In August 2025, the Philippines experienced a 0.6% year-on-year increase in producer prices, marking a rebound from the revised 0.1% decline noted in the prior month. This represents the most significant price increase since March 2025. The surge was primarily influenced by elevated costs in the production of several key sectors. The manufacture of food products saw a price rise to 0.6% compared to 0.5% in July. Basic metals experienced a notable jump from 0.4% to 2.0%, and the beverage sector rose from 0.1% to 1.0%. Chemical and chemical products (0.3% from 0.1%), furniture (2.7% from 1.5%), and leather and related goods, including footwear (0.9% from 0.2%), also contributed to this upward trend. The textile industry saw a slight increase to 0.5% from 0.4%.
Meanwhile, there was a reduction in the rate of price decreases for computer, electronic, and optical products, which eased to -0.1% from the previous -1.0%, contributing 27.4% to the overall inflation increase. On a month-to-month basis, producer prices rose by 0.2% in August, following a 0.1% rise in the immediately preceding period.
