Producer Price Index in China Declines in January

Beijing: The producer price index (PPI) in China, which measures costs for goods at the factory gate, went down 1.4 percent year on year in January, narrowing by 0.5 percentage points compared to December 2025.

According to Qatar News Agency, Xinhua News Agency reported the data issued by China's National Bureau of Statistics (NBS) on Wednesday as saying that, on a monthly basis, the PPI rose 0.4 percent in January, 0.2 percentage points higher than the increase recorded in December.

The data noted that the stronger demand in some sectors also contributed to the increase, particularly in semiconductor materials and external storage devices linked to the artificial intelligence industry, as well as in ceremonial goods manufacturing and agricultural product processing ahead of the Chinese New Year.

In the same context, the data also showed that China's consumer price index, a key inflation gauge, rose 0.2 percent year-on-year in January.