WASHINGTON – U.S. import prices fell by 0.3% in May on a 3.7% plunge in fuel prices and flat reading for the non-fuel components. Import prices were also flat excluding just petroleum.
Compared to a year ago, overall import prices were still up 2.1% despite the May decline, but prices were up only 0.8% year/year excluding fuel prices, suggesting underlying imported price pressures remain contained.
The flat reading for import prices outside of fuels was the result of gains in foods and feed prices and auto prices that offset a decline in the price industrial goods outside of fuels. Prices for capital goods and consumer goods were both flat.
Petroleum import prices fell 3.9%, while the relatively small natural gas price category posted a 2.9% price decline.
Excluding the drop in fuel prices and the rise in foods and feeds prices, import prices were flat. The year-over-year rate of increase for this category was 0.6%, showing no significant underlying price pressure.
By region, prices for imports from Canada and Latin America moved lower, while prices from Mexico were marginally higher. Prices from the EU, China, and Japan were all flat.
Total export prices fell 0.7% in May as agricultural export prices fell 1.6%. Export prices excluding agriculture were down 0.6%. On a year/year basis, total export prices were up 1.4%, while nonagricultural prices rose 1.5%.
