Bank of Japan reports Services Producer Price Index annual growth at 2.6 percent in December

The Services Producer Price Index (SPPI) for all items increased by 2.6 percent in December 2025 compared to the previous year, marking a slight deceleration from the revised 2.7 percent annual growth recorded in November.

The index, excluding international transportation, also saw its annual increase at 2.7 percent in December, consistent with the revised figure from November.

On a monthly basis, both the all-items index and the index excluding international transportation registered no change, holding steady at 0.0 percent in December.

This indicates a stabilization in service producer prices at the end of the year, following a 0.3 percent monthly rise in November for both indices.

An analysis of major groups reveals varied price movements within the services sector.

Civil engineering and architectural services saw their annual growth accelerate to 6.5 percent in December from 5.3 percent in November.

Ocean freight transportation also recorded a significant increase, reaching 5.3 percent annual growth compared to 2.2 percent in the previous month.

Conversely, sectors such as hotels experienced a deceleration, with their yearly change easing to 10.9 percent in December from 13.3 percent.

Mobile telecommunications services also showed a slower pace of increase, dropping to 1.0 percent from 3.2 percent.

These divergent trends contributed to the overall moderation observed in the Services Producer Price Index.