Japan building material prices rise in September 2026, metals up 40.2%
Nonferrous metals cost 40.2% more than a year earlier in September 2026 as Japan's producer price index rose 6.8%, lifting the cost of building.
The facts
- Nonferrous metals cost +40.2% more in September 2026 than a year earlier.
- The domestic producer price index for all commodities stood at 135.7 on a 2020 base, 6.8% above a year earlier and 0.3% below August.
- Lumber and wood products rose 8.5% over the year; ceramic, stone and clay products and metal products each rose 5.1%; iron and steel rose 3.2%.
- Scrap and waste rose 20.8% over the year.
- Import prices rose 24.5% measured in yen but 17.9% in contract currency, a difference of 6.6 points.
- Export prices rose 17.9% in yen and 12.4% in contract currency.
What it means for your money
- Build and refit costs are climbing fast. A weaker yen still cuts the dollar price of what you buy.
- The same currency split runs through transaction prices: in a nationwide survey of mortgage-financed purchases, the average used apartment stood at USD 3,307 per square metre, 8.0% higher in yen over twelve months but only 3.1% higher in US dollars.
- Where this lands first is the maintenance budget, not the purchase price: scrap at 20.8% and metal products at 5.1% feed into roofing, wiring and fit-out bills well before sale prices.
What to watch
- The Bank of Japan prints the October index on 12 November 2026.
- The 6.6-point gap between the yen-basis and contract-currency import series is the currency component, the part that moves with the exchange rate rather than with material costs.
- The index prices goods at the factory gate and does not cover on-site labour, which is contracted separately.
Sources: Bank of Japan, Corporate Goods Price Index September 2026, preliminary, published 13 October 2026 https://www.boj.or.jp/en/statistics/pi/cgpi_release/cgpi2609.pdf