Germany’s PPI fell -0.2% MoM (vs -0.3% MoM expected) and -1.2% YoY in May 2025, marking a deeper annual decline than April’s -0.9% YoY, driven mainly by lower energy and intermediate goods prices.

• Excluding energy, PPI was flat MoM and rose 1.3% YoY.
• Energy prices fell -0.9% MoM and -6.7% YoY, led by electricity (-8.1% YoY), natural gas (-7.1% YoY), and mineral oil products (-9.6% YoY).
• Non-durable consumer goods rose 0.5% MoM and 3.6% YoY, with sharp annual increases in coffee (+41.2%), beef (+35.7%), and butter (+21.6%).
• Capital goods prices increased 0.1% MoM and 1.9% YoY; durable goods rose 0.2% MoM and 1.6% YoY.
• Intermediate goods declined -0.2% MoM and -0.2% YoY, with notable drops in metals (-1.3% YoY) and basic chemicals (-2.4% YoY).