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Economic News Release
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Producer Price Index News Release summary

Transmission of material in this release is embargoed until                          USDL 22-0020
8:30 a.m. (ET), Thursday, January 13, 2022

Technical information:      (202) 691-7705  *  ppi-info@bls.gov  *  www.bls.gov/ppi
Media contact:              (202) 691-5902  *  PressOffice@bls.gov   


                          PRODUCER PRICE INDEXES - DECEMBER 2021


The Producer Price Index for final demand increased 0.2 percent in December, seasonally 
adjusted, the U.S. Bureau of Labor Statistics reported today. This rise followed advances of 1.0 
percent in November and 0.6 percent in October. (See table A.) On an unadjusted basis, final 
demand prices moved up 9.7 percent in 2021, the largest calendar-year increase since data were 
first calculated in 2010. 

In December, the advance in the final demand index can be traced to a 0.5-percent increase in 
prices for final demand services. Conversely, the index for final demand goods decreased 0.4 
percent. 

Prices for final demand less foods, energy, and trade services rose 0.4 percent in December 
following a 0.8-percent increase in November. In 2021, the index for final demand less foods, 
energy, and trade services moved up 6.9 percent, following a 1.3-percent advance in 2020.

Final Demand

Final demand services: Prices for final demand services rose 0.5 percent in December following a 
0.9-percent increase in November. Over half of the broad-based advance in December is attributable 
to margins for final demand trade services, which moved up 0.8 percent. (Trade indexes measure 
changes in margins received by wholesalers and retailers.) Prices for final demand services less trade, 
transportation, and warehousing and for final demand transportation and warehousing services rose 
0.2 percent and 1.7 percent, respectively. 

Product detail: Over a quarter of the December increase in the index for final demand services can 
be attributed to margins for fuels and lubricants retailing, which rose 13.0 percent. The indexes for 
airline passenger services, food retailing, machinery and vehicle wholesaling, machinery and 
equipment parts and supplies wholesaling, and traveler accommodation services also moved higher. 
In contrast, margins for automobile and automobile parts retailing decreased 2.7 percent. The indexes 
for deposit services (partial) and for health, beauty, and optical goods retailing also declined. (See 
table 2.)

Final demand goods: The index for final demand goods moved down 0.4 percent in December, the 
first decrease since falling 2.8 percent in April 2020. Leading the December decline, prices for final 
demand energy dropped 3.3 percent. The index for final demand foods fell 0.6 percent. Conversely, 
prices for final demand goods less foods and energy advanced 0.5 percent. 

Product detail: A major factor in the December decrease in prices for final demand goods was the 
index for gasoline, which moved down 6.1 percent. Prices for meats, gas fuels, fresh and dry 
vegetables, diesel fuel, and primary basic organic chemicals also declined. In contrast, the index for 
ethanol increased 6.4 percent. Prices for residential electric power and for chicken eggs also moved 
higher. 

Table A. Monthly and 12-month percent changes in selected final demand price indexes, seasonally adjusted
Month Total
final
demand
Final
demand
less
foods,
energy,
and
trade
Final demand goods Final demand services Change
in final
demand
from 12
months
ago
(unadj.)
Change
in final
demand
less
foods,
energy,
and
trade
from 12
mo. ago
(unadj.)
Total Foods Energy Less
foods
and
energy
Total Trade Transportation
and
warehousing
Other

2020

Dec.

0.3 0.4 0.9 -1.4 4.9 0.5 0.0 -0.7 -0.2 0.4 0.8 1.3

2021

Jan.

1.2 1.0 1.6 1.6 5.1 0.8 1.0 0.8 0.7 1.2 1.6 1.9

Feb.

0.7 0.4 1.6 1.4 6.2 0.5 0.3 0.2 0.8 0.2 3.0 2.3

Mar.

0.8 0.6 1.5 0.6 5.0 0.8 0.3 0.2 1.4 0.4 4.1 3.1

Apr.

1.0 0.8 0.7 1.8 -1.2 1.0 1.2 2.3 3.6 0.4 6.5 4.8

May

0.9 0.5 1.5 2.7 1.2 1.1 0.6 1.7 0.2 0.2 7.0 5.3

June

0.9 0.6 1.2 0.8 2.9 1.0 0.6 0.9 1.6 0.3 7.6 5.6

July

0.9 0.8 0.7 -1.3 2.4 0.8 1.0 1.7 2.5 0.5 8.0 6.0

Aug.(1)

0.9 0.4 0.9 2.3 0.6 0.6 0.9 2.2 0.9 0.2 8.7 6.2

Sept.(1)

0.4 0.3 1.1 2.1 2.1 0.5 0.1 0.1 -1.2 0.3 8.8 6.0

Oct.(1)

0.6 0.3 1.3 -0.3 5.5 0.6 0.2 0.7 0.9 -0.2 8.9 6.2

Nov.(1)

1.0 0.8 1.1 1.3 2.0 0.8 0.9 1.2 2.7 0.6 9.8 6.9

Dec.

