Wholesale prices in Taiwan fell 0.23 percent year-on-year in May of 2019, after an upwardly revised 0.66 percent rise in the previous month. It was the largest decline in wholesale prices since January 2018, amid lower cost in manufacturing (-0.79 percent vs -0.02 percent in April), namely wood and bamboo products (-1.75 percent, after being flat in April) and chemicals & pharmaceuticals (-7.84 percent vs -5.61 percent). Also, prices slowed for mining & quarrying products (4.25 percent vs 9.31 percent) and water, electricity and gas supply (2.89 percent vs 3.32 percent). In contrast, cost continued to advance for agriculture, forestry, fishing & animal husbandry (5.02 percent vs 1.83 percent). On a monthly basis, wholesale prices increased 0.78 percent, following an upwardly revised 0.43 percent gain in April. Producer Prices Change in Taiwan averaged 0.25 percent from 1982 until 2019, reaching an all time high of 11.85 percent in October of 2004 and a record low of -13.99 percent in July of 2009.
Producer Prices Change in Taiwan is expected to be 6.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Producer Prices Change in Taiwan to stand at 6.50 in 12 months time. In the long-term, the Taiwan Wholesale Prices Change is projected to trend around 6.90 percent in 2020, according to our econometric models.