Consumer price index CPI Photo: CFP

China's consumer price index (CPI), a main gauge of inflation, grew 0.7 percent year-on-year in November, the highest since March 2024, according to data released by the National Bureau of Statistics (NBS) on Wednesday. 

The CPI growth in November accelerated 0.5 percentage point from October's reading, which was driven by the shift of food price from decline to rise, said NBS statistician Dong Lijuan, according to a statement on theNBS’ website. 

The core CPI, which excludes food and energy prices, increased by 1.2 percent year-on-year last month, with the growth rate remaining above 1 percent for three consecutive months, according to the NBS data. 

On a monthly basis, the CPI edged down 0.1 percent last month, which is mainly due to seasonal declines in services prices, according to the NBS.

Tian Yun, an economist based in Beijing, told the Global Times on Wednesday that the CPI index in November shows that domestic consumption is moderately rebounding as a series of consumption-boosting measures continue to take hold and deliver visible result. 

The notable rise in consumer price also squarely debunks what some foreign media claimed that China is facing a deflation pressure, showing that the world’s second-largest economy stays on a resilient growth trajectory, Tian said.

Analysts also noted that taking account of a low base, the “anti-involution” campaigns and the manifestation of consumption-stimulus policy, it is likely that CPI will likely maintain stable growth. 

Wednesday's data also revealed that the producer price index (PPI), which measures costs for goods at the factory gate, fell 2.2 percent year-on-year in November. The figure widened by 0.1 percentage point from that of October primarily due to a higher comparison base from the same period last year, according to the NBS. 

On a month-on-month basis, the PPI increased by 0.1 percent in November, marking the second consecutive month of gains,the NBS said. 

Global Times