China's Inflation Down to 3% in May


In May, the consumer price index (CPI) went up by 3.0 percent year-on-year. The prices grew by 3.0 percent in cities and 2.9 percent in rural areas. The food prices went up by 6.4 percent, while the non-food prices increased by 1.4 percent. The prices of consumer goods went up by 3.6 percent and the prices of services grew by 1.7 percent.

In May, the month-on-month change of consumer prices was down by 0.3 percent, prices in cities and rural areas went down by 0.3 percent, simultaneously. The food prices dropped by 0.8 percent, the non-food prices remained at the same level (the amount of change was 0). The prices of consumer goods decreased by 0.4 percent, and the prices of services increased by 0.1 percent.

In May, food prices went up by 6.4 percent year-on-year, affecting nearly 2.02 percentage points increase in the overall price level. Of which, the prices of fresh vegetables surged 31.2 percent, affecting nearly 0.78 percentage points increase in the overall price level; meat, poultry and related products rose by 5.1 percent, affecting nearly 0.36 percentage points increase in the overall price level.
 
Prices for tobacco and liquor went up by 3.3 percent year-on-year. Prices for clothing rose by 3.1 percent year-on-year.Prices for household facilities, articles and maintenance services went up by 1.9 percent year-on-year. Prices for health care and personal articles grew by 2.1 percent year-on-year. Prices for transportation and communication dropped 0.1 percent year-on-year. Prices for recreation, education, culture articles and services grew by 0.2 percent year-on-year.Prices for residence went up by 1.6 percent year-on-year. Of which, prices for house renting, up 2.2 percent, water, electricity and fuel, up 1.3 percent, and building and building decoration materials rose by 1.1 percent.
 
According to estimation, in the 3.0 percent growth in May, the carryover effect of last year’s prices rising accounted for 1.7 percentage points, while new prices rising factors in this year accounted for 1.3 percentage points.


TradingEconomics.com, National Bureau of Statistics of China
6/11/2012 10:41:50 AM