September 2007 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.

- SEPTEMBER 2007 -

The U.S. Import Price Index increased 1.0 percent in September, the Bureau of Labor Statistics of the U.S. Department of Labor reported today, following a 0.3 percent drop in August. The September rise was led by a 5.4 percent increase in petroleum prices. Export prices also advanced in September, rising 0.3 percent after a 0.2 percent increase in August.

Import Goods

Import prices resumed an upward trend in September, rising 1.0 percent for the month and 5.2 percent over the past 12 months. Higher prices for import petroleum accounted for the increase, rising 5.4 percent in September after dipping 1.1 percent in August. Since January, petroleum prices have jumped 40.3 percent. In contrast, nonpetroleum import prices edged down 0.2 percent in September, following a 0.1 percent drop in August. For the year ended in September, nonpetroleum import prices rose 2.0 percent.

The September downturn in nonpetroleum prices was driven by a 1.4 percent decline in nonpetroleum industrial supplies and materials prices. Lower prices for metals and natural gas were the primary contributors to the decrease. Despite the September drop, the price index for nonpetroleum industrial supplies and materials prices rose 3.6 percent over the past 12 months.

The price index for foods, feeds, and beverages rose 1.2 percent in September. The increase continued an upward trend over the past 15 months and was led by higher fruit prices. Foods, feeds, and beverages prices were up 8.9 percent for the year ended in September.

The price indexes for automotive vehicles and consumer goods each rose 0.2 percent in September. The increase in automotive vehicle prices followed a 0.2 percent advance in August and was led by an increase in prices for passenger cars. Consumer goods prices rose 0.2 percent for the third consecutive month. In September, higher prices for cotton apparel and household goods contributed to the advance.

Import prices for capital goods were unchanged in September, following a 0.2 percent increase in August.

Export Goods

Prices for overall exports continued an upward trend in September, rising 0.3 percent after a 0.2 percent advance in August. The increase was driven by a 4.1 percent rise in agricultural prices as nonagricultural prices were unchanged. The rise in agricultural prices was the largest one-month increase this year and followed advances of 1.1 percent in August and 1.6 percent in July. Higher prices for wheat, soybeans, and corn accounted for most of the September increase. Agricultural prices rose 23.3 percent over the past year. Nonagricultural prices continued to register little movement, recording no change in September after a 0.1 percent rise in August and a 0.1 percent decline in July. The price index for nonagricultural goods advanced 2.9 percent for the year ended in September, while overall export prices rose 4.5 percent for the same period.

The price indexes for capital goods and automotive vehicles each increased 0.1 percent in September. Capital goods prices and prices for automotive vehicles advanced 1.4 percent and 1.0 percent, respectively, for the year ended in September. Consumer goods prices were unchanged in September and up 2.1 percent over the past year.

In contrast, prices for nonagricultural industrial supplies and materials declined in September, falling 0.2 percent. That decrease followed a 0.2 percent advance in August and was largely led by lower prices for chemicals and some metals, which more than offset higher prices for fuel and steelmaking materials.

Imports by Locality of Origin

Import prices from China continued a recent upward pattern, rising 0.2 percent in September after a 0.4 percent increase in August. Prices for imports from China advanced 1.6 percent for the year ended in September, with the increase occurring over the past five months as the index was unchanged over the September 2006 to April 2007 period.

Rising fuel prices contributed to the September increases for Mexico, Canada, and the European Union. The price index for imports from Mexico rose 2.8 percent in September and 9.8 percent over the past year, while import prices from Canada and the European Union increased 0.4 percent and 0.2 percent, respectively, in September. Over the past year, the price indexes for imports from Canada and the European Union rose 5.3 percent and 1.4 percent, respectively.

Import prices from Japan also advanced in September, ticking up 0.1 percent. Prices for imports from Japan decreased 0.5 percent over the past 12 months.

Import and Export Services

The price index for export travel and tourism, which is lagged one month, advanced 0.4 percent in August after a 1.3 percent drop in July.

Import air passenger fares decreased 6.4 percent in September after increasing for six consecutive months. The downturn was driven primarily by lower Asian fares. Despite the September drop, the price index for import air passenger fares rose 7.0 percent for the year ended in September. Export air passenger fares also fell in September, decreasing 3.4 percent after a 3.4 percent gain in August. The index rose 8.6 percent over the past 12 months.

The price indexes for import air freight and export air freight each increased in September, rising 0.1 percent and 1.1 percent, respectively. For the year ended in September, import air freight prices advanced 0.8 percent, while export air freight prices rose 1.4 percent.