Luxembourg Producer Prices Deflate Further

Producer prices in Luxembourg dropped by 4.6% from the previous year in February of 2026, stretching the revised 3.8% decline in the previous month to mark the sharpest deflation rate since July of 2024. Prices fell for producers making consumer goods (-13.1%) and energy (-9.2%), before benchmark energy costs were due to rise in March due to tight supply following the outbreak of war in the Middle East. In turn, costs fell less for capital goods producers (-0.7%) and intermediate goods producers (-1.9%).

Producer prices in Luxembourg declined by 3.9% year-on-year in January 2026, following a 2.9% fall in the previous month. This was the biggest drop since August 2024, due to lower prices in all main product categories, namely consumer goods (-13.7% vs -12.5% in December), energy (-9.5% vs -10.1%), capital goods (-1.3% vs 0.7%), and intermediate goods (-0.6% vs 0.7%). On a monthly basis, producer prices edged up 0.1%, after falling 0.3% in December.

Producer prices in Luxembourg fell by 2.9% year-on-year in December 2025, the biggest drop since August 2024, following a revised 2.7% decline in the previous month. Deflation persisted for the fifth consecutive month, driven by sharper decreases in prices for consumer goods (-12.5% vs -7.47%) and energy (-10.1% vs -5.51%). In contrast, intermediate goods prices rebounded (+0.74% vs -0.26%), while inflation for equipment goods eased to 0.73% from 2%. On a monthly basis, producer prices fell 0.29%, reversing a 0.05% increase in November.