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New Zealand’s producer price inflation picked up notably at the start of 2026, with PPI Output rising 0.8% quarter-over-quarter in the first quarter, up from 0.1% in the previous period. The figures, updated on 18 May 2026, indicate a marked acceleration in prices received by producers compared with the muted increase recorded at the end of last year.
In the fourth quarter of 2025, PPI Output had inched up just 0.1% quarter-over-quarter, reflecting relatively subdued cost pressures at the factory gate. The latest data show that momentum has strengthened, as the first quarter of 2026 registers a much firmer gain when compared with the preceding quarter.
On a quarter-over-quarter basis, the “actual” 0.8% reading for Q1 2026 is measured against Q4 2025, while the earlier 0.1% “previous” figure for Q4 2025 was a comparison with the third quarter of 2025. The sharp step-up in producer prices may draw closer attention from markets and policymakers, as it could foreshadow higher consumer inflation if the trend persists.
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