December 2022 U.S. Import and Export Price Indexes

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Prices for U.S. imports increased 0.4 percent in December, after declining 0.7 percent in November, the U.S. Bureau of Labor Statistics reported today. Higher nonfuel prices and fuel prices contributed to the December advance. U.S. export prices fell 2.6 percent in December following a 0.4-percent decrease the previous month.

Imports

U.S. import prices advanced 0.4 percent in December, the first monthly increase since the index rose 0.2 percent in June 2022. The December advance followed a 4.6-percent decline from June to November. The price index for U.S. imports increased 3.5 percent over the past 12 months, driven by higher fuel and nonfuel prices. (See table 1.)

Fuel Imports: Import fuel prices increased 0.6 percent in December, after declining 3.7 percent in November. The December advance is the first monthly increase since the index rose 5.6 percent in June 2022. Higher natural gas prices in December more than offset lower prices for petroleum. Import natural gas prices advanced 59.5 percent in December following a 1.5-percent increase in November. In contrast, petroleum prices declined 2.7 percent in December following a 4.0-percent drop in November. Prices for import fuel increased 19.4 percent from December 2021 to December 2022. Higher prices for both petroleum and natural gas drove the 12-month advance, rising 16.9 percent and 64.2 percent, respectively.

All Imports Excluding Fuel: Prices for nonfuel imports increased 0.4 percent in December, the first 1- month advance since a 0.4-percent rise in April 2022. Higher prices for nonfuel industrial supplies and materials; consumer goods; foods, feeds, and beverages; capital goods; and automotive vehicles all contributed to the December increase. The price index for nonfuel imports rose 1.9 percent in 2022, the smallest calendar-year advance since a 1.9-percent increase in 2020.

Foods, Feeds, and Beverages: Import foods, feeds, and beverages prices rose 0.4 percent in December, after increasing 1.8 percent the previous month. The advance in December was led by an 11.1-percent increase in prices for feedstuff and foodgrains.

Nonfuel Industrial Supplies and Materials: Nonfuel industrial supplies and materials prices rose 1.2 percent in December following a 2.1-percent decline in November. The December advance was the first monthly rise since the index increased 0.6 percent in April 2022. Higher prices for nonferrous metals and finished metals in December more than offset price decreases for chemicals and selected building materials.

Finished Goods: Import prices rose for each of the major finished goods categories in December. Consumer goods prices advanced 0.2 percent following declines of 0.2 percent in November, 0.3 percent in October, and 0.2 percent in September. The price index for capital goods ticked up 0.1 percent for the second consecutive month in December. Higher prices for industrial and service machinery in December more than offset lower prices for computers, peripherals, and semiconductors. Automotive vehicles prices ticked up 0.1 percent in December.

Exports

The price index for U.S. exports fell 2.6 percent in December, after declines of 0.4 percent in both November and October. U.S. export prices have not increased on a monthly basis since a 1.1-percent advance in June 2022. Lower prices for both nonagricultural and agricultural exports drove the decrease in December. Prices for U.S. exports rose 5.0 percent over the past 12 months, the smallest over-the-year advance since a 2.5-percent increase in January 2021. (See table 2.)

Agricultural Exports: Agricultural export prices decreased 2.4 percent in December following a 2.8- percent advance the previous month. Lower prices for corn, soybeans, meat, and wheat in December more than offset price increases for vegetables and fruit. The price index for agricultural exports increased 9.2 percent in 2022.

All Exports Excluding Agriculture: Nonagricultural export prices fell 2.7 percent in December, the largest monthly decline since a 3.8-percent drop in July 2022. The December decrease follows declines of 0.7 percent in November, 0.5 percent in October, and 0.9 percent in September. Lower prices for nonagricultural industrial supplies and materials drove the decrease in December, more than offsetting higher prices for capital goods, automotive vehicles, and nonagricultural foods. Despite the recent drops, nonagricultural export prices increased 4.4 percent over the past 12 months.

