The year-over-year comparison is even more stark, with industrial producer prices plummeting by 10.6 per cent in the euro area and by 10 per cent in the EU compared to December 2022. The annual average for 2023, when compared to 2022, shows industrial producer prices decreased by 3.2 per cent in the euro area and by 2.1 per cent in the EU.

Breaking down the data for December 2023 further reveals sector-specific price movements. In the euro area, energy prices fell sharply by 2.3 per cent, and intermediate goods prices decreased by 0.3 per cent. Meanwhile, prices for durable consumer goods remained stable, and non-durable consumer goods saw a modest increase of 0.1 per cent. Excluding the energy sector, total industry prices dipped by 0.1 per cent, as per Eurostat.

The EU mirrored these trends, with energy prices decreasing by 2.4 per cent, intermediate goods by 0.4 per cent, and durable consumer goods by 0.1 per cent. Non-durable consumer goods prices in the EU also increased by 0.1 per cent, with total industry prices excluding energy falling by 0.2 per cent.

Notably, Ireland experienced the largest monthly decrease in industrial producer prices at a dramatic 12 per cent, followed by the Netherlands (down 1.8 per cent) and Estonia (down 1.4 per cent). Conversely, a few countries saw price increases, with Greece leading at 1 per cent, followed by Belgium (up 0.5 per cent), Cyprus and Luxembourg (both up at 0.3 per cent), and France (up 0.1 per cent).

Year-over-year comparisons for December 2023 underscore the severe impact on the energy sector, with prices dropping by 27.5 per cent in the euro area and by 25.6 per cent in the EU. Intermediate goods prices also decreased significantly, while durable and non-durable consumer goods prices saw increases across both regions.

Among the annual decreases, Ireland marked the highest decline in industrial producer prices at 43.5 per cent, with Italy (down 20.5 per cent) and Bulgaria (down 19.8 per cent) following. On the increase side, Luxembourg (up 20.2 per cent), Slovakia (up 13.3 per cent), and Slovenia (up 2.0 per cent) recorded the highest gains.

Fibre2Fashion News Desk (DP)