Producer prices for industrial products declined by 1.3 percent in June 2025 compared to June 2024. This represents a slight decrease from the -1.2 percent year-on-year decline recorded in May 2025, according to data released Friday by the Federal Statistical Office (Destatis). Month-on-month, producer prices rose by a modest 0.1 percent in June 2025.
The primary driver of the year-on-year decline in producer prices was lower energy costs. Prices for intermediate goods also decreased compared to the previous year. Conversely, consumer goods, durable goods and investment goods experienced price increases compared to June 2024. Excluding energy, producer prices rose by 1.3 percent compared to the same month last year, while they increased by 0.1 percent compared to May 2025.
Energy prices were 6.4 percent lower in June 2025 than in June 2024, but rose by 0.3 percent compared to May 2025. The largest contribution to the year-on-year energy price decrease came from a significant drop in electricity prices. Electricity prices fell by 8.8 percent compared to June 2024, a slight decrease from the -0.3 percent decline recorded compared to May 2025.
Prices for distributed natural gas were 6.9 percent lower than in June 2024, rising by 0.5 percent compared to May 2025. District heating costs decreased by 0.3 percent compared to June 2024, remaining unchanged compared to May 2025.
Prices for petroleum products decreased by 7.7 percent compared to June 2024, rising by 0.9 percent compared to May 2025. Light heating oil was 6.4 percent cheaper than a year earlier, rising by 6.6 percent compared to May 2025. Fuel prices were 4.2 percent lower than in June 2024, rising by 1.2 percent compared to May 2025.
Investment goods increased in price by 1.7 percent in June 2025 compared to June 2024, showing no change compared to May 2025. Machinery costs rose by 1.8 percent compared to June 2024, increasing by 0.1 percent compared to May 2025. Prices for motor vehicles and parts increased by 1.0 percent compared to June 2024, with a 0.0 percent change compared to May 2025..
Consumer goods were 3.6 percent more expensive in June 2025 compared to June 2024, up 0.4 percent compared to May 2025. Food prices increased by 4.4 percent compared to June 2024, rising 0.6 percent compared to May 2025. Significant increases were observed in coffee (up 41.2 percent) and beef (up 37.5 percent) compared to the previous year, though butter was 18.2 percent more expensive. Sugar prices, however, were significantly lower, down 40.2 percent compared to the previous year. Pork prices decreased by 1.7 percent compared to June 2024, rising by 2.3 percent compared to May 2025.
Prices for durable goods were 1.7 percent higher in June 2025 compared to June 2024, rising 0.2 percent compared to May 2025.
Prices for intermediate goods decreased by 0.4 percent compared to the previous year and by 0.2 percent compared to the previous month.
Basic chemical products were 2.6 percent cheaper than in June 2024, decreasing by 0.8 percent compared to May 2025. Flour prices were 1.8 percent lower than in June 2024, a slight decrease of 0.2 percent compared to May 2025. Animal feed decreased by 0.7 percent compared to June 2024, a more significant drop of 1.1 percent compared to May 2025.
Metal prices decreased by 1.6 percent compared to the previous year, a decrease of 0.5 percent compared to May 2025. Prices for raw iron, steel and ferroalloys were 6.2 percent lower than in June 2024 with a further decrease of 1.4 percent compared to May 2025. Copper and semi-finished products decreased by 4.3 percent compared to June 2024, decreasing by 0.5 percent compared to May 2025. Concrete reinforcing steel, however, increased by 1.1 percent compared to the previous year, with a decline of 0.7 percent compared to May 2025.
Prices for wood and wood products increased by 4.9 percent when compared to June 2024, a minor increase of 0.1 percent compared to May 2025. Softwood lumber prices were 13.9 percent higher than in June 2024, with a slight increase of 0.6 percent when compared to May 2025. Conversely, hardwood lumber decreased by 1.3 percent compared to the previous year with an increase of 0.6 percent compared to May 2025.
Prices for paper, cardboard and related goods increased by 2.5 percent compared to June 2024, with no change compared to May 2025. Glass and glass products increased by a smaller margin of 0.8 percent. Flat glass was 1.7 percent higher compared to the previous year, rising by 0.9 percent during May 2025. In contrast, hollow glass prices dropped 4.4 percent compared to June 2024, falling by 0.3 percent during May 2025, the office reported.