Eurozone chemical producer prices fall 0.9% in July

LONDON (ICIS)–Chemical producer prices in the eurozone fell 0.9% month on month in July as all main producing countries posted decreases, the European statistical agency Eurostat said on Monday.

Chemical producer prices fell 0.4% over the same period in Germany, the largest producing country currency union, while  pricing fell 2% in France.

The fall in German pricing reported by Eurostat is less pronounced that the drop stated by the country’s own statistical agency in August. At the time, Statistisches Bundesamt said German July chemical producer prices had fallen by 0.6%.

Italian and Spanish chemical producer prices fell by 0.4% and 0.3%, respectively, while prices in the northwest Europe chemical and petrochemical hub of the Netherlands fell by 1.7%.

In Finland, a large producer in the chemical-intensive pulp and paper industry, prices fell by 2% in July.

In the wider 28-country EU chemical producer prices fell by 0.4% in July, with the main two producers, the UK and Poland, posting prices down 0.2% and up 0.7%, respectively.

Eurostat did not publish year on year figures for chemical producer prices within any of the two areas.

General industrial producer prices in the eurozone remained flat in the Eurozone in July and rose 0.1% in the EU.

Year on year, however, industrial producer prices accumulated increases of 2% in the eurozone and of 2.3% in the EU.

“The 2% [year-on-year] increase in industrial producer prices in total industry in the eurozone in July 2017, compared with July 2016, is due to rises of 2.7% for intermediate goods, of 2.4% for non-durable consumer goods, of 2.0% in the energy sector, of 0.9% for capital goods and of 0.5% for durable consumer goods. Prices in total industry excluding energy rose by 2.1%,” said Eurostat.

“In the EU, the 2.3% price increase is due to rises of 2.8% for intermediate goods, the energy sector and non-durable consumer goods, of 1.0% for capital goods and of 0.9% for durable consumer goods. Prices in total industry excluding energy also rose by 2.3%.”