Energy prices boost industrial inflation by 2.6% in January

Industrial prices rose by 2.6% in January compared to the same month in 2024, a rate three-tenths higher than the previous month and the highest since February 2023. All this is due to the increase in energy prices, according to the National Institute of Statistics (INE) reported this Wednesday. With the year-on-year rise in the first month of 2025, inflation in the industrial sector has added three consecutive months of increases after having previously chained 20 months of negative rates.

The rise in industrial inflation in January was a consequence of the evolution of energy prices, which increased its interannual rate by one point, to 8.6% , due to the higher cost of gas production and oil refining.

On the other hand, among the industrial sectors with a negative influence, non-durable consumer goods stood out , with their year-on-year rate reduced by six-tenths, to -1.5%, due to the lower cost of manufacturing vegetable and animal oils and fats.

The annual rate of change in industrial prices, excluding energy, closed January at -0.2%, the same rate as in December 2024, thus placing it 2.8 points below the general index.

On a monthly basis (January 2025 over December 2024), industrial prices rose by 0.4% following an increase in the cost of oil refining (+5.8%) and gas production (+4.8%) and a decrease in the prices of electricity production (-3.9%), paper and cardboard manufacturing (-1.9%) and oil and fat manufacturing (-1.6%).

Focusing the data by Autonomous Communities, only Andalusia represents a negative rate (-3.1%) , while industrial inflation registered positive annual rates in January in 16 autonomous communities. The most pronounced increases in industrial prices, above double digits, occurred in the Canary Islands (+15.3%), the Balearic Islands (+13.9%) and Asturias (+12.8%), while the most moderate growth rates corresponded to Extremadura (+0.3%) and Castilla-La Mancha (+1.2%).