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Internal Market, Industry, Entrepreneurship and SMEs

Decomposing producer price inflation in the euro area – quarterly update

Updated every quarter, this indicator provides a measure of the relative importance of supply and demand factors in determining the inflationary pressure in the euro area.

Key messages of this edition

  • In 2026Q2, producer prices in industry in the euro area considerably rose (+4.6% year-on-year).
  • Supply factors are driving this sudden increase, more than offsetting the negative contribution of demand factors.
  • This is happening against the backdrop of the crisis in the Persian Gulf.

This page was last updated on 6 August 2026