In April, influenced by changes in international crude oil prices and increased holiday travel demand, the Consumer Price Index (CPI) increased by 0.3% month-on-month and 1.2% year-on-year. The core CPI, excluding food and energy prices, rose 1.2% year-on-year, maintaining a moderate recovery. Driven by factors such as the rapid rise in international commodity prices, increased demand in some domestic industries, and the continuous optimization of market competition order, the Producer Price Index (PPI) increased by 1.7% month-on-month and 2.8% year-on-year, with the growth rates expanding compared to the previous month.
The latest data released by China's National Bureau of Statistics on May 11th shows that in April, the national CPI rose 1.2% year-on-year, with the growth rate expanding by 0.2 percentage points from the previous month. The national CPI turned from a 0.7% month-on-month decline in March to a 0.3% increase in April, which was 0.4 percentage points higher than the seasonal level, primarily due to rising energy and travel service prices.
An analyst from the National Bureau of Statistics indicated that industrial consumer goods prices rose 3.5% this month, an increase of 1.3 percentage points from the previous month, contributing approximately 1.06 percentage points to the year-on-year CPI increase. Among industrial consumer goods, domestic gasoline and gold jewelry prices saw significant changes due to fluctuations in international commodity prices. Gasoline prices surged by 19.3%, contributing about 0.56 percentage points to the year-on-year CPI increase.
The data also shows that the national PPI rose 2.8% year-on-year, with the growth rate expanding by 2.3 percentage points from the previous month. The national PPI increased by 1.7% month-on-month, with the growth rate expanding by 0.7 percentage points.
As explained in a post-data-release statement, the expansion in both the month-on-month and year-on-year PPI growth rates in April compared to March was mainly due to multiple factors, including international input factors driving up prices in domestic petroleum-related industries, rising prices driven by increased demand in some domestic sectors, and price increases or narrowed declines in related industries due to the continuous optimization of the domestic market competition order.
Specifically, rising international crude oil prices led to higher prices in domestic petroleum-related industries, with prices in the extraction of petroleum and natural gas rising 18.5% month-on-month. Rapidly growing computing power demand and the acceleration of electrification drove the price of optical fiber manufacturing up by 22.5% month-on-month, while the price of external storage devices and components increased by 3.2%.
I. CPI Shows Moderate Recovery On a month-on-month basis, the national CPI turned from a 0.7% decline in March to a 0.3% increase in April, which was 0.4 percentage points higher than the seasonal level, primarily influenced by rising energy and travel service prices. Affected by international crude oil price fluctuations, domestic energy prices rose 5.7%, with the increase expanding by 0.9 percentage points from the previous month, contributing approximately 0.39 percentage points to the month-on-month CPI increase. Among them, gasoline prices rose 12.6%. Service prices turned from a 1.1% decline in March to a 0.5% increase in April, which was 0.2 percentage points higher than the seasonal level, contributing about 0.22 percentage points to the month-on-month CPI increase. Among services, due to the Tomb-Sweeping Day holiday, the May Day holiday, and spring breaks in some regions, travel service demand increased significantly. Prices for air tickets, vehicle rentals, travel agency fees, and hotel accommodation rose by 29.2%, 8.6%, 4.5%, and 3.9% respectively, all exceeding seasonal levels. These four items collectively contributed approximately 0.17 percentage points to the month-on-month CPI increase. Medical service prices rose 0.6%, contributing about 0.04 percentage points to the month-on-month CPI increase. Food prices fell 1.6%, with the decline narrowing by 1.1 percentage points from the previous month, contributing about a 0.28 percentage point decrease to the month-on-month CPI. Among food items, with warmer weather leading to abundant supplies of fresh vegetables and fruits, their prices fell by 6.4% and 2.3% respectively. Ample supplies of pork and aquatic products led to price decreases of 5.7% and 1.2% respectively. These four items collectively contributed approximately a 0.28 percentage point decrease to the month-on-month CPI. Egg prices rose 3.4%, contributing about 0.01 percentage points to the month-on-month CPI increase. Prices of industrial consumer goods excluding energy fell 0.2%, remaining largely stable.
