FX.co ★ Portugal Producer Inflation Accelerates Again

Portugal’s industrial producer price inflation accelerated to 7.2% year-on-year in August 2026, the highest rate since February 2023. This marked the second consecutive monthly increase and a sharp rise from a downwardly revised 5.7% in July.

The main driver was energy, where inflation jumped to 22.8% from 15.8% in the previous month, reflecting renewed upward pressure on global oil prices. Inflation also picked up in other categories: consumer goods inflation rose to 2.1% from 1.6%, supported by higher prices for both durable consumer goods (2.5% vs 0.7%) and non-durable consumer goods (2.0% vs 1.7%), while inflation for intermediate goods increased to 7.4% from 6.4%.

In contrast, inflation for capital goods moderated, easing to 1.4% from 2.3%.

By sector, price pressures intensified most notably in utilities, where inflation climbed to 12.8% from 8.1%, and in manufacturing, where it rose to 5.9% from 4.7%. Inflation eased slightly in the mining sector, slipping to 72.5% from 73.0%, but remained exceptionally high.

On a monthly basis, industrial producer prices increased by 0.8% in August, matching the pace recorded in July.