Inflation & Prices
China’s Consumer Price Drop Worsens, Fueling Deflation Fears
- CPI fell 0.5% on-year in November, steepest decline since 2020
- Weak demand signals more policy aid needed to sustain growth
The consumer price index fell 0.5% last month from a year earlier, the National Statistics Bureau said in a statement Saturday.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
China’s consumer prices fell at the steepest pace in three years while producer costs dropped even further into negative territory, underscoring the challenges facing the economic recovery.
The consumer price index fell 0.5% last month from a year earlier, the national statistics bureau said in a statement Saturday. That’s the biggest drop since November 2020 and is weaker than the 0.2% drop projected by economists in a Bloomberg survey.