0.2 0.4 -0.4 -0.6 -3.3 0.5 0.5 0.8 1.7 0.2 9.7 6.9

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for August 2021 through November 2021 have been revised to reflect the availability of late reports and corrections by respondents.

Intermediate Demand by Commodity Type

Within intermediate demand in December, prices for processed goods moved down 0.3 percent, the 
index for unprocessed goods dropped 5.6 percent, and prices for services advanced 0.8 percent. (See 
tables B and C.)

Processed goods for intermediate demand: The index for processed goods for intermediate 
demand fell 0.3 percent in December, the first decline since moving down 3.5 percent in April 2020. 
Leading the December decrease in prices for processed goods for intermediate demand, the index for 
processed energy goods dropped 4.1 percent. Prices for processed foods and feeds moved down 0.5 
percent. Conversely, the index for processed materials less foods and energy rose 0.7 percent. In 
2021, prices for processed goods for intermediate demand surged 24.4 percent, the largest calendar-
year increase since jumping 28.9 percent in 1974.

Product detail: A major factor in the December decline in prices for processed goods for 
intermediate demand was the index for diesel fuel, which dropped 5.9 percent. Prices for utility 
natural gas, gasoline, primary basic organic chemicals, liquefied petroleum gas, and meats also 
moved down. In contrast, the index for softwood lumber rose 24.4 percent. Prices for ethanol and for 
dairy products also increased.

Unprocessed goods for intermediate demand: Prices for unprocessed goods for intermediate 
demand fell 5.6 percent in December, the first decline after eight consecutive increases. Leading the 
decrease in the index for unprocessed goods for intermediate demand, prices for unprocessed energy 
materials dropped 13.1 percent. The index for unprocessed nonfood materials less energy declined 
2.0 percent. Conversely, prices for unprocessed foodstuffs and feedstuffs rose 2.8 percent. In 2021, 
the index for unprocessed goods for intermediate demand surged 38.0 percent, the largest calendar-
year increase since data were first calculated in 1948.

Product detail: Sixty percent of the December decrease in prices for unprocessed goods for 
intermediate demand can be traced to the index for crude petroleum, which fell 16.4 percent. The 
indexes for natural gas, nonferrous metals, raw milk, carbon steel scrap, and fresh fruits and melons 
also moved down. In contrast, prices for slaughter poultry rose 17.7 percent. The indexes for grains 
and for phosphates also increased.

Table B. Monthly and 12-month percent changes in selected intermediate demand price indexes for goods by commodity type, seasonally adjusted
Month Processed goods for intermediate demand Unprocessed goods for intermediate demand
Total Foods
and
feeds
Energy
goods
Less
foods
and
energy
Total,
change
from 12
months
ago
(unadj.)
Total Foodstuffs
and
feedstuffs
Energy
materials
Nonfood
materials
less
energy
Total,
change
from 12
months
ago
(unadj.)

2020

Dec.

1.4 -0.6 2.6 1.4 1.5 2.1 -3.6 6.5 5.3 1.3

2021

Jan.

1.8 0.9 1.9 1.8 3.4 5.3 2.7 5.4 8.6 7.9

Feb.

2.9 2.2 6.7 2.0 7.1 11.9 2.4 33.6 -0.6 29.2

Mar.

3.5 1.5 7.9 2.6 12.4 -4.2 1.6 -13.5 1.9 34.8

Apr.

1.9 2.8 -2.8 3.0 18.7 2.0 8.7 -4.8 2.2 59.2

May

2.9 3.0 3.8 2.7 22.3 7.2 5.0 8.3 8.9 57.8

June

1.8 1.8 1.1 2.0 23.0 1.8 -0.8 5.6 0.5 52.9

July

1.6 -1.0 3.4 1.4 23.1 2.9 -1.9 9.7 0.5 56.0

Aug.(1)

0.9 1.5 -0.6 1.2 23.0 1.9 4.4 0.2 1.5 52.5

Sept.(1)

1.1 1.6 2.1 0.8 23.7 2.7 0.9 7.9 -2.2 48.5

Oct.(1)

2.4 -1.0 7.2 1.6 25.7 5.8 -3.1 18.0 -1.6 55.7

Nov.(1)

1.6 0.0 3.5 1.3 26.5 2.1 1.4 1.7 3.9 49.3

Dec.

-0.3 -0.5 -4.1 0.7 24.4 -5.6 2.8 -13.1 -2.0 38.0

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for August 2021 through November 2021 have been revised to reflect the availability of late reports and corrections by respondents.

