Rising oil and gas prices worsen France's trade deficit in the first quarter

French customs data released on the 7th show that, affected by the Middle East situation driving up international oil and gas prices, France’s trade deficit in the first quarter of this year expanded to 14.1 billion euros, an increase of 2.8 billion euros from the previous quarter. The data indicates that France’s import value in the first quarter increased by 1.8% quarter-on-quarter, mainly driven by increased imports of energy products, particularly natural hydrocarbons. Moreover, imports of pharmaceuticals, automotive products, as well as computer, electronic, and optical products also saw rapid growth. During the same period, export value grew by 0.1% quarter-on-quarter, primarily benefiting from military equipment exports reaching a historic high. France increased energy product imports from the United States. The data show that the share of the United States in France's total crude oil imports has risen from a quarter in 2025 to slightly more than a third this quarter. French publication Les Echos cited Allianz Trade’s senior economist Maxime D’Arme warning that if the conflict continues, France’s external trade situation may further deteriorate in the second half of the year. The slowing economic activity in many countries could weaken international demand for French goods and services. (Xinhua News Agency)