Saudi Arabia Producer Price Index Rises 5.1% Year-Over-Year in August 2026
Wholesale prices in Saudi Arabia increased by 5.1% year-over-year in August 2026. The rise was primarily driven by higher manufacturing prices, which grew by 5.3%. Within the industrial sector, apparel experienced the largest annual price jump at 13.4%, followed by chemicals and chemical products at 10.5%, basic metals at 8.6%, food products at 5.4%, and refined petroleum products at 4.8%.
The annual rise reflects ongoing price increases across key industrial outputs and essential utilities. Water supply, sewerage, and waste management prices climbed 4.2% from the prior year, while electricity, gas, steam, and air conditioning prices rose 2.2%. On a monthly basis, producer prices held steady, as a minor 0.1% decline in manufacturing costs offset gains in energy and utility sectors.
Investors and market analysts will monitor whether input cost pressures in chemicals, food, and energy begin filtering through to final consumer prices. Key items to watch in upcoming monthly reporting include cost trends in refined petroleum and raw manufacturing inputs, as well as potential price stabilization across fabricated metals and rubber products.
Key points
- Saudi Arabia Producer Price Index rose 5.1% year-over-year in August 2026.
- Manufacturing prices increased 5.3% annually, led by a 13.4% rise in apparel and 10.5% in chemicals.
- Prices for water supply and waste management climbed 4.2%, while electricity and gas rose 2.2% year-over-year.
- On a monthly basis, overall producer prices remained steady as manufacturing costs fell 0.1%.
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How much did Saudi producer prices increase in August 2026?
Saudi Arabia Producer Price Index rose 5.1% year-over-year in August 2026, driven primarily by a 5.3% increase in manufacturing prices.
Which sectors drove the increase in Saudi producer prices?
Annual gains were led by apparel prices, up 13.4%, and chemical products, up 10.5%. Basic metals rose 8.6%, food products gained 5.4%, and refined petroleum products increased 4.8%.
How did Saudi producer prices perform on a monthly basis in August 2026?
Producer prices remained virtually flat compared to July 2026, as a 0.1% drop in manufacturing costs balanced modest gains in energy and utility prices.