The National Bureau of Statistics on January 12 released December 2021 national PPI(industrial producer price index) data show that in December, the effect of the policy of ensuring supply and stabilizing prices continued to appear, superimposed on crude oil and other international commodity prices fell, the price of industrial products fell.

In December 2021, the national industrial producer prices rose by 10.3% year on year, down 1.2% month on month; The purchasing prices of industrial producers rose by 14.2 percent year-on-year, down by 1.3 percent month-on-month. Among them, the price of chemical raw materials and chemical products manufacturing rose 23.8 percent year-on-year, down 2.1 percent month-on-month.

On a month-on-month basis, the PPI fell 1.2 percent from flat in the previous month. Specifically, the prices of means of production fell by 1.6%, 1.5 percentage points higher than that in the previous month. The price of means of living was flat, up from 0.4 percent. Efforts were intensified to implement the policy of ensuring supply and price stability, and coal prices continued to fall. Prices of coal mining and washing industries fell by 8.3%, or 3.4 percentage points more. The price of coal processing fell by 15.4 percent, or 7.0 percentage points. In winter, steel, cement and other construction materials demand was weak, and prices fell, ferrous metal smelting and rolling processing industry prices fell 4.4 percent, and non-metallic mineral products industry prices fell 1.4 percent. The lower prices of crude oil and non-ferrous metals in the world have driven down the prices of relevant industries in China. The prices of petroleum extraction fell by 8.3 percent, the prices of refined petroleum products manufacturing by 4.0 percent, and the prices of chemical raw materials and chemical products manufacturing by 2.1 percent. And the prices of non-ferrous metal smelting and calendering industries decreased by 1.4 percent. In addition, the price of imported liquefied natural gas increased by 5.3%, which affected the price of gas production and supply industries. The floating range of trading prices in the coal-fired power generation market was widened, and the price of electricity and heat production and supply industry rose by 3.0%.

On a year-on-year basis, the PPI rose 10.3 percent, 2.6 percentage points lower than the previous month. Specifically, the price of means of production rose by 13.4 percent, or 3.6 percentage points lower. And the price of means of living rose 1.0 percent, the same as the previous month. Prices rose in 37 of the 40 industrial sector categories surveyed, the same as the previous month. Among the major industries, the price increase slowed down: Coal mining and washing industry rose 66.8 percent, down 22.0 percentage points; The oil and natural gas extraction industry rose 45.6 percent, or 22.9 percentage points lower; The oil, coal and other fuel processing industry rose 36.4 percent, or 16.7 percentage points lower; The prices of chemical raw materials and chemical products were up 23.8 percent year-on-year; Ferrous metal smelting and rolling processing industry went up by 21.4 percent, or 9.6 percentage points lower; And non-ferrous metal smelting and rolling processing industry rose 20.0 percent, or 6.5 percentage points lower. The gas production and supply industry increased 12.5 percent, or 1.6 percentage points more; The production and supply of electricity and heat went up by 4.8 percent, or 2.4 percentage points; And food manufacturing rose 4.2 percent, or 0.7 percentage points.

For the whole of 2021, the producer price at the factory gate rose 8.1 percent from the previous year, and the purchase price at the industrial producer rose 11.0 percent. Among them, the prices of chemical raw materials and chemical products manufacturing rose by 19.1% .