{"id":54313,"date":"2025-09-10T02:57:08","date_gmt":"2025-09-10T02:57:08","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/54313\/"},"modified":"2025-09-10T02:57:08","modified_gmt":"2025-09-10T02:57:08","slug":"chinas-consumer-prices-fall-more-than-expected-in-august-as-deflation-woes-persist","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/54313\/","title":{"rendered":"China&#8217;s consumer prices fall more than expected in August as deflation woes persist"},"content":{"rendered":"<p>People visit the US luxury brand Coach store at a shopping mall in Beijing.<\/p>\n<p>Adek Berry | Afp | Getty Images<\/p>\n<p>China&#8217;s consumer prices fell more than expected\u00a0in August while deflation in factory-gate prices persisted, as calls mounted for Beijing to ramp up measures to bolster sluggish domestic demand and cushion weakening exports growth.<\/p>\n<p>The consumer price index dipped 0.4% last month from a year earlier, according to data from the National Bureau of Statistics released Wednesday, compared with Reuters-polled economists&#8217; forecast for a 0.2% contraction.<\/p>\n<p>Core CPI, which strips out volatile food and energy prices, rose 0.9% from a year earlier, according to the official release.<\/p>\n<p>The producer price index dropped 2.9% in August from a year ago, in line with economists&#8217; estimates in a Reuters poll.<\/p>\n<p><a class=\"flourish-credit\" href=\"https:\/\/public.flourish.studio\/visualisation\/23657664\/?utm_source=embed&amp;utm_campaign=visualisation\/23657664\" target=\"_top\" style=\"text-decoration:none!important\" rel=\"nofollow noopener\"><img decoding=\"async\" alt=\"Made with Flourish\" src=\"https:\/\/public.flourish.studio\/resources\/made_with_flourish.svg\" style=\"width:105px!important;height:16px!important;border:none!important;margin:0!important;\"\/> <\/a><\/p>\n<p>While the deflation in PPI, now in its third year, has eased modestly compared to the prior months, a &#8220;continued upcycle is still some way off for China,&#8221; said Tianchen Xu, senior economist at Economist Intelligence Unit, citing Beijing&#8217;s reluctance to impose restrictions on industrial capacity and softening global demand for raw material and industrial goods.<\/p>\n<p>In terms of the recovery in core CPI, &#8220;it seems that demand stimulus played a role in propping up prices, even if it&#8217;s still far from China&#8217;s own inflation target,&#8221; Xu added. China has set its inflation target at around 2% for 2025.<\/p>\n<p>Chinese policymakers have intensified efforts aimed at reining in excessive price cuts that have eroded corporate profits while doing little to spur demand.<\/p>\n<p>A slew of local governments across the country have\u00a0<a href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/some-chinese-cities-pause-car-buying-subsidies-funds-run-out-2025-06-18\/\" target=\"_blank\" rel=\"nofollow noopener\">paused their consumer trade-in programs<\/a>\u00a0\u2014 that subsidize spending on cars, household appliances and smartphones \u2014 due to the rapid depletion of the allocated funds.<\/p>\n<p>Economists have ramped up calls for Beijing to unleash fresh fiscal support as fresh data signal mounting economic strains.<\/p>\n<p>The country&#8217;s exports growth slowed to 4.4% in August, slowest in six months, China&#8217;s customs data showed Monday, with economists expecting outbound shipments to come under pressure as the U.S. targets rerouting of goods via third countries.<\/p>\n","protected":false},"excerpt":{"rendered":"People visit the US luxury brand Coach store at a shopping mall in Beijing. Adek Berry | Afp&hellip;\n","protected":false},"author":2,"featured_media":54314,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[174],"tags":[4055,4053,491,79,207,179,18,19,17,188],"class_list":{"0":"post-54313","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-asia-economy","9":"tag-breaking-news-asia","10":"tag-breaking-news-markets","11":"tag-business","12":"tag-business-news","13":"tag-economy","14":"tag-eire","15":"tag-ie","16":"tag-ireland","17":"tag-markets"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/54313","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=54313"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/54313\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/54314"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=54313"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=54313"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=54313"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}