China's consumer prices dropped by 0.1% year-on-year in April 2025, maintaining the same pace for the second month and matching market expectations.
It marked the third consecutive month of consumer deflation, weighed by the combined effects of ongoing trade tensions with the US, weak domestic demand, and persistent employment uncertainty.
Non-food prices were flat after the prior 0.2% rise, as increases in housing (0.1% vs 0.1% in March), healthcare (0.2% vs 0.1%), and education (0.7% vs 0.8%) were offset by a sharper drop in transport cost (-3.9% vs -2.6%).
On the food side, prices saw their smallest fall in three months, amid a sharp rebound in fresh food costs in the face of extreme weather, supply chain disruptions, and the impact of trade barriers.
Core inflation, which excludes volatile food and fuel prices, rose 0.5%, holding steady for the second month.
On a monthly basis, the CPI edged up 0.1%, reversing a 0.4% drop in March and recording the first increase in three months.
source: National Bureau of Statistics of China