On a year-on-year basis, the national CPI rose 1.2%, with the growth rate expanding by 0.2 percentage points from the previous month. Industrial consumer goods prices rose 3.5% this month, an increase of 1.3 percentage points from the previous month, contributing approximately 1.06 percentage points to the year-on-year CPI increase. Among industrial consumer goods, affected by international commodity price fluctuations, domestic gasoline and gold jewelry prices saw significant changes. Gasoline price increases expanded to 19.3%, contributing about 0.56 percentage points to the year-on-year CPI increase. Gold jewelry price increases moderated to 46.9%, contributing about 0.20 percentage points. Prices for household appliances and clothing rose by 2.6% and 1.6% respectively, together contributing about 0.11 percentage points to the year-on-year CPI increase. Service prices rose 0.9%, with the increase expanding by 0.1 percentage points from the previous month, contributing approximately 0.44 percentage points to the year-on-year CPI increase. Among services, prices for basic public service items remained generally stable, with medical and education service prices rising by 3.4% and 0.5% respectively, together contributing about 0.25 percentage points. Travel service price increases expanded, rising 3.7% this month and contributing about 0.13 percentage points. Prices for labor-based services saw slight increases, with pet services, dining out, household services, and vehicle repair/maintenance prices rising between 1.1% and 1.4%. These four items collectively contributed approximately 0.10 percentage points to the year-on-year CPI increase. Food prices turned from a 0.3% increase in March to a 1.6% decrease in April. Among food items, pork prices fell 15.2%, with the decline expanding by 3.7 percentage points from the previous month, contributing about a 0.29 percentage point decrease to the year-on-year CPI. Fresh vegetable and fresh fruit prices fell by 0.5% and 1.0% respectively. Prices for beef, lamb, aquatic products, and eggs all increased, with rises ranging between 1.0% and 6.2%.
II. PPI Growth Expands On a month-on-month basis, the national PPI rose 1.7%, with the growth rate expanding by 0.7 percentage points from the previous month. The main characteristics of the month-on-month PPI operation this month were: First, international input factors affected price increases in domestic petroleum-related industries. Rising international crude oil prices drove up prices in domestic petroleum-related industries. Among them, prices in the extraction of petroleum and natural gas rose 18.5% month-on-month, prices in the processing of petroleum, coal, and other fuels rose 16.4%, prices in the manufacture of raw chemical materials and chemical products rose 8.3%, prices in the manufacture of chemical fibers rose 5.6%, and prices in the manufacture of rubber and plastics products rose 1.7%. Second, increased demand in some domestic industries drove price increases. Rapidly growing computing power demand and the acceleration of electrification led to a 22.5% month-on-month increase in optical fiber manufacturing prices, a 3.2% increase in external storage device and component prices, and a 0.2% increase in prices for the smelting and pressing of non-ferrous metals. The release of some coal inventory replenishment demand for power generation, combined with increased non-power coal demand from chemical and metallurgical industries, pushed prices in coal mining and washing up by 1.9%. The ongoing advancement of equipment renewal in manufacturing drove increased steel demand, leading to a 0.6% increase in prices for the smelting and pressing of ferrous metals. Third, the continuous optimization of domestic market competition order led to price increases or narrowed declines in related industries. The continued effectiveness of measures to curb "involution-style" competition was evident, with prices for the manufacture of lithium-ion batteries rising 1.6% month-on-month. Prices for the manufacture of new energy vehicles fell 0.1%, with the decline narrowing by 0.7 percentage points from the previous month.
On a year-on-year basis, the national PPI rose 2.8%, with the growth rate expanding by 2.3 percentage points from the previous month. Among the main industries with price increases, mining and processing of non-ferrous metal ores rose 38.9%, and smelting and pressing of non-ferrous metals rose 22.5%. Together, they contributed approximately 1.58 percentage points to the year-on-year PPI increase. Extraction of petroleum and natural gas rose 28.6%, processing of petroleum, coal, and other fuels rose 14.2%, and manufacture of raw chemical materials and chemical products rose 8.9%. Together, they contributed about 1.50 percentage points. Manufacture of electrical machinery and equipment rose 3.6%, and manufacture of computers, communication, and other electronic equipment rose 1.5%. Together, they contributed about 0.46 percentage points. Among the main industries with price declines, manufacture of non-metallic mineral products fell 5.5%, production and supply of electric power and heat power fell 4.2%, manufacture of automobiles fell 2.0%, and smelting and pressing of ferrous metals fell 1.1%. Together, they contributed approximately a 0.75 percentage point decrease to the year-on-year PPI.
In April, the national Consumer Price Index increased by 1.2% year-on-year. Specifically, urban areas saw a 1.2% increase, while rural areas saw a 1.0% increase. Food prices decreased by 1.6%, while non-food prices increased by 1.8%. Prices for consumer goods rose 1.4%, and service prices rose 0.9%. For the January-April period on average, the national CPI increased by 0.9% compared to the same period last year.
In April, the national CPI increased by 0.3% month-on-month. Specifically, urban areas saw a 0.3% increase, while rural areas saw a 0.1% increase. Food prices decreased by 1.6%, while non-food prices increased by 0.7%. Prices for consumer goods rose 0.1%, and service prices rose 0.5%.
