Beijing: China's producer price index (PPI), which gauges costs for goods at the factory gate, decreased by 3.6% year-on-year in June, as reported by the National Bureau of Statistics (NBS) on Wednesday.

According to Qatar News Agency, the PPI saw a month-on-month decline of 0.4% in June, based on data from the NBS. In the first half of 2025, the PPI experienced a year-on-year drop of 2.8%.

NBS statistician Dong Lijuan explained that the decline in the PPI was influenced by seasonal price drops in certain domestic raw material manufacturing industries. Additionally, reduced energy prices, resulting from increased solar, wind, and hydropower generation, and price pressures faced by some export-led sectors contributed to the decrease.