NBS urban statistics chief Dong Lijuan said July PPI rose 3.5% YoY, the YoY gain
narrowing 0.6 ppts from June. By industry, major upward contributors included
oil and gas extraction (+3.2%), petroleum/coal and other fuel processing
(+8.2%), chemical raw materials and chemical products manufacturing (+9.1%),
non-ferrous metal ore mining and dressing (+22.6%), non-ferrous metal smelting
and rolling (+20.2%) and ferrous metal smelting and rolling (+2.7%) — these six
industries together added ~2.55 ppts to PPI YoY. Coal mining and washing
(+27.1%), electrical machinery and equipment manufacturing (+5.7%) and computer,
communications and other electronic equipment manufacturing (+4.4%) together
added ~1.53 ppts. The combined upward pull from these nine industries fell by
0.56 ppts versus June. The largest downward drags were electricity and heat
production and supply, automobile manufacturing, non-metallic mineral products,
pharmaceutical manufacturing and beverages/refined tea (declines 2.3%–5.7%),
which together subtracted ~0.76 ppts from PPI YoY, a 0.05 ppt smaller drag than
in June.
