Paris, April 13 (Bloomberg) -- France's trade surplus widened in February to thelargest in nine months as more consumer goods and machinery were sold abroad. The surplus in the euro region's second-largest economy grew to 963 million euros($858 million) from a revised 190 million euros a month earlier, Customs Departmentfigures showed. Exports rose 2.2 percent to 27.9 billion euros, while imports fell 0.6percent to 27 billion euros. While there are signs a U.S. slowdown is spreading to Europe, France's economyremains the fastest-growing of the euro region's three biggest nations. Thegovernment expects an expansion of 2.9 percent this year. That compares withforecasts for 2.75 percent growth in Germany and 2.5 percent in Italy. ``We're exporting more and more,'' said Pierre Bauer, chief executive of Entrelec SA,a French maker of electrical equipment. ``Exports are still pulling us,'' he said. Even so, many analysts do expect that slower growth in the U.S., Japan and muchof Europe will erode French exports in the months ahead. The 12 nations sharing theeuro take about half of French exports, with nearly 15 percent going to Germany.About 9 percent are shipped to the U.S.
`Drag on Growth'
In the latest evidence Europe's economy is starting to flag, Italian industrialproduction fell 0.3 percent in February, the second straight decline, statistics bureauIstat said today. France's trade deficit with Germany widened by almost a fifth to 780 million euros inFebruary, today's report showed. The deficit with the U.S. stood at 10.4 millioneuros. Exports to Germany fell 5.4 percent. Those to the U.S. declined 0.3 percent. ``Trade will likely be a drag on growth this year, after boosting GDP last year,'' saidMartine Aubert, an economist at Credit Commercial de France in Paris. Aubertexpects slowing exports will shave 0.2 percentage points off France's expansion thisyear. Exports of agricultural goods and foodstuffs declined 2.1 percent in February as foodsafety concerns linked to BSE, or bovine spongiform encephalopathy, and foot-and-mouth disease hampered the appetite for French meat abroad.
Airbus Sales
And as exports are likely to slow further, consumers may not be relied on to pick upthe slack. Today's report also showed that imports of consumer goods, ranging fromclothing to mobile phones, declined by 4.1 percent in February. The same monthFrench shoppers cut back on domestic spending by the most in six month. Sales abroad of manufactured goods, ranging from furniture to computer chips,increased by 2.9 percent. Exports of manufactured products were boosted by 17 planes, sold by AirbusIndustrie, one of France's largest exporters after carmakers Renault SA and PSAPeugeot Citroen. That added 1.09 billion euros to exports, today's report showed.The 12 planes sold by Airbus in January were worth 936 million euros. While Airbus is owned by French, British, German and Spanish shareholders, thecompany's orders are included in the export figures for France. Payments receivedby Airbus' non-French partners are reflected in the current account figures. Economists surveyed by Bloomberg News expected a surplus of about 300 millioneuros in February.