October 1999 U.S. Import and Export Price Indexes

Historical release narrative reproduced from the official public-domain source. Statistical tables, standard technical appendices, administrative material and attendance rosters are omitted; formatting is adapted for reading. Figures retain the release's historical context and may have been revised. Consult the linked source for the complete document.

- OCTOBER 1999-

The U.S. Import Price Index increased 0.5 percent in October, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. The increase--the fourth in a row--was again attributable primarily to higher petroleum prices. Export prices were up 0.3 percent in October, after posting no change in September.

Import Goods

The recent increases in import prices paralleled advances in the index for imported petroleum. For the year ended in October, import prices were up 4.1 percent, after declining 6.3 percent in the October 1997-98 period. Petroleum prices rose 4.9 percent in October and have jumped 70.7 percent during the past 12 months. In contrast, the price index for nonpetroleum imports edged up just 0.1 percent in October, the same increase recorded in the two prior months. Despite these recent gains, nonpetroleum import prices dipped 0.5 percent in the past year.

The modest October increase for nonpetroleum imports was led by rising prices for industrial supplies and materials and for automotive vehicles, parts, and engines. The price index for industrial supplies and materials excluding petroleum increased 1.0 percent in October, marking the sixth consecutive monthly increase in this component. For the year ended in October, the index rose 3.1 percent. Automotive vehicles, parts, and engines also increased last month, up 0.1 percent. Over the past 12 months, this index gained 1.2 percent.

In contrast, the indexes for foods, feeds, and beverages, for consumer goods, and for capital goods fell in October and over the past 12 months. The index for foods, feeds, and beverages--down 1.1 percent last month--fell for the fifth consecutive month. Over the past 12 months, the index dipped 5.3 percent. Both consumer goods and capital goods reversed gains recorded in September, declining 0.2 percent and 0.1 percent in October, respectively. For the year, consumer goods fell 0.6 percent, while capital goods dropped 3.1 percent.

Export Goods

Overall, export prices were up 0.3 percent last month and for the 12 months ended in October. Price increases for nonagricultural goods pushed the export index up in October, more than offsetting a decline in agricultural prices. The 0.2-percent decline in agricultural prices in October marked the fourth decline in the past five months for this component. For the year, the index for agricultural exports prices fell 3.3 percent. In contrast, nonagricultural export prices increased 0.4 percent in October, after gaining 0.1 percent in each of the previous four months. For the October 1998-99 period, the index rose 0.7 percent.

The increase in nonagricultural export prices continued to be led by rising prices for nonagricultural industrial supplies and materials, up 1.1 percent in October. The increase was the seventh in a row and brought the advance for the year ended in October to 4.2 percent. Also contributing to the October increase in nonagricultural export prices was a 0.7 percent increase in the index for exported automotive vehicles, which largely reflected the introduction of new models. (Note that the indexes in this release are not seasonally adjusted.) Consumer goods also increased in October, up 0.2 percent for both the month and the year.

In contrast, the index for capital goods posted no change in October and was down 1.1 percent for the October 1998-99 period.

Imports by Locality of Origin

The price index for imports from Japan continued a recent upturn, rising 0.3 percent in October after increasing 0.6 percent the previous month. Over the past 12 months, the index was up 2.5 percent.

Prices of imports from the Asian Newly Industrialized Countries rose 0.6 percent in October, the largest increase in the index since monthly publication began in October 1992. Despite recording gains in two of the past three months, the index fell 1.4 percent during the year ended in October.

The price indexes for imports from Latin America and Canada rose 1.5 percent and 0.6 percent, respectively, in October. Over the October 1998-99 period, the prices of imports from Latin America rose 10.5 percent, while the prices of imports from Canada were up 4.6 percent.

The price index of imports from the European Union also increased in October, as prices for nonmanufactured goods rose and prices for manufactured goods were unchanged. The overall index for imports from the European Union rose 0.3 percent in October and 0.4 percent for the year ended in October.