China’s annual producer price inflation accelerated to 5.0% in September 2026 from 3.8% in August, exceeding expectations of a 4.5% increase. This marked the strongest reading since June 2022, as higher fuel prices drove up business costs. Prices of production materials accelerated to 6.5% from 5.0%, driven by faster increases in mining (25.4% vs 17.8%), raw materials (9.4% vs 6.7%) and processing (3.4% vs 3.1%). Meanwhile, consumer goods prices fell 0.1%, easing from a 0.5% decline in August, as food prices fell 1.8%, clothing dropped 1.2% and daily-use goods decreased 0.6%, while durable goods prices rose 1.6%. Among major industries, prices increased sharply in coal mining (35.3%), oil and gas extraction (24.5%) and non-ferrous metal smelting (21.4%). On a monthly basis, the PPI rose 1.2%, its biggest increase since April, accelerating from August’s 0.4% gain. In the first nine months of the year, producer prices increased 2.3% compared to the same period last year.