NBS: China's Dec CPI grows 0.8%, PPI falls 1.9% YoY

China's Consumer Price Index (CPI) in December 2025 rose by 0.8% compared with December 2024 - the highest on-year growth since March 2023 - and gained 0.2% from the previous month, while the country's Producer Price Index (PPI) dropped 1.9% on year, though it went up 0.2% on month, according to the latest data released by the country's National Bureau of Statistics (NBS) on Friday.

China's CPI increased at a faster pace last month, mainly driven by pro-consumption measures and stronger consumer demand ahead of the country's three-day New Year's Day holiday that started on January 1, according to Dong Lijuan, a senior statistician with NBS.

For example, domestic food prices climbed 0.3% on month and rose 1.1% on year. Specifically, the prices for fresh fruits and fresh vegetables increased 2.6% and 0.8% respectively on month, while compared with a year before they gained 4.4% and 18.2%, NBS data showed.

Meanwhile, consumer prices also rose for communication devices, maternal and infant products, recreational durable goods, and household appliances, Dong noted.

Excluding food and energy prices, China's core inflation last month went up by 0.2% on month and increased 1.2% on year, according to NBS data.

On the other hand, the country's PPI registered the third straight on-month gain in the final month of 2025, and its on-year drop narrowed, thanks to the improved industrial market fundamentals in China as well as the strengthening in global prices, Dong commented.

For example, China's coal mining and processing prices rose 1.3% on month, as the national government had effectively contained capacity expansion and rectified market competition in the industry, though the prices dropped 8.9% on year, NBS data showed.

Domestic prices for nonferrous metals manufacturing and processing climbed 2.8% on month and jumped 10.8% on year last month in parallel with the rising nonferrous prices in the overseas markets.

In contrast, China's prices for steelmaking and fabrication dipped 0.1% on month and fell 4.7% on year due to the weakening steel demand in the country, the data showed.

For the year of 2025, China's CPI remained unchanged from 2024, while its PPI lost 2.6% on year, according to NBS statistics.

Written by Anthea Shi, shihui@mysteel.com

Edited by Alyssa Ren, rentingting@mysteel.com

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