Euro Area industrial producer prices fell by 0.6% month-on-month in May 2025, following a sharper 2.2% decline in April and slightly exceeding market expectations of a 0.5% drop. Energy prices continued to fall, though at a slower pace (-2.1% vs. -7.8% in April), while prices for intermediate goods declined by 0.1%, matching the previous month’s rate.
Capital goods prices were unchanged, compared with a 0.1% increase in April. In contrast, prices rose for both durable consumer goods (0.3% vs. 0.1%) and non-durable consumer goods (0.2% vs. 0.3%). Among the largest Eurozone economies, France (-0.8%), Italy (-0.7%), and Spain (-0.7%) recorded the most significant monthly declines. On an annual basis, producer price inflation eased sharply to 0.3% in May, down from 0.7% in April.