Services for intermediate demand: The index for services for intermediate demand rose 0.8 percent 
in December, the largest advance since climbing 1.2 percent in June. Leading the broad-based 
increase in December, margins for trade services for intermediate demand jumped 1.4 percent. Prices 
for services less trade, transportation, and warehousing for intermediate demand and for 
transportation and warehousing services for intermediate demand also moved higher, rising 0.4 
percent and 1.6 percent, respectively. In 2021, the index for services for intermediate demand 
advanced 8.0 percent, the largest calendar-year increase since data were first calculated in 2010. 

Product detail: One-fifth of the December rise in prices for services for intermediate demand is 
attributable to margins for machinery and equipment parts and supplies wholesaling, which advanced 
2.6 percent. The indexes for loan services (partial), arrangement of freight and cargo transportation, 
gross rents for retail properties, television advertising times sales, and fuels and lubricants retailing 
also moved higher. Conversely, prices for deposit services (partial) fell 4.3 percent. The indexes for 
building materials, paint, and hardware wholesaling and for air mail and package delivery services 
(excluding USPS) also declined.

Table C. Monthly and 12-month percent changes in selected intermediate demand price indexes for services by commodity type, seasonally adjusted
Month Services for intermediate demand
Total Trade Transportation
and
warehousing
Other Total, change
from 12 months
ago (unadj.)

2020

Dec.

0.7 2.4 -0.3 0.4 2.1

2021

Jan.

1.1 1.3 0.5 1.2 3.0

Feb.

0.3 0.1 1.2 0.1 3.6

Mar.

0.6 1.2 0.9 0.5 4.3

Apr.

1.3 2.7 2.3 0.6 7.3

May

0.6 2.1 0.9 0.1 8.4

June

1.2 2.4 2.0 0.6 9.3

July

0.6 1.1 0.7 0.5 9.5

Aug.(1)

0.4 2.0 0.8 -0.2 9.0

Sept.(1)

0.4 -1.2 2.5 0.5 8.2

Oct.(1)

0.0 0.5 0.5 -0.3 7.5

Nov.(1)

0.3 -1.0 0.9 0.7 7.9

Dec.

0.8 1.4 1.6 0.4 8.0

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for August 2021 through November 2021 have been revised to reflect the availability of late reports and corrections by respondents.

Intermediate Demand by Production Flow

Stage 4 intermediate demand: Prices for stage 4 intermediate demand increased 0.6 percent in 
December after climbing 1.0 percent in November. In December, the index for total services inputs 
to stage 4 intermediate demand moved up 0.7 percent, and prices for total goods inputs rose 0.4 
percent. (See table D.) Advances in the indexes for machinery and equipment parts and supplies 
wholesaling; softwood lumber; biological products (including diagnostics); gross rents for retail 
properties; loan services (partial); and warehousing, storage, and related services outweighed 
declining prices for gasoline, meats, and deposit services (partial). In 2021, the index for stage 4 
intermediate demand moved up 12.4 percent, after rising 2.4 percent in 2020.

Stage 3 intermediate demand: Prices for stage 3 intermediate demand rose 0.4 percent in December 
following a 0.8-percent advance in November. In December, the index for total services inputs to 
stage 3 intermediate demand moved up 0.8 percent, while prices for total goods inputs were 
unchanged. Increases in the indexes for arrangement of freight and cargo transportation, slaughter 
poultry, grains, softwood lumber, slaughter cattle, and temporary help services outweighed falling 
prices for diesel fuel, raw milk, and deposit services (partial). In 2021, the index for stage 3 
intermediate demand jumped 20.2 percent, after inching down 0.1 percent in 2020.

Stage 2 intermediate demand: The index for stage 2 intermediate demand declined 2.3 percent in 
December, the largest decrease since a 4.4-percent drop in April 2020. In December, prices for total 
goods inputs to stage 2 intermediate demand fell 5.8 percent. In contrast, the index for total services 
inputs advanced 1.3 percent. Decreases in prices for crude petroleum, gas fuels, primary basic 
organic chemicals, deposit services (partial), nonferrous scrap, and carbon steel scrap outweighed 
increases in the indexes for fuels and lubricants retailing, ethanol, and loan services (partial). In 2021, 
prices for stage 2 intermediate demand rose 21.2 percent, after moving up 1.4 percent in 2020.

Stage 1 intermediate demand: Prices for stage 1 intermediate demand edged up 0.1 percent in 
December following a 1.2-percent increase in November. In December, the index for total services 
inputs to stage 1 intermediate demand rose 0.6 percent. Conversely, prices for total goods inputs fell 
0.3 percent. In December, advances in the indexes for airline passenger services, ethanol, agricultural 
chemicals and chemical products, grains, and machinery and equipment parts and supplies 
wholesaling outweighed decreases in the indexes for diesel fuel; utility natural gas; primary basic 
organic chemicals; and building materials, paint, and hardware wholesaling. In 2021, prices for stage 
1 intermediate demand increased 17.5 percent, following a 2.6-percent rise in 2020.

