China’s PPI saw significant increase in February
PPI for raw materials rose by 2.9% y/y due to higher international commodity prices as well as rising domestic demand
China’s Producer Price Index (PPI) saw a significant jump of 1.7% y/y in February, up from only a 0.3% y/y increase in January. PPI for raw materials rose by 2.9% y/y due to higher international commodity prices as well as rising domestic demand. Manufacturing PPI also recorded a 1.7% y/y increase in February.
PPI for consumer goods, however, was still lagging behind, signaling continued pressure on the recovery of consumption. PPI for clothing declined by 1.3% y/y while PPI for consumer durables decreased by 1.8% y/y in February.
Further data and analysis on China’s economy is available on the CEIC China Economy in a Snapshot – Q1 2021 report.