France's Trade Deficit Hits €7.6 Billion in May 2025

France's trade deficit has increased significantly, reaching €7.6 billion in May 2025, according to recent customs data. This marks a critical escalation from an already substantial gap of €7.2 billion reported in April, which was adjusted from an earlier estimate of €7.4 billion.

The primary driver behind the widening deficit was a substantial decline in exports, which fell by €1 billion, while imports decreased by €600 million. Over the past year, France has accumulated a staggering cumulative trade deficit of €80 billion, following a total of €81 billion recorded in 2024. This trend underlines a continuing struggle for the French economy, as the nation has not seen a trade surplus in goods since 2002.

Despite the dismal overall trade situation, there has been a notable improvement in the energy balance, with imports of energy declining more sharply than exports, suggesting some easing in energy dependency and expenditure. However, this adjustment does little to offset the broader trade imbalance.

The growing trade deficit highlights ongoing challenges in the French economy, where shrinking export volumes raise concerns among policymakers and economists regarding competitiveness in the global market. France's situation is especially alarming considering the historical context, as the country has struggled to achieve a stable balance of trade for over two decades.

"The ongoing deficits may underscore structural issues in our economy that need urgent attention," an economist noted, emphasizing the need for strategies to bolster exports and address economic vulnerabilities.

As the French government prepares to address the ramifications of this deepening deficit, discussions surrounding potential trade initiatives and economic reforms are likely to intensify in the coming weeks.