Producer prices of commercial goods in Germany rose by 3.0 percent in July 2026 compared to the previous year. According to data released by the Federal Statistical Office (Destatis) on Thursday, producer prices also increased by 1.1 percent compared to the preceding month of June 2026.
The substantial year-on-year increase was primarily driven by higher prices for upstream goods, which rose by 5.4 percent. Energy prices were also significantly higher, climbing by 3.8 percent compared to July 2025.
Investments goods and durable goods were also pricier in July 2026, increasing by 2.3 percent and 2.0 percent, respectively, compared to last year. However, consumer products saw a favorable trend, decreasing by 2.3 percent. Excluding energy, producer prices rose by 2.7 percent in July 2026 over July 2025, while the month-on-month increase from June 2026 was minimal at 0.1 percent.
Energy saw a 3.8 percent increase year-over-year in July 2026, and electricity prices rose by 3.4 percent compared to June. Due to the conflict in Iran and the Middle East, mineral oil products were particularly affected, jumping 31.4 percent compared to July 2025, and rising 6.6 percent over June 2026. Crude gasoline (naphtha) costs were up 34.6 percent compared to July 2025, while light heating oil increased by 52.0 percent, and general fuels rose 29.4 percent.
Regarding other utilities, the price for delivered natural gas increased by 1.6 percent across all consumer groups, while electricity prices dropped by 1.6 percent compared to July 2025, and district heating was 0.7 percent cheaper year-over-year.
The surge in upstream goods prices (up 5.4 percent year-on-year, and 0.1 percent vs. June 2026) was largely fueled by higher metal prices. Precious metals were particularly volatile, rising sharply by 31.8 percent compared to July 2025, although they subsequently dropped 8.5 percent compared to June 2026. Copper and related semi-finished products were 28.7 percent more expensive than the year before. Raw iron, steel, and ferroalloys were also more expensive in July 2026 (up 4.5 percent), with reinforced concrete steel specifically costing 5.8 percent more.
Chemical raw materials saw a year-over-year increase of 11.5 percent, and fertilizer prices rose by 13.8 percent. Wood and wood/cork products also increased by 6.6 percent, with needle-cut wood rising 7.7 percent and leaf-cut wood rising 2.3 percent. Significant price jumps were observed for pellets, briquettes, and logs, all of which were up 33.3 percent compared to the previous year.
In the glass sector, prices for glass and glass products rose by 1.4 percent year-on-year. Refined and processed flat glass was 4.1 percent more expensive, while hollow glass prices slightly fell 0.1 percent compared to July 2025.
In contrast, certain materials saw price decreases compared to July 2025. Paper, cardboard, and related goods cost 0.4 percent less than the previous year. Animal feed (-1.3 percent) and grain flour (-2.1 percent) were also notably cheaper than in July 2025.
Durable goods saw prices rise by 2.3 percent compared to the previous year, and 0.2 percent compared to June 2026. Machinery costs increased by 2.0 percent compared to July 2025, and prices for cars and automotive parts rose by 2.0 percent. Durable goods overall rose by 2.0 percent year-on-year (and 0.3 percent over June 2026).
Conversely, consumer goods produced and sold in Germany were 2.3 percent cheaper than in July 2025 and 0.3 percent cheaper than in June 2026. Overall food prices specifically decreased by 4.6 percent. Several items were significantly discounted compared to July 2025: butter fell by 41.4 percent, pork by 22.2 percent, and beef by 6.8 percent. Among consumer goods that increased year-on-year were vegetable oils (+12.5 percent) and sugar (+5.1 percent).
