average. At the same time, the balance of opinion relating to the judgement of business leaders in the sufficiency of their production capacities given the expected change in orders over the coming months is stable, well below its average. The production capacity utilisation rate has slightly increased again: at 82%, it stands just below its average level.

Between April and July 2026, the proportion of business leaders reporting hiring difficulties has slightly rebounded to 37%. This share stands slightly above its long-term average.

In July 2026, business leaders report, on average, that their selling prices have increased by 1.5% over the last three months. It is the highest quarterly change since April 2011 excluding the inflationary period between mid-2021 and mid-2023. For the next three months, they anticipate a deceleration in their selling prices (+0.2%).

The balance on general prospects for change in hourly wages in the manufacturing industry has increased sharply this quarter, marking a third consecutive quarter of growth. It has reached its highest level since April 2024, but remains well below its long-term average.

The cash-flow situation of industrial enterprises is deemed less deteriorated than in April: the associated balance of opinion has rebounded more markedly than usual in July (series not seasonally adjusted, collected since October 2021).