China Inflation


China: Inflation rose in February

March 10, 2015

In February, consumer prices rose 1.2% over the previous month, which largely overshot the 0.3% increase in January. The monthly reading reflected higher prices for foodstuffs as well as for recreation, education and culture.

Annual inflation rose from January’s 0.8% to 1.4% in February, which overshot the 1.0% that market analysts had expected. January’s print had represented the lowest rate since November 2009. As a result of acceleration in inflation, the trend halted the downward trend in place since September 2014. Annual average inflation remained at the previous month’s 1.8% in February.

Meanwhile, the producer price index fell 4.8% in February over the same month last year (January: -4.3% year-on-year), which marked the lowest rate since October 2009. Moreover, the print exceeded the 4.3% decline that market analysts had expected. The annual average variation of the producer price index inched down from minus 2.1% in January to minus 2.3% in February.

While the rebound in inflation partially reflected a distortion from the Chinese New Year, which fell in February this year but was in January in 2014, analysts warn that disinflationary pressures are still intact and that it paves the way for further monetary policy easing in the weeks to come.

FocusEconomics Consensus Forecast participants expect that inflation will average 1.9% in 2015, which is down 0.1 percentage points from last month’s estimate. In 2016, the panel sees inflation edging up to 2.2%. Meanwhile, the panel expects producer prices to decline 2.0% in 2015. In 2016, panelists see producer prices remaining flat.

Author: Ricard Torné, Lead Economist

Sample Report

Looking for forecasts related to Inflation in China? Download a sample report now.


China Inflation Chart

China Inflation February 2015

Note: Year-on-year and annual average variation of consumer price index in %.
Source: National Bureau of Statistics of China (NBS).

China Economic News

  • China: Credit and money data paint mixed picture in November

    December 11, 2018

    In November, Chinese banks distributed CNY 1.25 trillion (USD 182 billion) in new yuan loans, well above the CNY 697 billion distributed in October and market expectations of CNY 1.10 trillion.

    Read more

  • China: Inflation slows in November

    December 10, 2018

    Consumer prices fell 0.3% from the previous month in November, contrasting October’s 0.2% increase and marking the lowest print in eight months.

    Read more

  • China: Manufacturing sector slows to a standstill in November, PMI inches down to over two-year low

    November 30, 2018

    The manufacturing purchasing managers’ index (PMI) published by the National Bureau of Statistics (NBS) and the China Federation of Logistics and Purchasing (CFLP) edged down to an over two-year low of 50.0% in November from 50.2% in October, undershooting market expectations of a stable 50.2% reading.

    Read more

  • China: Growth in house prices inches up in October

    November 15, 2018

    House prices in 70 large- and medium-sized cities rose 1.0% in October in month-on-month terms according to a weighted average index calculated by Thomson Reuters from data issued by the National Bureau of Statistics (NBS).

    Read more

  • China: Industrial production growth inches up in October

    November 14, 2018

    Industrial production expanded 5.9% year-on-year in October, up from a 5.8% rise in September and overshooting market expectations of 5.8%. October’s print mainly reflected faster growth in the mining and manufacturing sectors, while the dynamics in the production and distribution of electricity, heating power, gas and water softened compared to September. On a month-on-month basis, industrial production increased 0.48% in seasonally-adjusted terms in October, unchanged from September’s expansion.

    Read more

More news

Search form