France's economy rebounded by 0.2% quarter-on-quarter in Q2 2026, in line with market expectations and recovering from a revised 0.1% contraction in the previous period, preliminary estimates showed. The recovery was driven by net trade, which contributed 0.6 percentage points to growth, as exports rebounded 2.6% (-3.1% in Q1), outpacing a 0.8% increase in imports. Final domestic demand excluding inventories also returned to positive territory, contributing 0.1 percentage points after subtracting 0.2 points in the previous quarter, supported by a modest rebound in household consumption (+0.2% vs -0.3%) and stronger government spending (+0.4% vs +0.3%). However, gross fixed capital formation declined for a second consecutive quarter (-0.3% vs -0.8%). Meanwhile, inventory changes subtracted 0.6 percentage points from growth after adding 0.9 points in Q1. On a yearly basis, GDP expanded 0.7%, slowing from a revised 0.8% growth in the previous quarter.