France is to cut tax on petrol to ease the pain of rising prices on households.
Prime minister Jean-Marc Ayrault said the government's "unilateral" reduction, would be small and temporary, but gave no further details.
The announcement during a TV interview came as president Francois Hollande was to host his first cabinet meeting after the traditional August holiday in France.
Like many other European countries, the French government is facing concerns about a sluggish economy and debt-ridden state finances.