German producer prices increased 6.7% year-on-year in September, the federal statistics office reported Tuesday. The rise marked the strongest increase since March 2023.
Analysts surveyed had forecast a 6.2% increase for the month.
The September figure represented an acceleration from the 4.6% increase recorded in August. On a monthly basis, producer prices rose 1.9%.
Energy prices drove the increase, climbing 14.9% annually as a result of the conflict in the Middle East. Intermediate goods prices increased 6.4%.
Producer prices measure costs at the factory gate before goods reach wholesalers and retailers. The metric serves as an early indicator of future inflation.