Producer Price Index Rises 3.9% Year-on-Year in May

The latest data shows that in May 2026, the Producer Price Index (PPI) for manufactured goods increased by 3.9% year-on-year and 0.5% month-on-month. The purchasing price index for industrial producers rose by 5.8% year-on-year and 1.3% month-on-month.

On average for the period from January to May, the ex-factory price index for industrial producers increased by 1.0% compared to the same period last year, while the purchasing price index rose by 1.6%.

Year-on-Year Price Movements

In May, within the ex-factory price index, the price of production materials increased by 5.2% year-on-year, contributing approximately 4.08 percentage points to the overall increase in the PPI. Specifically, mining industry prices surged by 15.8%, raw materials industry prices rose by 9.2%, and processing industry prices increased by 2.3%.

Conversely, the price of consumer goods decreased by 0.8%, pulling down the overall PPI by about 0.18 percentage points. Within this category, food prices fell by 1.8%, prices for clothing and general-use articles both declined by 1.0%, and prices for durable consumer goods remained stable.

Regarding purchased materials, prices for nonferrous metals and wire rose sharply by 22.0%, chemical raw materials increased by 11.8%, fuel and power climbed by 10.0%, textile materials advanced by 2.5%, and ferrous metals edged up by 0.3%. In contrast, prices for building materials and non-metallic products fell by 5.5%, and agricultural and sideline products dropped by 1.6%.

Month-on-Month Price Movements

For month-on-month changes in May, the price of production materials increased by 0.7%, contributing about 0.53 percentage points to the overall PPI increase. Mining industry prices rose by 1.5%, raw materials industry prices increased by 0.9%, and processing industry prices went up by 0.5%.

The price of consumer goods remained flat month-on-month. Food prices dipped by 0.1%, while prices for clothing, general-use articles, and durable consumer goods all saw a modest increase of 0.1%.

Among purchased materials, chemical raw materials prices increased by 4.2%, fuel and power prices rose by 2.7%, textile materials prices climbed by 1.0%, and ferrous metals prices advanced by 0.6%. Prices for nonferrous metals and wire, as well as agricultural and sideline products, both increased by 0.3%. Prices for building materials and non-metallic products decreased by 0.5%.