Japan’s wholesale inflation accelerated sharply in April, adding to expectations that the Bank of Japan could move toward another rate hike as early as June. The Corporate Goods Price Index rose 4.9% yoy, accelerating from 2.9% yoy in March and far exceeding market expectations of 3.0% yoy. It marked the fastest annual increase since May 2023.
On a monthly basis, producer prices climbed 2.3% mom after rising 1.0% mom previously, highlighting the growing impact of higher energy and import costs on Japan’s heavily import-dependent economy.
Petroleum and coal product prices rose 5.3% yoy, while chemical goods prices surged 9.2% yoy, the fastest pace since September 2022, reflecting broadening cost pressures linked to the Middle East conflict and disruption surrounding the Strait of Hormuz.
The weak Yen is also amplifying imported inflation pressures. Japan’s yen-based import price index surged 17.5% yoy in April, the fastest rise since December 2022.
| Indicator | March 2026 | April 2026 | Notes |
|---|---|---|---|
| Japan CGPI / PPI (YoY) | 2.9% | 4.9% | Fastest since May 2023 |
| Japan CGPI / PPI (MoM) | 1.0% | 2.3% | Sharp acceleration |
| Yen-Based Import Price Index (YoY) | 17.5% | Fastest since Dec 2022 | |
| Petroleum & Coal Goods Prices (YoY) | 5.3% | Reflecting higher crude and jet fuel costs | |
| Chemical Goods Prices (YoY) | 9.2% | Fastest since Sep 2022 |
