August 2022 U.S. Import and Export Price Indexes

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Prices for U.S. imports declined 1.0 percent in August following a 1.5-percent decrease in July, the U.S. Bureau of Labor Statistics reported today. Lower fuel and nonfuel prices in August contributed to the decline in U.S. import prices. U.S. export prices fell 1.6 percent in August, after declining 3.7 percent the previous month.

Imports

The price index for U.S. imports declined 1.0 percent in August and 1.5 percent in July, the first time import prices have decreased in consecutive months since February, March, and April 2020. Prices for U.S. imports advanced 7.8 percent for the year ended in August, the smallest 12-month increase since the index rose 7.1 percent from March 2020 to March 2021. (See table 1.)

Fuel Imports: Import fuel prices decreased 6.8 percent in August, after a 7.5-percent decline the previous month. The declines in August and July were the first consecutive 1-month drops since the index decreased in October and September 2020. Despite the recent declines, import fuel prices rose 48.5 percent from August 2021 to August 2022. Lower petroleum prices in August, down 7.1 percent, led the decrease in fuel prices. The decline followed a 6.9-percent drop in July and was the largest monthly decrease since petroleum prices fell 7.7 percent in December 2021. Natural gas prices also declined in August, decreasing 2.8 percent, after falling 20.4 percent in July. The price indexes for petroleum and natural gas each increased over the past year, rising 48.1 percent and 66.5 percent, respectively.

All Imports Excluding Fuel: Prices for nonfuel imports declined 0.2 percent in August following a 0.5- percent decrease in July. Nonfuel import prices have not recorded a monthly advance since April 2022. Lower August prices for foods, feeds, and beverages; nonfuel industrial supplies and materials; and automotive vehicles more than offset higher consumer goods prices. Despite declining in each of the past 4 months, nonfuel import prices rose 3.9 percent over the past 12 months.

Foods, Feeds, and Beverages: The price index for foods, feeds, and beverages fell 1.6 percent in August, after decreasing 2.2 percent from April to July. The August drop was the largest 1-month decrease since November 2020. The August decline was driven by lower prices for fruit, meat, and fish and shellfish.

Nonfuel Industrial Supplies and Materials: The price index for nonfuel industrial supplies and materials declined 0.2 percent in August, after decreasing 6.4 percent from April to July. The August drop was led by lower prices for unfinished metals and selected building materials which more than offset higher finished metal prices.

Finished Goods: Prices were mixed for the major finished goods categories in August. Consumer goods prices ticked up 0.1 percent, the first 1-month advance since a 0.3-percent increase in March 2022. The August rise was led by higher furniture prices. In contrast, automotive vehicles prices declined 0.1 percent in August, the first monthly drop since the index fell 0.1 percent in November 2020. The August decrease was driven by lower parts prices. Prices for capital goods were unchanged in August, after ticking up 0.1 percent in July.

Exports

U.S. export prices declined 1.6 percent in August, after decreasing 3.7 percent in July. The revised July drop was the largest decrease since the monthly percent change series was first published in January 1989. Lower agricultural and nonagricultural prices each contributed to the August decline. Despite the recent drops, prices for U.S. exports advanced 10.8 percent over the past 12 months. (See table 2.)

Agricultural Exports: Prices for agricultural exports decreased 0.4 percent in August, after declining 3.2 percent the previous month. Lower August prices for corn, fruit, meat, and wheat more than offset higher prices for soybeans and vegetables. Export agricultural prices advanced 12.1 percent over the past year, the smallest 12-month increase since January 2021. Higher soybeans prices were the largest contributor to the advance in agricultural prices over the past year.

All Exports Excluding Agriculture: The price index for nonagricultural exports decreased 1.8 percent in August following a 3.8-percent drop in July. The August and July declines were the first monthly drops since the index fell 1.9 percent in December 2021. Lower August prices for nonagricultural industrial supplies and materials and nonagricultural foods more than offset higher consumer goods prices. Prices for nonagricultural exports advanced 10.7 percent for the year ended in August.

Nonagricultural Industrial Supplies and Materials: Nonagricultural industrial supplies and materials export prices fell 3.6 percent in August, after declining 7.9 percent the previous month. Both decreases were driven by lower fuel prices, down 5.6 percent in August and 13.4 percent in July.

