China's inflation landscape showed mixed signals in April, with consumer prices reversing their prior monthly decline even as factory-gate deflation deepened, according to data released by the National Bureau of Statistics (NBS). The figures highlight the nuanced economic recovery path as policymakers balance domestic demand and external pressures.
The consumer price index (CPI) rose 0.1% month-on-month in April, recovering from a 0.4% decline in March. On an annual basis, CPI dipped 0.1%, maintaining March's trajectory. Meanwhile, the producer price index (PPI) fell 2.7% year-on-year, marking its 19th consecutive monthly contraction and signaling persistent challenges for industrial sectors.
NBS Chief Statistician Dong Lijuan noted that price movements reflected “imported influences impacting specific industries,” while emphasizing China’s “solid economic fundamentals” supported by coordinated policies and high-quality development efforts. She pointed to emerging positive momentum in select sectors, though details remain undisclosed.
Analysts suggest the CPI rebound reflects gradual recovery in domestic consumption, while PPI pressures underscore ongoing global commodity market volatility and weak industrial demand. The data arrives as international investors monitor policy responses to sustain growth in Asia's largest economy.
For businesses and markets, the figures reinforce the need to navigate diverging price trends across consumer and manufacturing sectors. Academics highlight the importance of tracking how these indicators interact with China’s innovation-driven economic reforms in coming quarters.
