Consumer Prices on the Rise in China: CPI Increases in 23 Provinces
The National Bureau of Statistics in China recently released data on the consumer price index (CPI) for the month of April 2024, revealing an increase in prices in 23 provinces compared to the previous year. Among them, Jiangxi province has seen prices leading the rise for two consecutive months.
According to the data, the national CPI in April rose by 0.1% month-on-month and 0.3% year-on-year, marking the third consecutive month of year-on-year increase. Of the 31 provinces in China, 23 provinces saw an increase in CPI year-on-year, while 3 provinces remained unchanged and 5 provinces experienced a decrease in prices compared to the previous year.
Leading the rise in prices were provinces such as Jiangxi, Qinghai, Inner Mongolia, and Hubei, among others. On the other hand, places like Hebei, Sichuan, Ningxia, and Shanxi saw a decrease in CPI year-on-year.
Economists attribute the increase in CPI to factors such as the expansion of pork prices, turning of vegetable prices from negative to positive year-on-year, and the rise in international crude oil prices. Looking ahead, experts predict a continued moderate recovery trend in CPI, with the expectation that prices may slightly expand in the coming months.
Various institutions have different forecasts regarding the future of CPI, with estimates ranging from 0.3% to 1.0% year-on-year increase in the second and third quarters of 2024. While some predict a steady rise in prices due to factors like low base effect and moderate recovery in consumption, others expect a more moderate increase in CPI in the upcoming months.
In conclusion, the CPI trend in China is likely to continue on a path of moderate growth, with various factors influencing the future trajectory of prices across different provinces. As the economy navigates through recovery post-pandemic, monitoring consumer prices will be crucial in understanding the overall economic landscape.