Brazil Producer Prices Fall in May

2026-06-30 12:24 By Isabela Couto 1 min. read

Brazil’s producer prices fell 0.3% month-over-month in May 2026, reversing from a 2.62% increase in April and marking the sharpest monthly decline since November 2025.

Seven of the 24 industrial sectors surveyed recorded price drops.

The steepest decline came from extractive industries, which fell 5.9%, while rubber and plastics rose 4.8%, wood products advanced 3.1%, and chemicals increased 2.1%.

Food products exerted the largest downward pressure on the headline index, declining 2.1%, as lower prices for sugar, UHT milk, and roasted coffee reflected seasonal harvest effects and the appreciation of the Brazilian real.

Prices in oil refining and biofuels fell 1.3%, pressured by declines in diesel and ethanol, with the advance of the sugarcane harvest contributing to lower alcohol prices.

Chemical prices rose on higher international petrochemical costs linked to tensions in the Middle East, while rubber and plastics continued to reflect pass-through from higher feedstock costs.



News Stream
Brazil Producer Prices Fall in May
Brazil’s producer prices fell 0.3% month-over-month in May 2026, reversing from a 2.62% increase in April and marking the sharpest monthly decline since November 2025. Seven of the 24 industrial sectors surveyed recorded price drops. The steepest decline came from extractive industries, which fell 5.9%, while rubber and plastics rose 4.8%, wood products advanced 3.1%, and chemicals increased 2.1%. Food products exerted the largest downward pressure on the headline index, declining 2.1%, as lower prices for sugar, UHT milk, and roasted coffee reflected seasonal harvest effects and the appreciation of the Brazilian real. Prices in oil refining and biofuels fell 1.3%, pressured by declines in diesel and ethanol, with the advance of the sugarcane harvest contributing to lower alcohol prices. Chemical prices rose on higher international petrochemical costs linked to tensions in the Middle East, while rubber and plastics continued to reflect pass-through from higher feedstock costs.
2026-06-30
Brazil Producer Inflation Hits 2-Year High
Brazil's producer prices rose 2.63% in April 2026 from the previous month, accelerating from a 2.28% increase in March and marking the sharpest monthly rise since March 2022. Prices increased in 21 of the 24 industrial activities surveyed. Chemical products posted the largest increase, surging 9.91% amid disruptions to petrochemical supply chains and higher naphtha prices linked to Middle East tensions. Rubber and plastic products rose 7.31%, reflecting higher costs for petrochemical inputs, while prices in oil refining and biofuels climbed 6.44% on higher diesel and ethanol prices amid concerns over the Strait of Hormuz. Extractive industries also remained a major inflationary driver, with prices increasing 4.92%. On an annual basis, producer inflation accelerated to 1.07%, reversing the 1.63% decline recorded in March.
2026-05-28
Brazil PPI Rises Sharply in March
Brazil's producer prices increased 2.37% in March 2026 compared to February, rebounding from a 0.16% drop and marking the sharpest PPI rise since March 2022. In this comparison, 18 of the 24 industrial activities saw increases in prices. The four largest increases in March were extractive industries (18.65%), other chemicals (5.03%), oil refining and biofuels (4.24%), and computer equipment, electronic products, and optics (2.50%). The rise in oil refining happened amid the spike in energy prices due to the oil shock caused by the closing of the Strait of Hormuz. Among the major economic categories, the PPI for intermediate goods was 3.75% higher, prices of consumer goods rose 0.95%, and those of capital goods fell 0.18%. The 12-month cumulative index remains negative at -1.54%. The cumulative variation for the year stands at 2.53%.
2026-04-29