China’s industrial producer prices fell -2.1% YoY (vs -2.2% YoY expected) in October 2025, up from  -2.3% in September, while rising +0.1% MoM, marking the first monthly uptick since July and indicating continued narrowing of deflation in factory-gate prices.

• The ex-factory price of means of production fell -2.4% YoY, weighing about -1.77 ppts on the overall index; extractive industry prices dropped -7.8% YoY, raw materials -2.5%, and processing -1.9%.

• Prices for means of living declined -1.4% YoY, contributing -0.36 ppts to the headline PPI change; food prices fell -1.6%, clothing -0.3%, and durable consumer goods -3.2%, while general daily necessities rose +1.0%.

• The producer purchase price index fell -2.7% YoY, led by declines in fuel & power (-7.4%), agricultural and sideline products (-5.2%), and chemical raw materials (-5.0%), while non-ferrous metal materials and wires rose +7.5%.

• On a MoM basis, ex-factory prices of means of production rose +0.1%, as extractive industry prices increased +1.0%, processing gained +0.1%, and raw materials were flat; means of living prices were unchanged.

• Purchase prices also rose +0.1% MoM, driven by non-ferrous metals (+2.4%) and ferrous materials (+0.2%), partially offset by declines in agricultural and sideline products (-1.3%) and chemicals (-0.6%).

• Among major industries, non-ferrous metal mining posted the strongest gains (+5.3% MoM, +18.9% YoY), while coal mining (-15.6% YoY) and petroleum/coal processing (-5.8% YoY) remained significant drags.

• From January to October, ex-factory prices fell -2.7% YoY and purchase prices -3.2% YoY, underscoring gradual stabilization after earlier declines in 2025.