Finished Goods: Prices were mixed for the major finished goods categories in August. Consumer goods prices advanced 0.3 percent after remaining unchanged in July and June. The August increase was led by a 2.9-percent rise in nonmanufactured consumer goods. Consumer goods prices advanced 4.0 percent from August 2021 to August 2022. The price indexes for capital goods and automotive vehicles were both unchanged in August following 0.6-percent advances the previous month.

More information for the major import and export price indexes can be found at www.bls.gov/web/ximpim/largest.htm.

Measures of Import and Export Prices by Locality

Imports by Locality of Origin: Import prices from China fell 0.2 percent in August, after being unchanged the previous month. Prices for imports from China have not recorded a monthly advance since the index ticked up 0.1 percent in April 2022. The price index for imports from China increased 2.1 percent over the past year. Import prices from Japan were unchanged in August following a 0.2-percent decline in July. Prices for imports from Japan advanced 1.2 percent for the year ended in August, the smallest 12-month increase since March 2021. The price index for imports from Canada fell 2.6 percent in August and import prices from Mexico declined 1.5 percent over the same period. Both indexes were driven by lower prices for nonmanufactured imports. Import prices from the European Union decreased 0.4 percent in August, the largest 1-month drop since the index fell 0.7 percent in April 2020. (See table 7.)

Exports by Locality of Destination: Prices for exports to China fell 1.7 percent in August, after decreasing 4.4 percent in July. The July drop was the largest monthly decline since the 1-month percent change series was first published in January 2018. Export prices to China rose 7.5 percent over the past 12 months, the smallest over-the-year increase since February 2021. The price index for exports to Japan fell 2.9 percent for the second consecutive month in August. The August and July monthly declines were the largest since the index decreased 3.5 percent in April 2020. Despite the recent drops, prices for exports to Japan advanced 9.5 percent for the year ended in August. Export prices to Canada and Mexico also fell in August, declining 0.1 percent and 1.4 percent, respectively. The price index for exports to the European Union decreased 1.9 percent in August following a 2.2-percent drop the previous month. (See table 8.)

Terms of Trade Indexes: Terms of trade indexes are based on country, region, or grouping and measure the change in the purchasing power of exports relative to imports. U.S. terms of trade with China declined 1.5 percent in August following a 4.4-percent decrease in July. Lower export prices to China in August more than offset lower import prices from China. Despite the recent drops, U.S. terms of trade with China increased 5.5 percent over the past 12 months. The index for U.S. terms of trade with Japan fell 2.8 percent in August, after declining 2.7 percent the previous month. The August decrease was the largest monthly decline since a 3.4-percent drop in April 2020. U.S. terms of trade with Japan rose 8.1 percent over the past year, the smallest 12-month increase since February 2021. U.S. terms of trade with the European Union also fell in August, declining 1.4 percent. In contrast, the indexes for U.S. terms of trade with Canada and Mexico increased in August, rising 2.6 percent and 0.2 percent, respectively. (See table 9.)

Import and Export Services

Imports: Import air passenger fares decreased 9.9 percent in August, after declining 0.2 percent the previous month. The August drop was the largest 1-month decrease since a 19.4-percent drop in January 2022. Lower European, Asian, and Latin American/Caribbean fares all contributed to the August decline in import air passenger fares. Import air passenger fares rose 7.0 percent over the past year. Import air freight prices increased 4.0 percent in August following a 12.9-percent drop in July. The August advance was led by a 5.5-percent rise in air freight prices from Asia. The price index for import air freight declined 0.3 percent for the year ended in August. (See table 10.)

Exports: Export air passenger fares fell 2.4 percent in August, after rising 8.3 percent in July. The August decline was the first monthly drop in export air passenger fares since an 11.2-percent decrease in February 2022. Lower European and Latin American/Caribbean fares more than offset higher Asian fares. Despite the August decline, export air passenger fares rose 7.7 percent over the past year. Export air freight prices advanced 2.2 percent in August and 25.3 percent over the past year.

U.S. Import and Export Price Index data for September 2022 are scheduled for release on Friday, October 14, 2022 at 8:30 a.m. (ET).