China witnessed signs of improvement in factory-gate prices in October 2025, with the decline in its producer price index (PPI) continuing to narrow, official data showed Sunday.

The PPI, which measures costs for goods at the factory gate, went down 2.1 percent year on year in October, the National Bureau of Statistics (NBS) said, noting that the decline narrowed by 0.2 percentage points from the previous month -- marking the third consecutive month of narrowing.

NBS statistician Dong Lijuan attributed the narrowed year-on-year decline in PPI to adjustments of production capacity in major industries, accelerated efforts to establish a modernized industrial system, and the unleashing of consumption potential.

On a monthly basis, the PPI went up 0.1 percent, representing the first rise this year, the data revealed.

In October, improvements in the supply and demand structure led to price increases in certain sectors -- such as the coal mining and processing industry, Dong said, noting that international price changes also impacted the prices of some domestic industries.