In July 2020, Producer Price Index (PPI) for manufactured goods dropped by 2.4 percent year-on-year and rose by 0.4 percent month-on-month. The purchasing price index for manufactured goods decreased by 3.3 percent year-on-year and increased by 0.9 percent month-on-month. From January to July, the producer price index for manufactured goods decreased by 2.0 percent year-on-year, and the purchasing price index for manufactured goods decreased by 2.7 percent.

1. Year-on-Year Changes of Prices of Different Categories

Among the PPI for manufactured goods, the year-on-year change of producer prices for means of production decreased by 3.5 percent, and the pace of decline narrowed 0.7 percentage point than that of last month, affecting 2.56 percentage points decrease in the overall level of producer price. Of which, producer prices for mining and quarrying industry decreased by 7.1 percent; that of raw materials industry decreased by 6.9 percent; that of manufacturing and processing industry fell by 1.8 percent. Producer prices for consumer goods increased by 0.7 percent year-on-year, and the growth rate higher 0.1 percentage point over the previous month, meaning 0.19 percentage point increase in the overall price level. Of which, producer prices for foodstuff increased by 3.7 percent, while that of clothing decreased by 1.1 percent, that of commodities and durable consumer goods decreased by 0.8 and 1.6 percent.

 

Among the purchaser price index, the year-on-year purchaser price indices for fuel and power, chemical raw materials, ferrous metal materials and non-ferrous metal materials and wires, decreased by 10.8, 8.9, 2.8 and 0.3 percent respectively; while that of agricultural and sideline products jumped 6.8 percent.

 

2. Month-on-Month Changes of Prices of Different Categories

Among the PPI for manufactured goods, the prices for means of production went up by 0.5 percent month-on-month, kept the same level of growth over last month, affecting 0.34 percentage point increase in the overall level of producer price. Of the total, producer prices for mining and quarrying industry, raw materials industry and manufacturing and processing industry increased by 3.1, 0.9 and 0.1 percent; that of consumer goods increased by 0.1 percent, kept the same level of growth over last month, affecting 0.04 percentage point increase in the overall level of producer price. Of which, the producer prices for foodstuff rose by 0.6 percent, that of clothing and durable consumer goods decreased by 0.3 and 0.2 percent, and that of commodities unchanged.

 

The month-on-month purchaser price indices for non-ferrous metal materials and wires, fuel and power, agricultural and sideline products, and ferrous metals materials increased by 3.0, 2.5, 1.4 and 0.9 percent; while that of building materials and non-metallic products dropped by 0.6 percent.

Source: National Bureau of Statistics of China