Chinese producer price inflation (PPI) accelerated from 0.3% year-over-year (yoy) in January 2021 to 1.7% yoy in February 2021. For March, an advance PPI inflation tracker points to an increase of 5% yoy. Global price pressures are building due to the yoy base effect, pent-up demand and on the back of supply chain disruptions. This can be seen in container shipping prices, which have doubled over the last couple of months. Inflation numbers will most likely overshoot on the upside in the coming months.