Table D. Monthly percent changes in selected intermediate demand price indexes by production flow, seasonally adjusted
Month Stage 4 intermediate
demand
Stage 3 intermediate
demand
Stage 2 intermediate
demand
Stage 1 intermediate
demand
Total Goods
inputs
Services
inputs
Total Goods
inputs
Services
inputs
Total Goods
inputs
Services
inputs
Total Goods
inputs
Services
inputs

2020

Dec.

0.9 0.7 1.1 1.1 1.7 0.7 1.8 3.9 0.3 2.8 4.2 1.1

2021

Jan.

1.4 1.5 1.3 1.8 1.9 1.5 2.6 4.9 0.9 1.7 2.3 1.2

Feb.

0.8 1.5 0.3 2.2 4.2 0.5 5.4 12.4 0.2 1.6 3.1 0.2

Mar.

1.4 2.1 0.8 2.4 4.5 0.6 -1.5 -3.9 0.6 2.2 3.7 0.9

Apr.

1.5 1.7 1.2 3.0 4.9 1.3 0.4 -0.5 1.2 1.7 1.9 1.7

May

1.2 2.2 0.5 2.2 3.6 0.9 3.0 6.4 0.2 2.7 4.0 1.3

June

1.3 1.5 1.1 1.6 1.7 1.4 2.1 3.1 1.3 1.5 1.6 1.5

July

0.9 0.9 1.0 0.9 1.4 0.5 2.2 4.2 0.5 1.4 2.1 0.8

Aug.(1)

0.7 0.9 0.5 1.1 1.9 0.3 0.7 0.9 0.5 0.8 1.1 0.5

Sept.(1)

0.4 0.7 0.1 1.1 1.2 1.0 2.1 3.5 0.9 0.1 0.6 -0.4

Oct.(1)

0.6 1.3 0.1 1.0 1.8 0.2 3.7 7.9 -0.1 1.1 2.5 -0.3

Nov.(1)

1.0 1.5 0.5 0.8 1.3 0.1 1.0 1.5 0.5 1.2 2.1 0.2

Dec.

0.6 0.4 0.7 0.4 0.0 0.8 -2.3 -5.8 1.3 0.1 -0.3 0.6

Footnotes
(1) Some of the figures shown above and elsewhere in this release may differ from those previously reported because data for August 2021 through November 2021 have been revised to reflect the availability of late reports and corrections by respondents.

________________
The Producer Price Index for January 2022 is scheduled to be released on Tuesday, February 15, 2022 
at 8:30 a.m. (ET).

                                                *****

        Recalculated Seasonal Adjustment Factors and Relative Importance Figures to be Available on 
                                          February 11, 2022

Each year with the release of PPI data for January, seasonal adjustment factors and relative 
importance figures are recalculated to reflect price movements from the just-completed calendar 
year. The following seasonal information will be available on February 11, 2022 (2 workdays 
prior to the release of PPI data for January 2022 on February 15, 2022):

*  Direct seasonal factors for PPI commodity indexes for the year 2022,
*  Recalculated seasonal factors for the last 5 years (2017-2021) for PPI commodity indexes, 
*  Recalculated seasonal factors for the last 5 years (2017-2021) for PPI Final Demand-
   Intermediate Demand indexes, 
*  Recalculated seasonal index data for the last 5 years (2017-2021) for Final Demand-
   Intermediate Demand and commodity indexes. This revision to seasonally adjusted indexes 
   for the previous 5 years will be posted to the PPI database on the BLS website. 

In addition, the following relative importance tables, which include values for December 2021, 
will be available on February 11, 2022:  

*  Final demand by individual commodities
*  Final demand by component series
*  Individual commodities of intermediate demand by commodity type
*  Component series of intermediate demand by commodity type
*  Individual commodities of intermediate demand by production flow
*  Component series of intermediate demand by production flow
*  Commodities, all levels
*  Wherever-provided services and construction

This information will be available on the PPI website at www.bls.gov/ppi or by contacting the 
PPI Section of Index Analysis and Public Information at ppi-info@bls.gov or (202) 691-7705.

                                                *****
           Coronavirus (COVID-19) Impact on December 2021 Producer Price Index Data

For each month from March 2020 to December 2021, BLS has published a summary of the 
impact of the pandemic on the Producer Price Index news release and data. The impact summary 
for December is available at www.bls.gov/covid19/producer-price-indexes-covid19-impacts-
december-2021.htm. Beginning with publication of January 2022 data in February 2022, this 
month-specific impact summary will be discontinued. However, information related to the 
impact of the pandemic will continue to be available at www.bls.gov/covid19/effects-of-covid-
19-pandemic-on-producer-price-index.htm.

Last Modified Date: January 13, 2022