Inflation in China slowed to 0.7% in October, compared to 0.9% in the previous month, while industrial prices continued to accelerate, driven by increased energy costs, according to official data released today.
© Lusa
09/11/2026
by
Lusa
A inflation in China slowed to 0.7% in October, compared to 0.9% recorded in the previous month, while industrial prices continued to accelerate, driven by increased energy costs, according to official data released today.
The consumer price index (IPC), the main indicator of inflation in the country, was below analysts' predictions, which anticipated a slower downturn to 0.8%, according to data from the Chinese National Statistical Office (NBS).
In monthly terms, the CPI remained unchanged, in line with expectations, after having increased 0.2% in September.
The head of NBS Dong Lijuan pointed out as the main factor for the slowdown in food prices, namely fresh vegetables, pork, preferred by Chinese consumers, and fruit.
Still, inflation continued to be driven by the rise in gasoline prices, which rose by 22.4% on an annual basis due to the impact of the war on the Middle East.
The increase in technological products, such as data storage devices and computers, associated with the expansion of artificial intelligence (AI), also contributed to the rise in prices.
NBS also released the production price index (IPP), which measures industrial price developments and increased by 5.7% in October, in homologous terms, above 5% in September and analyst forecasts, which pointed to a 5.3% increase.
This is the highest value since mid 2022 and the eighth month following the increase in the indicator, after almost three and a half years in deflationary territory.
However, the baseline effect of comparison explains a significant part of the acceleration as the indicator fell by 2.1% in October 2025.
In monthly terms, the IPP increased by 0.7%, below the 1.2% increase in the previous month.
Dong again pointed out the conflict in the Middle East as one of the factors responsible for the evolution of industrial prices due to the increased costs of oil and natural gas.
She also highlighted the increase of chemicals derived from these raw materials and non-ferrous metals, such as aluminium, in a context of additional pressure associated with the preparation for winter.