Research and Development: research effort from French companies reaches pre-crisis levels

In 2021, based on the provisional data exploited by the ministry, experimental research and development domestic expenditure from companies implemented in France reached 36.4 billion euros.

The keynote from the ministry details in several large sections the most buoyant markets, draws an analysis of the number of researchers and presents a map of most active French regions. The results presented in the keynotes come from a study carried out every year among companies.

Stability in industry

First leading sector, manufacturing industry registered stable R&D spending in 2021 after a decrease by 5.9% in 2020. The first three research industrial sectors, automobile industry, aircraft and space manufacturing and pharmaceutical industry, account for 28% of all expenditure:

- in automobile industry, engaged R&D domestic expenditure decreased by 10% in volume in 2021 (3.9 billion Euros), after a decrease in 2019 (-9.8%);

- in aircraft and space manufacturing, expenditure slightly increased in 2021 (+1.5%) after a deep drop in 2020 (-10.8%) to settle at 3.4 billion euros.

- in pharmaceutical industry, in 2021, R&D domestic expenditure stopped a decrease which started in 2008 (+1.3% after -5.5% in 2020) to settle at 2.8 billion euros.

Sharp pickup in services

Regarding services, R&D domestic expenditure in this industry continued to increase. They rose by 5.9% in volume in 2021 (after a +4.3% in 2020) to reach 10.8 billion euros.

Specifically, expenditure in publishing, audiovisual and broadcasting and specialised, scientific and technical activities increased sharply (+9.1% and +8.8%). However, according to the ministry, telecommunications continue to fall (-8.8% in 2021 after -4.5% in 2020).

R&D staff continue to grow

In 2021, companies implemented in France employ 303,000 people in full time equivalent in R&D activities. Overall R&D staff grew by 3.1% after a 3.6% increase in 2020.

According to the ministry, researcher and engineer staff in R&D (including Doctorate/PhD holders) are slightly less buoyant: in 2021, their number grew by 1.5% after a 4.1% spike in 2020.

Momentum in three regions

In 2021, three regions stand out: Île-de-France, Auvergne-Rhône-Alpes and

Occitanie are still the first three regions in terms of R&D domestic expenditure. In detail, these three regions account for 67% of total R&D domestic expenditure. They employ 64% of R&D staff and 68% of R&D engineers and researchers (including Doctorate/PhD holders).

To be noted however that the share of R&D researchers and engineers (including Doctorate/PhD holders) in all R&D is particularly high in Île-de-France (77%), Occitanie (71%), but also in Provence-Alpes-Côte d’Azur (71%), and Grand Est (70%) regions.