2025.08.2509:19:17UTC+00Iceland Producer Prices Fall Softer in July

In July 2025, Iceland experienced a 0.6% reduction in producer prices compared to the previous year, marking an improvement from the 1.5% decrease observed in June. This decline was largely attributed to a more moderate reduction in the metal industry, which fell by 10.7% versus 13.4% in June, as well as in exported products, which decreased by 3.6% compared to 4.7% before. Moreover, exported products excluding marine items saw a decrease of 10.8%, improving from the previous 12.7% decline. Conversely, the costs for food production saw an increase, rising to 9.2% from 8.7%, and prices for products marketed domestically grew to 6.5% from 6.2%. The rise in prices for marine products was less pronounced, at 10.0% down from 10.3%. Meanwhile, the cost stability in other manufacturing sectors remained constant at a decrease of 4.7%. On a month-to-month basis, producer prices in July edged up by 0.1%, bouncing back from the 0.6% decline seen in the preceding month.