China Inflation Rate Below Expectations
2026-02-11 01:35
By
Farida Husna
1 min. read
China’s annual inflation eased sharply to 0.2% in January 2026 from 0.8% a month earlier, marking the lowest print since October and missing market expectations of 0.4%.
Food prices fell for the first time in three months (-0.7% vs 1.1% in December), dragged by drops in pork, eggs, and cooking oils.
Non-food inflation slowed (0.4% vs 0.8%), despite ongoing consumer trade-in programs.
Healthcare inflation slowed slightly (1.7% vs 1.8%), education cost was flat after a 0.9% rise previously, while housing (-0.1% vs -0.2%) and transport (-3.4% vs -2.6%) saw further declines.
Clothing prices, however, accelerated (1.9% vs 1.7%).
NBS statistician Dong Lijuan said the moderation in January inflation was mainly due to a high base and sharper energy price drops.
Meanwhile, core inflation, excluding food and energy, rose 0.8% year-on-year, the weakest in six months after 1.2% in December and November.
Monthly, CPI increased 0.2%, matching the December level but undershooting the 0.3% consensus.