September 2017 U.S. Import and Export Price Indexes

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U.S. import prices increased 0.7 percent in September, the U.S. Bureau of Labor Statistics reported today, after advancing 0.6 percent in August. The price index for U.S. exports rose 0.8 percent in September, after increasing 0.7 percent the previous month.

Hurricane Harvey and Irma: Hurricanes Harvey and Irma had a small impact on the collection of the import and export price index data for September, but no change in the estimation procedures. For more information on the impact, please see https://www.bls.gov/bls/hurricanes-harvey-irma-maria.htm.

Imports

All Imports: Import prices rose 0.7 percent in September, the largest monthly rise since an increase of 0.7 percent in June 2016. The last time import prices advanced by more than 0.7 percent was a 1.2-percent increase in May 2016. Higher prices for both fuel and nonfuel imports contributed to the overall rise in import prices for September. Prices for U.S. imports also increased on a 12-month basis, advancing 2.7 percent.

Fuel Imports: Fuel prices increased 3.9 percent in September, after rising 4.4 percent in August. The monthly movements were the first advances since the index rose 0.3 percent in February, and the August rise was the largest advance since the index increased 6.1 percent in January. Prior to August, prices for import fuel fell 8.2 percent between February and July. The September advance was driven by a 4.5-percent rise in petroleum prices which more than offset a 7.8-percent drop in natural gas prices. Between September 2016 and September 2017 the price index for import fuel increased 18.2 percent, led by a 20.1-percent advance in petroleum prices over the same period. Prices for natural gas declined 16.3 percent for the year ended in September.

All Imports Excluding Fuel: The price index for nonfuel imports advanced 0.3 percent in September, following an identical increase in August. The major end-use categories largely increased in September and contributed to the rise in overall import prices. The most significant contributor was a 1.4-percent advance in nonfuel industrial supplies and materials prices, although rising prices for foods, feeds, and beverages, capital goods, and automotive vehicles also contributed to the September advance in nonfuel prices. Prices for nonfuel imports increased 1.3 percent for the year ended in September.

Exports

All Exports: U.S. export prices rose 0.8 percent in September following a 0.7-percent increase in August. The September advance was the largest monthly rise since an increase of 0.8 percent in June 2016. The last time the index increased by more than 0.8 percent was a 1.1-percent advance in May 2016. Prices for exports rose 2.9 percent over the past year. The September advance was driven by rising prices for nonagricultural commodities; agricultural export prices decreased in September.

Agricultural Exports: The price index for agricultural exports declined 0.7 percent in September, the first monthly decrease since the index fell 1.4 percent in June. Lower prices for meat, wheat, and corn drove the September decline. Despite the monthly decrease, export agricultural prices rose 2.2 percent over the past year, driven by increasing meat, wheat, and vegetable prices over the 12-month period.

All Exports Excluding Agriculture: Nonagricultural export prices increased 1.0 percent in September following an advance of 0.8 percent in August. Rising prices for nonagricultural industrial supplies and materials drove the overall increase in nonagricultural export prices in September, though higher prices for capital goods and automotive vehicles also contributed. The price index for nonagricultural exports advanced 3.0 percent for the year ended in September, led by rising nonagricultural industrial supplies and materials prices.

SELECTED SEPTEMBER HIGHLIGHTS

Import Prices

Imports by Locality of Origin: Import prices from China recorded no change in September, after edging down 0.1 percent in August. Prices for imports from China fell 0.7 percent for the year ended in September, the smallest over-the-year decline since the index fell 0.5 percent between April 2014 and April 2015. Import prices from Japan advanced 0.2 percent in September, the first monthly increase since the index rose 0.2 percent in March. In September, rising petroleum prices contributed to higher import prices from Canada, the European Union, and Mexico. Import prices from Canada rose 0.5 percent, the price index for European Union imports advanced 0.3 percent, and prices for imports from Mexico increased 1.4 percent.

Nonfuel Industrial Supplies and Materials: The price index for nonfuel industrial supplies and materials rose 1.4 percent in September, after increasing 1.0 percent in August. Contributing to the September advance were a 4.4-percent increase in unfinished metals prices and a 1.8-percent rise in prices for finished metals.

Finished Goods: Import prices for the finished goods categories were mixed in September. Prices for capital goods rose 0.1 percent following an identical increase in August. The advance was driven by a 1.6- percent rise in prices for excavating, paving, and construction machinery. The price index for automotive vehicles rose 0.1 percent and the price index for consumer goods fell 0.1 percent.

Foods, Feeds, and Beverages: Import foods, feeds, and beverages prices advanced 1.8 percent in September, the largest increase since a 3.1-percent rise in July 2016. The increase was led by a 12.5-percent rise in fruit prices which more than offset falling fish and shellfish prices.

Transportation Services: Import air passenger fares rose 8.5 percent in September after declining 10.6 percent in August. Higher European and Asian fares contributed to the September advance, which was the largest monthly increase since the index rose 8.9 percent in June 2015. Import air passenger fares decreased 3.7 percent over the past year. The price index for import air freight rose 0.4 percent in September and 19.6 percent over the past 12 months.

Export Prices

Nonagricultural Industrial Supplies and Materials: Nonagricultural industrial supplies and materials export prices increased 3.1 percent in September after a 1.9-percent advance in August. The September increase was led by a 6.6-percent rise in fuel prices, with higher prices for nonferrous metals and chemicals also contributing to the overall advance.

Finished Goods: Export price indexes for both capital goods and automotive vehicles rose 0.1 percent in September. Capital goods prices have not recorded a monthly decline since a 0.1-percent drop in October 2016, and the index advanced 1.2 percent over the past 12-months. The September increase was the second consecutive month in which prices for automotive vehicles advanced 0.1 percent, led by higher prices for passenger cars. The price index for consumer goods recorded no change in September.

Transportation Services: Export air passenger fares declined 8.7 percent in September, driven by a 20.7- percent decline in Asian fares which more than offset a 13.5-percent increase in European fares. Despite the September decline, the index rose 1.2 percent from September 2016 to September 2017. The price index for export air freight rose 0.2 percent in September and 3.1 percent over the past 12 months.

Import and Export Price Index data for October 2017 are scheduled for release on Thursday, November 16, 2017 at 8:30 a.m. (EST).