FX.co ★ Italian Producer Prices Deepen Decline in January, Signaling Persistent Disinflationary Pressures

Italy’s producer prices extended their downward trend at the start of 2026, underscoring ongoing disinflationary forces in the industrial sector. According to the latest data updated on 10 March 2026, the Italian Producer Price Index (PPI) fell 1.6% year-over-year in January 2026, following a 1.4% year-over-year decline in December 2025.

The figures, measured on an annual comparison basis, indicate that factory-gate prices in January decreased more sharply than in the previous month when compared to the same period a year earlier. The acceleration in the negative PPI rate may point to weaker pricing power for producers and could translate into reduced cost pressures further down the supply chain, with potential implications for consumer inflation in the months ahead.