Nonagricultural Industrial Supplies and Materials: Nonagricultural industrial supplies and materials export prices declined 5.8 percent in December and have not recorded a 1-month increase since rising 2.4 percent in June 2022. The decrease in December was led by lower fuel prices.

Finished Goods: Export prices were mostly up for the major finished goods categories in December. Prices for capital goods increased 0.2 percent, resuming a trend of monthly increases dating back to January 2021, after declines of 0.1 percent in November and 0.2 percent in October. Higher prices for industrial and service machinery and electrical generating equipment in December more than offset lower computers, peripherals, and semiconductors prices. Prices for automotive vehicles rose 0.3 percent in December, after ticking up 0.1 percent in November. The price index for consumer goods was unchanged in December following a 0.3-percent decline in November.

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: Prices for imports from China edged down 0.1 percent in December, after being unchanged in November and rising 0.5 percent in October. The December drop was led by lower chemical prices from China. The price index for import prices from China increased 1.1 percent over the past year. Import prices from Japan ticked up 0.1 percent in December following a 0.1-percent decline the previous month. Prices for imports from Japan rose 2.3 percent in 2022, the largest calendar-year advance since 2011. The price indexes for imports from Canada and Mexico each fell in December, down 0.2 percent and 0.1 percent, respectively. Despite the declines, import prices from Canada rose 7.1 percent in 2022 and import prices from Mexico advanced 4.2 percent. In contrast, prices for imports from the European Union increased in December, advancing 1.3 percent, after falling 1.2 percent in November. The December rise was the largest 1-month increase since March 2022. (See table 7.)

Exports by Locality of Destination: The price index for exports to China decreased 2.3 percent in December following a 0.3-percent drop in November. Prices for exports to China were unchanged over the past year. Export prices to Japan declined 2.6 percent in December, after decreasing 0.6 percent in November. Prices for exports to Japan have not risen on a monthly basis since a 1.9-percent increase in May 2022. Despite the recent declines, export prices to Japan advanced 3.0 percent in 2022. The price indexes for exports to Mexico and the European Union also fell in December, decreasing 3.9 percent and 1.8 percent, respectively. In contrast, export prices to Canada rose 0.2 percent in December and increased 9.0 percent over the past year. (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 2.2 percent in December following a 0.3-percent decrease in November. Lower export prices to China in December more than offset lower import prices from China. The index for U.S. terms of trade with China fell 1.1 percent in 2022, the first calendar-year drop since a 1.3-percent decline in 2018. U.S. terms of trade with Japan decreased 2.7 percent in December, after a 0.4-percent drop the previous month. In contrast, U.S. terms of trade with Canada increased 0.4 percent in December following a 0.9-percent advance in November. The indexes for U.S. terms of trade with Mexico and the European Union fell in December, declining 3.8 percent and 3.1 percent, respectively. (See table 9.)

Import and Export Services

Imports: The index for import air passenger fares advanced 5.9 percent in December following a 0.6- percent decline in November. The December rise was the largest monthly increase since June 2022 and was led by higher Asian and Latin American/Caribbean fares. Import air passenger fares increased 13.4 percent from December 2021 to December 2022. Import air freight prices rose 11.1 percent in December, after declining 10.1 percent in November and 11.9 percent in October. The December increase was the largest 1- month rise since November 2021. Despite the December advance, prices for import air freight declined 21.7 percent over the past year. (See table 10.)

Exports: Export air passenger fares decreased 3.3 percent in December following a 0.3-percent increase in November. Lower December prices for Asian, European, and Latin American/Caribbean fares all contributed to the decline. Despite the December drop, export air passenger fares rose 7.7 percent over the past 12 months. Export air freight prices advanced 0.8 percent in December, the first monthly increase since the index rose 3.1 percent in May 2022. Prices for export air freight increased 5.9 percent for the year ended in December.

U.S. Import and Export Price Index data for January 2023 are scheduled for release on Friday, February 17, 2023, at 8:30 a.m. (ET).