According to AFP journalists, several hundred people gathered at Place de la République following calls on social media to stage a demonstration. The square is a popular gathering point for protests and witnessed widespread looting on Saturday.
The Paris police prefecture said the latest demonstration had not been authorised. Authorities deployed security personnel to monitor the gathering and respond quickly to any disturbances.
Police moved to disperse the crowd and make arrests after tensions began to rise, according to the prefecture.
Television footage showed officers firing tear gas to break up the gathering. However, protesters returned to the square, where some threw bottles and rocks at security forces. Police responded with tear gas and stun grenades before charging the crowd to disperse the demonstrators. Several arrests were reported.
The fresh unrest followed violent demonstrations across France on Saturday, when clashes between masked protesters and police resulted in extensive damage to buildings and shops.
Authorities made around 855 arrests in Paris on Saturday as several buildings and stores were looted and set on fire during confrontations.
During Sunday's gathering, demonstrators displayed banners around the statue at the centre of Place de la République, voicing concerns over the rising cost of living. Many protesters wore black clothing, while some covered their faces.
The latest clashes highlighted continuing tensions in the French capital as authorities sought to prevent further disorder following the previous day's violence.
Police remained on alert as officials worked to contain the unrest and restore order in areas affected by the demonstrations.