WASHINGTON — U.S. import prices returned to a more normal pace in December, rising by 0.1% after a 0.8% surge in November, as a further energy surge was offset by softness in other components, data released by the Bureau of Labor Statistics Wednesday showed.
Overall fuel prices rose 1.8%, slower than an 8.4% jump in November, but still solid. Petroleum prices rose 2.0%, partially offset by a 4.9% decline in natural gas prices.
However, import prices were down 0.2% excluding petroleum and were down 0.1% excluding all fuels. There was weakness across the board in December, with prices for foods, feeds, and beverages down 0.7%, industrial supplies ex. fuels down 0.1%, and consumer goods prices down 0.1%. Prices for capital goods and autos were flat.
Overall import prices were up 3.0% year/year, while prices excluding fuels were up 1.4% year/year and prices excluding petroleum were up 1.3% year/year, indicating that energy prices were the key driver of imported inflation.
However, the year/year measures for both overall import prices and prices excluding fuels showed significant acceleration from the year/year rates in December 2016, when overall prices rose 1.9% and nonfuel import prices rose 0.2%.
Excluding both fuels and feed, import prices were down 0.1% from November. The year-over-year rate of increase for this category was 1.4%.
By region, prices for imports from the EU was higher, but prices were flat from Canada, Mexico and Japan. Prices from China fell 0.1%.
Total export prices fell 0.1% in December as agricultural export prices fell 0.4%. Export prices excluding agriculture were flat.
Export prices were up 2.6% from a year earlier and were up 2.7% excluding agriculture. This compares with gains of 1.3% year/year and 1.4% year/year, respectively in December 2016.
