Chinese inflation hit a two-year low in April

By: Trademagazin Date: 2023. 05. 11. 11:09

In April, inflation in China slowed down to a more than two-year low more than expected, according to a report from the National Bureau of Statistics on Thursday.

In China, the annual increase in consumer prices decreased to 0.1 percent in April from 0.7 percent in the previous month. Analysts expected inflation of 0.4 percent for April.

This year’s April inflation in China is the lowest since the February 2021 deflation. According to the statistical office, the inflation can be explained by the uneven recovery between different economic sectors and the different price development of the prices of food and non-food items after the end of the zero-Covid policy.

Food inflation fell to a 13-month low in April, to 0.4 percent from 2.4 percent in March. The rise in non-food industry prices also moderated further, from 0.3 percent to 0.1 percent. Within this, transport tariffs decreased by 3.3 percent in April after a 1.9 percent decrease in March, and housing costs decreased by 0.3 percent after 0.2 percent.