Report
Is France’s problem competition from low-cost or high-cost countries?
We begin with the geographical structure of France’s external deficit. First, we see that France’s trade deficit is mainly with other European Union countries and not with emerging countries outside the EU. We then see that within the EU, France’s external deficit is above all with countries that have high labour costs and not countries with low labour costs. This leads us to seek an explanation for France’s market share losses and deindustrialisation not in costs, but in skills, innovation, product sophistication, etc. Given France’s situation, protectionism against emerging countries or EU countries with low labour costs would not be a cure for its deindustrialisation problem.
Provider
Natixis
Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.
Patrick Artus
Other Reports from Natixis
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.