In an election seen as a referendum on whether French society must change for the 21st century, France's voters chose Nicolas Sarkozy as their new president.

"The people have chosen change. France needs it, I will do it," the 52-year-old former interior minister told his supporters on Sunday after winning 53 per cent of the vote in the presidential election.

"Like Thatcher in Britain, like Reagan in the United States, Sarkozy will change things," said supporter Thierry Gauvert, 55.

Sarkozy has big plans for his first 100 days in office. One proposed bill would make overtime pay tax-free to encourage people to work more, and another would put in place tougher sentencing for repeat offenders.

The charismatic but divisive 52-year-old rightist, who succeeds Jacques Chirac, reached out to French citizens in his first speech as president-elect.

"To all those French who did not vote for me, I want to say that beyond political battles, beyond differences of opinion, for me there is only one France. I want to tell them that I will be president of all the French," he told hundreds of jubilant supporters in central Paris.

As Sarkozy's supporters celebrated, riot police were firing tear gas into a crowd gathered at the Place de la Bastille in Paris. Small bands of youths described by BFM TV as "militant anarchists" hurled bottles, stones and other objects at police. Police fired tear gas in an effort to disperse the crowd.
 
In Lyon, in southeast France, police fired flashballs at a crowd of some 150 people angry over Sarkozy's victory. The group was apparently trying to upset a victory party by Sarkozy supporters.

Two officers were slightly injured and police detained three people.

Reaction
 
A fan of the United States -- but one who thinks the Iraq war was a mistake, Sarkozy said America can "count on our friendship." However, he urged the U.S. to take the lead in the fight against climate change and said the issue would be a priority for France.

U.S. President George W. Bush phoned Sarkozy to offer congratulations.

Quebec Premier Jean Charest issued a congratulatory statement. "The election campaign was followed with great interest by Quebecers, who eloquently attest to the importance and quality of the links that unite us,'' he said. "The relationship between our two nations is rich and essential."

Segolene Royal, his Socialist opponent, conceded defeat and wished Sarkozy well.

"Universal suffrage has spoken. I wish the next president of the Republic the best in accomplishing his mission in the service of all the French people," said Royal, who won 47 per cent of the vote.

She told her supporters: "I gave it all my efforts, and will continue. Something has risen up that will not stop."

In Montreal, where nearly 150,000 French citizens live, more than 55 per cent of eligible voters cast ballots for Royal.

Royal's loss marks the Socialists' third straight defeat in presidential elections.

The party divided in two over the 2005 referendum on the proposed European constitution, when many of its leaders broke from the party line to urge the French to vote it down.

Campaign of change 

Voter turnout in France was projected at 85 per cent -- a level not seen in four decades.

Craving new direction after 12 years under Chirac, the electorate seemed to have been energized by both candidates who were offering two divergent choices for the future. 
 
"The prime issue in this campaign has been one of change," CTV's Tom Kennedy said from Paris.

"The problem of France in the last 25 years is, it's gone from something like seventh place in the world in terms of gross domestic product and it's now in 17th place. It's got the third-highest unemployment rate in the entire European Union. There really is a sense now among the French that they have to change some of these old, stodgy, conservative, economic labour union laws and liberate the economy."

Sarkozy and Royal offered radically different views on how to revive the country's sluggish economy, boost employment, reverse its declining international clout and improve the lives of the country's impoverished residents.

Sarkozy thinks France's 35-hour work week is absurd.

He proposes relaxing labour laws to encourage hiring. As former interior minister, he cracked down on drunk driving, crime and illegal immigration.

But he also alienated many in France's housing projects -- where largely immigrant youth rioted in 2005 -- when he called the young delinquents racaille or "scum."

Royal offered a more traditional French approach of state-funded programs to boost youth employment. She would have built 120,000 units of public housing per year and raised the minimum wage.

In foreign policy matters, however, she was seen to make a number of gaffes, such as praising China's justice system and saying Quebec deserved independence from Canada.
 
With a report from CTV's Tom Kennedy and files from The Associated Press and The Canadian Press