Energy costs push up Spanish industrial prices at record clip

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A man wearing a face mask enters a petrol station in Madrid, Spain, May 31, 2021. REUTERS/Susana Vera/File Photo

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Jan 25 (Reuters) - Spanish industrial production prices rose at a record fast rate for the third straight month in December, pushed up by soaring energy costs, the National Statistics Institute (INE) said on Tuesday.

Prices jumped 35.9% year on year in December, the fastest annual pace since the data started being released in January 1976. The 12-month rate was 33.1% in November.

Energy costs drove most of the increase, with a 95.9% jump in December from a year earlier, INE said, driven by increases in the prices of electricity production, transmission and distribution.

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The pace of price rise in oil refining declined in December compared to 2020.

Industrial production price hikes are generally partly transferred by companies to customers and end up fuelling inflation. In recent months, energy prices and inflation have sky-rocketed in Spain and other European countries due to disruptions in global supply chains and higher energy demand.

Spanish consumer prices in December hit the fastest annual pace since 1990, largely due to higher housing, energy and food costs.

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Reporting by Joanna Jonczyk-Gwizdala, Editing by Inti Landauro and Nick Macfie

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