Germany’s producer prices rose 1.8% year-on-year in June 2026, marking a third consecutive month of producer inflation, though easing from May’s 2.2% increase. The main upward pressure came from intermediate goods, which climbed 5.1% amid sharp cost increases for metals, precious metals, copper, pig iron, steel, and ferroalloys.
Energy prices edged 0.4% higher, supported by petroleum products, naphtha, heating oil, and motor fuels. These gains were partly offset by lower prices for natural gas and electricity, which tempered the impact of ongoing geopolitical tensions in the Middle East. Capital goods prices rose 2.1%, while durable consumer goods were up 1.8%, reflecting higher prices for machinery, furniture, and household appliances.
By contrast, non-durable consumer goods fell 2.2%, driven largely by cheaper food, especially butter and pork. Excluding energy, producer prices increased 2.4% from a year earlier.
On a monthly basis, producer prices declined 0.3%, reversing a 0.3% rise in May and registering the first month-on-month drop since February. The fall was steeper than market expectations, which had pointed to a smaller 0.2% decrease.
