South Korea’s Producer Price Index rose 7.9% year on year in August 2026, accelerating from July’s 7.7% increase, while the index climbed 0.2% month on month to 129.64, based on 2020 prices. The latest preliminary figures show July’s monthly index declined 0.4%, revising the earlier comparison that described a 0.4% increase. Agricultural, forestry and marine products rose 3.8% month on month, led by heat-related crop losses and reduced livestock supply. Food prices rose 1.8% and fresh food prices jumped 7.4%, while producer prices excluding food were flat. Electricity, gas, water and waste increased 0.9%, including an 11.0% rise in industrial city gas. Manufacturing prices rose 12.2% year on year, led by coal and petroleum products, while services increased 4.4% annually but were flat monthly. The Domestic Supply Price Index fell 1.3% monthly for a second consecutive month, and the Total Output Price Index declined 1.2%. Bank of Korea officials said September producer prices face further upward pressure from higher international oil prices, renewed Middle East conflict and a 6.6% increase in industrial city gas rates.