According to the U.S. Bureau of Labor Statistics (BLS), the Producer Price Index (PPI) rose by 1.3% month-on-month in September 2026, marking its largest increase since early 2022. The rise was driven primarily by higher energy prices, which pushed up transportation and production costs.
Energy prices increased by 10.8%, including a 20.3% rise in gasoline prices and a 21% increase in diesel fuel prices. On an annual basis, diesel prices surged by 115.2%. As a result, road freight transportation costs rose by 19% compared with September of the previous year, recording their fastest annual increase in four years.
At the first two stages of intermediate production, prices for food products increased by 15.6% year-on-year, while wholesale food prices rose by 1.2% over the month. In the services sector, monthly price growth accelerated from 0.2% in August to 0.8% in September.
Overall, producer prices for goods increased by 2.6% over the month, the largest rise since the relevant data series began in December 2009. Higher energy prices accounted for more than 80% of the increase. Meanwhile, margins for trade services rose by 1.4%, accounting for nearly half of the overall increase in services prices.
China's policy of strengthening food security has led to an expansion in meat and dairy production, with output exceeding domestic demand. The resulting surplus is being directed towards export markets.
According to China's customs authorities, exports of poultry products reached $2.6 billion in 2025, doubling compared with 2020. For the first time, China became a net exporter of chicken meat. Exports of dairy products are projected to reach $600 million in 2026, doubling over the past three years.
Price competitiveness has become one of the factors supporting export growth. In particular, Chinese poultry products are offered to international buyers at prices approximately $1,000 per tonne lower than comparable products from Brazil and Thailand. Chinese companies currently supply meat products to more than 20 countries.
The European Commission has launched an anti-dumping investigation into imports of duck meat from China and imposed duties of 41–67% on Chinese pea protein. At the same time, China's trade deficit in agricultural and food products remained above $100 billion in 2025.
According to Reuters, shipments of high-sulphur fuel oil (HSFO) through the Strait of Hormuz have declined by at least 800,000 tonnes per month compared with February 2026.
Data from Kpler indicate that average monthly fuel oil exports through the strait amounted to 3.7 million tonnes between January 2025 and February 2026. Additional supply reductions are linked to disruptions at Russian oil refineries, resulting in estimated losses of 1 million tonnes of fuel oil per month.
Amid constrained supply, the premium over the benchmark price for high-sulphur fuel oil with a viscosity of 380 centistokes (cSt) increased tenfold in October, rising from $5.1 per tonne in February to $50 per tonne in October. Higher maritime transportation costs and shipping risks associated with the Strait of Hormuz are placing additional upward pressure on delivery costs.
Due to disruptions in crude oil supplies from Saudi Arabia, refineries in North Asia are increasing their use of fuel oil as an alternative feedstock. The volume of high-sulphur fuel oil processed in November is expected to exceed 1 million tonnes.
Meanwhile, demand for alternative marine fuels is increasing. According to the Maritime and Port Authority of Singapore, sales of liquefied natural gas (LNG) for marine bunkering reached 487,100 tonnes in January–September 2026, an increase of 21% year-on-year. Vitol is also expanding the geographical scope of its bunkering operations, including the use of Gwadar Port in Pakistan as an alternative to traditional supply routes in the Persian Gulf.
CERR Public Relations Sector
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