Canadian producer prices surged 2.7% month-over-month in January 2026, sharply reversing a 0.9% decline in the prior month and far exceeding forecasts of 0.2%. The headline increase was driven primarily by a steep 18.2% jump in primary non-ferrous metal products. Additional upward pressure came from energy and petroleum products (+1.7%), chemicals and chemical products (+2.2%), motorized and recreational vehicles (+0.7%), and lumber and other wood products (+1.4%). On an annual basis, the Producer Price Index rose 5.4% in January, marking the 16th consecutive month of year-on-year gains.