Saudi PPI rises 8.5% in June as manufacturing prices climb 9%

RIYADH — Saudi Arabia's Producer Price Index (PPI) surged by 8.5 percent in June 2026 compared to June 2025, primarily due to a 9 percent increase in manufacturing prices, according to the General Authority for Statistics (GASTAT). The manufacturing sector saw a significant price rise, with chemicals and chemical products prices up by 14.4 percent, wearing apparel prices up by 14.3 percent, and refined petroleum products prices up by 13.2 percent.

Basic metals manufacturing prices increased by 8.4 percent, while food products prices rose by 4.6 percent. Other notable increases included water supply, sewerage, waste management, and remediation activities prices, which rose by 7.9 percent, and electricity, gas, steam, and air-conditioning supply prices, which rose by 2.4 percent.

Conversely, the manufacture of fabricated metal products, excluding machinery and equipment, decreased by 3.5 percent, and the manufacture of other non-metallic mineral products decreased by 2.1 percent on an annual basis. On a monthly basis, the PPI increased by 0.6 percent in June 2026 compared to May 2026, mainly due to a 0.6 percent rise in manufacturing prices.

Within manufacturing, other economic activities prices increased by 2.2 percent, refined petroleum products prices rose by 1.8 percent, food products prices increased by 1.3 percent, and fabricated metal products prices increased by 0.1 percent. However, prices for chemicals and chemical products declined by 1 percent, basic metals prices fell by 0.5 percent, and electricity, gas, steam, and air-conditioning supply prices decreased by 0.1 percent.

Water supply, sewerage, waste management, and remediation activities prices remained unchanged from the previous month.