Economy

Japan’s Producer Prices Rise 1.5% in Dec.

Yomiuri Shimbun file photo
The Bank of Japan building

Jiji Press

10:00 JST, January 27, 2023

TOKYO (Jiji Press) — Japan’s services producer prices in December rose 1.5% from a year before, up for the 22nd consecutive month, the Bank of Japan said in a preliminary report Thursday.

The services producer price index, which measures the cost of services provided to corporate customers, stood at 107.7 against the 2015 base of 100, hitting the highest level since 107.8 in March 2001.

Transportation and postal services fees went up 2.5%, with international air passenger transportation fees jumping 31.9%.

International air freight transportation fees rose 23.5%, but the pace of growth decelerated from 36.9% in November reflecting a higher yen and a fall in demand due to the global economic slowdown. Road passenger transportation fees increased 4% because of taxi fare hikes.

For all of 2022, the producer price index rose 1.7% from the preceding year to 106.9, posting the sharpest rise since 1992, excluding 2014, when prices were affected by a consumption tax hike.