Producer prices posted growth in August, reversing a contraction in the previous month, driven by a slower decline in prices of computer and electronic products, according to the Philippine Statistics Authority (PSA).
Preliminary data released by the PSA yesterday showed that the Producer Price Index (PPI) for manufacturing returned to positive territory, registering a 0.6 percent growth in August after the 0.1 percent drop in July.
It was also an improvement from the 1.3 percent dip posted in August last year.
The PPI measures the average change in factory gate prices relative to a base period.
Average PPI growth from January to August stood at 0.4 percent.
‘The upturn in the annual growth rate of the PPI for the manufacturing section in August 2025 was primarily due to the slower decrement in the annual growth rate of the PPI for manufacture of computer, electronic and optical products industry division,’ the PSA said.
In particular, the computer, electronics and optical products industry division posted a 0.1 percent decline in August from a one percent drop in July.
Also driving the upturn in PPI growth was the faster increase in basic metals at two percent in August from 0.4 percent in the previous month.
The PSA said the slower decline in the growth of transport equipment at 0.2 percent in August from the previous month’s 1.3 percent also contributed to the PPI growth performance.
Of the remaining 19 industry divisions, 11 exhibited annual increases, while eight industry divisions registered annual decreases in August.
Those which posted increases in August are coke and refined petroleum products; food products; beverages; chemical and chemical products; tobacco products; rubber and plastic products; furniture; leather and related products including footwear; wearing apparel; textiles; and printing and reproduction of recorded media.
On the other hand, those which registered declines are other non-metallic mineral products; electrical equipment; machinery and equipment except electrical; fabricated metal products except machinery and equipment; basic pharmaceutical products and pharmaceutical preparations; wood, bamboo, cane, rattan articles and related products; other manufacturing and repair and installation of machinery and equipment; and paper and paper products.