Airbus and Safran Shares Climb as French PMI Signals Manufacturing Rebound

January 2, 2026 at 05:48 AM•2 min read

Airbus and Safran shares gained on the CAC 40, driven by positive French manufacturing PMI data that signals a strong rebound in export orders for the aerospace sector.

Key Points

1Airbus and Safran shares gained on the CAC 40, with Safran advancing 1.75% and Airbus up 1-1.5%.
2France's HCOB Manufacturing PMI rose to 50.7 in December, ending a three-month contraction and signaling the strongest improvement since June 2022.
3The PMI jump was driven by a nearly four-year high in new export orders, directly benefiting the French aerospace manufacturing sector.
4The positive data supports the outlook for aircraft production targets and signals easing supply chain constraints for manufacturers.

French aerospace giants saw strong gains on the CAC 40 index. Airbus stock performance climbed between 1% and 1.5%. Engine manufacturer Safran share price advanced by 1.75%. This movement occurred amid thin trading volumes. Investors were reacting to new regional economic reports.

Manufacturing Data Drives Optimism

Market sentiment was lifted by positive economic data. The latest HCOB France Manufacturing Purchasing Managers’ Index (PMI) was a key factor. The HCOB Manufacturing PMI rose to 50.7 in December. This figure is up from 47.8 in November. A reading above 50.0 signals sector growth. This ended a three-month period of contraction.

This marks the strongest improvement since June 2022. The data points to a major turnaround for French aerospace manufacturing.

Key PMI Details

New export orders increased at the fastest rate in almost four years.
Manufacturers reported rising sales across North America and Europe.
Employment also returned to a growth trajectory.

Economists note that the French aerospace manufacturing sector is poised to benefit. Large-scale defense and aerospace orders are expected. These orders are particularly strong from international clients.

Aviation Industry Impact

The positive French PMI contrasts with the wider Eurozone economic data. The HCOB Eurozone Manufacturing PMI fell to 48.8 in December. This indicates a faster pace of regional contraction. The strength of French exports, however, provides a buffer. This is crucial for major exporters like Airbus.

Airbus is expected to see a clearer path to its aircraft production targets. Easing supply chain constraints are helping the manufacturer. The market is pricing in the goal of 75 aircraft per month. This is a key metric for the global commercial aviation sector. Safran, a vital engine and equipment supplier, also benefits. The company is well-positioned in the defense and high-value equipment market.

Stronger manufacturing activity is a positive sign for the entire supply chain. It suggests better material flow for aircraft parts. Aviation stakeholders, including IATA and regulators like EASA, watch these trends closely. They indicate future capacity for the global fleet. The continued demand for new aircraft remains strong. This underpins the long-term outlook for manufacturers. For more commercial aviation news and market analysis, visit flying.flights.

Defense and aerospace stocks are leading the current market rally. This reflects confidence in both civil and military contracts. The improved PMI reading suggests a solid start to 2026 for French industry. This is despite lingering geopolitical and domestic uncertainty.