South Korea’s annual producer price inflation eased in September despite another monthly increase, as Chuseok holiday demand raised agricultural prices while a broader domestic supply index held steady, Bank of Korea data showed.
Preliminary figures put the producer price index 0.2% above August and 7.7% above its level a year earlier. The annual increase was 7.9% in August, when prices rose 0.1% from the previous month. September was the second consecutive month of gains after a July decline, the index’s first monthly drop since August 2025.
Agricultural, livestock and fisheries prices rose 2.6% from August. The central bank linked the increase to demand around Chuseok, which fell in the fourth week of September. Electricity, gas and water prices gained 1.3%, while industrial goods prices were unchanged.
Producer prices can affect what businesses charge consumers in subsequent months. September’s domestic supply price index showed no monthly change; the measure includes both producer and import prices.
The Bank of Korea’s calendar schedules the October producer price release for Nov. 20.
