South Korea Producer Inflation Hits 19-Month High in February

South Korea’s producer prices rose 6.9% year-on-year in April 2026, accelerating from a 4.1% increase in the previous month and marking the strongest rise since October 2022. Manufacturing producer prices climbed 11.3%, led by a 73.9% surge in coal and petroleum products. Prices for computers, electronic and optical equipment increased 17.4%, while chemical products rose 15.6% and basic metal products advanced 11.8%. Service prices also increased 3.8%, driven by a 26.2% jump in financial and insurance activities. Meanwhile, prices for agricultural, forestry, and marine products rose 1%, supported by a 10.4% increase in livestock prices. In contrast, utility prices declined 1.2%. On a monthly basis, producer prices rose 2.5%, accelerating from a 1.7% increase in March.

South Korea's producer prices rose 4.1% year-on-year in March 2026, accelerating sharply from February's pace and marking the strongest increase in three years, as inflationary pressures surged within the industrial sector. Costs increased in manufacturing (5.9% vs. 2.3% in February), services (3.1% vs. 3.2%), and agricultural, forestry, and marine products (0.5% vs. 4.5%), reflecting a shift in inflationary weight from food prices toward energy and chemical manufacturing. By contrast, prices for electricity, gas, and water remained in contraction at -1.1%, matching the decline recorded in the previous month. On a monthly basis, producer prices rose by 1.6% in March, significantly outstepping the 0.6% increase seen in February.

South Korea’s producer prices rose 2.4% year-on-year in February 2026, accelerating from January’s pace and marking the strongest increase since July 2024, as price pressures remained broad-based across key categories. Costs increased for services (3.2% vs 2.6% in January), manufacturing (2.3% vs 1.8%) and agricultural, forestry and marine products (4.5% vs 2.4%), reflecting a sharp rebound in farm-related prices. By contrast, prices for electricity, gas and water remained in contraction at -1.1%, extending the decline from -1.3% previously. On a monthly basis, producer prices rose 0.6% in February, matching the 0.6% increase in January.