(Reuters] – The Spanish National Statistics Institute (INE), Friday’s data showed that industrial production prices in Spain rose at a record rate of annual growth for February. This was due to rising energy costs.

In Spain, the strong post-pandemic recovery has caused industrial prices to soar even before Russia’s incursion in Ukraine.

The February price rise was 40.7%, which is the highest since January 1976 when the data series started. This increase was due to a 114.4% energy cost hike compared to the previous month.

INE stated that capital goods rose by 4.6%, aided by higher carmakers’ costs.

Inflation is a result of companies passing on price increases in industrial production to their customers. The inflation rate and energy costs have increased in European countries in recent months. In Spain, the inflation rate is at its highest point in 35 years.

Russia’s attack on Ukraine and its resulting economic downturn have scuttled hopes of price increases slowing. The European Union’s southern members, such as Spain, has called for common energy policies in order to deal with the crisis.