Saudi Producer Prices rise 7.5% in May on higher manufacturing costs

RIYADH — Saudi Arabia's Producer Price Index (PPI) increased by 7.5 percent in May 2026 to last year, driven mostly by higher manufacturing prices, according to the General Authority for Statistics (GASTAT). Other services that drove the increase include electricity, gas, steam and air conditioning supply, water supply, sewerage, waste management, and remediation activities.Manufacturing prices rose 8.0 percent year-on-year, driven by a 15.2 percent increase in the manufacture of chemicals and chemical products.

Figure from GASTAT's report showing the PPI annual change.

There was also a 12.7 percent rise in the manufacture of wearing apparel, a 10.7 percent increase in the manufacture of refined petroleum products, a 9.8 percent rise in the manufacture of basic metals, and a 3.2 percent increase in the manufacture of food products. Meanwhile, prices of electricity, gas, steam, and air-conditioning supply increased by 2.0 percent, while prices of water supply, sewerage, waste management, and remediation activities rose by 8.3 percent. On a monthly basis, the PPI declined 1.8 percent in May compared with April 2026, driven by a 2.0 percent decrease in manufacturing prices.

Figure from GASTAT's report showing the PPI monthly changes by division.