China’s Consumer Prices Fall for the First Time in 13 Months as Deflationary Pressures Deepen

Observers believe that the deflation shadow is unlikely to dissipate for China, especially against the backdrop of a burgeoning trade war with Washington.

A container ship is loaded at the port in Lianyungang, in China's eastern Jiangsu Province, on Dec. 10, 2024. STR/AFP via Getty Images

China’s consumer price index (CPI) fell in February for the first time in 13 months, indicating that the country’s economy continues to face deflationary pressures.

According to the latest official data released by the National Bureau of Statistics of China on March 9, the CPI, which measures inflation and deflation in the economy, decreased by 0.7 percent year-on-year in February, marking the first annual decline since February 2024.