FX.co ★ Hungary Producer Prices Fall to 22-Month Low

In December 2025, Hungary experienced a 3.4% year-on-year decrease in producer prices, building on a 2.7% drop from the month prior. This represents the second consecutive month of producer deflation and is the most significant decline since February 2024. The downward trend was driven by further cost reductions in both non-domestic output, which fell by 4.1% compared to November's 3.1% decrease, and domestic output, which saw a decrease of 1.9% following a 1.8% drop previously. Specifically, the manufacturing sector experienced a price decline of 3.3%, up from a 1.9% decrease, and the mining and quarrying industry saw a drop of 5.3%, which was a continuation from November's 3.8% fall. Conversely, costs for water collection, treatment, and supply remained stable at an increase of 3.7%. Meanwhile, the decline in prices for electricity, gas, steam, and air-conditioning supply slowed, dropping by 4.0% compared to a 5.6% decrease in the previous month. On a month-to-month basis, producer prices saw a further decline of 0.4% in December, following a 0.3% decrease in November.