I. Year-on-Year Price Changes for Various Categories of Goods and Services In April, prices for food, tobacco, alcohol, and dining out decreased by 0.8% year-on-year, contributing approximately a 0.24 percentage point decrease to the CPI. Among food items, prices for livestock meat decreased by 6.7%, contributing about a 0.28 percentage point decrease, with pork prices falling 15.2% and contributing about a 0.29 percentage point decrease. Fresh fruit prices decreased by 1.0%, contributing about a 0.02 percentage point decrease. Fresh vegetable prices decreased by 0.5%, contributing about a 0.01 percentage point decrease. Aquatic product prices increased by 1.3%, contributing about 0.02 percentage points.
Among the other seven major categories, six saw year-on-year increases and one saw a decrease. Specifically, prices for other supplies and services, transportation and communication, and healthcare increased by 11.0%, 4.6%, and 2.2% respectively. Prices for clothing, household goods and services, and education, culture, and entertainment increased by 1.5%, 1.4%, and 1.3% respectively. Housing prices decreased by 0.2%.
II. Month-on-Month Price Changes for Various Categories of Goods and Services In April, prices for food, tobacco, alcohol, and dining out decreased by 1.0% month-on-month, contributing approximately a 0.28 percentage point decrease to the CPI. Among food items, fresh vegetable prices decreased by 6.4%, contributing about a 0.11 percentage point decrease. Prices for livestock meat decreased by 2.7%, contributing about a 0.11 percentage point decrease, with pork prices falling 5.7% and contributing about a 0.10 percentage point decrease. Fresh fruit prices decreased by 2.3%, contributing about a 0.05 percentage point decrease. Aquatic product prices decreased by 1.2%, contributing about a 0.02 percentage point decrease. Egg prices increased by 2.7%, contributing about 0.01 percentage points.
Among the other seven major categories, three saw month-on-month increases, one remained flat, and three saw decreases. Specifically, prices for transportation and communication, education, culture, and entertainment, and healthcare increased by 3.5%, 0.5%, and 0.3% respectively. Prices for household goods and services remained flat. Prices for other supplies and services, clothing, and housing decreased by 0.5%, 0.3%, and 0.1% respectively.
In April, the national Producer Price Index increased by 2.8% year-on-year and 1.7% month-on-month. The purchasing prices for industrial producers increased by 3.5% year-on-year and 2.1% month-on-month. For the January-April period on average, the PPI increased by 0.2% compared to the same period last year, while the purchasing prices for industrial producers increased by 0.5%.
I. Year-on-Year Changes in Industrial Producer Prices In April, within producer prices, prices for means of production increased by 3.8%, contributing approximately 2.98 percentage points to the overall PPI increase. Among them, prices for mining and quarrying increased by 10.6%, prices for raw materials increased by 7.1%, and prices for processing industries increased by 1.5%. Prices for means of livelihood decreased by 1.0%, contributing approximately a 0.23 percentage point decrease to the overall PPI. Among them, food prices decreased by 1.9%, prices for clothing and general consumer goods both decreased by 1.1%, and prices for durable consumer goods decreased by 0.3%.
Within purchasing prices for industrial producers, prices for non-ferrous metal materials and wires increased by 21.3%, prices for chemical raw materials increased by 5.9%, prices for fuel and power increased by 4.4%, and prices for textile raw materials increased by 1.0%. Prices for building materials and non-metals decreased by 5.1%, prices for agricultural and sideline products decreased by 2.1%, and prices for ferrous metal materials decreased by 0.9%.
II. Month-on-Month Changes in Industrial Producer Prices In April, within producer prices, prices for means of production increased by 2.1%, contributing approximately 1.68 percentage points to the overall PPI increase. Among them, prices for mining and quarrying increased by 5.7%, prices for raw materials increased by 4.9%, and prices for processing industries increased by 0.4%. Prices for means of livelihood decreased by 0.1%, contributing approximately a 0.02 percentage point decrease to the overall PPI. Among them, food prices decreased by 0.4%, clothing prices decreased by 0.1%, while prices for general consumer goods and durable consumer goods both increased by 0.1%.
Within purchasing prices for industrial producers, prices for chemical raw materials increased by 7.3%, prices for fuel and power increased by 6.3%, prices for textile raw materials increased by 1.3%, prices for ferrous metal materials increased by 0.6%, and prices for agricultural and sideline products increased by 0.3%. Prices for building materials and non-metals decreased by 1.0%, and prices for non-ferrous metal materials and wires decreased by 0.1%.
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