August 2023 U.S. Import and Export Price Indexes

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U.S. import prices rose 0.5 percent in August, after ticking up 0.1 percent the previous month, the U.S. Bureau of Labor Statistics reported today. The August advance was led by higher fuel prices. Prices for U.S. exports increased 1.3 percent in August following a 0.5-percent rise in July.

BLS is seeking feedback on an upcoming methodological change to U.S. Import and Export Price Indexes. More information is available in the Federal Register Notice at www.federalregister.gov/documents/2023/09/11/2023-19486/comment-request. Please share your thoughts by emailing ipp_frn@bls.gov.

Imports

The price index for U.S. imports advanced 0.5 percent in August, the largest monthly increase since May 2022. Despite the August increase, U.S. import prices fell 3.0 percent over the past year. (See table 1.)

Fuel Imports: Import fuel prices rose 6.7 percent in August following a 2.2-percent advance in July. The August increase was the largest 1-month advance since March 2022. Higher prices for import petroleum and for natural gas in August contributed to the overall increase in fuel prices. In spite of the recent rises, prices for import fuel declined 19.0 percent over the past 12 months. The price index for import petroleum advanced 6.5 percent in August, after increasing 1.9 percent the previous month. Import petroleum prices fell 17.6 percent for the year ended in August. Prices for import natural gas rose 19.1 percent in August following a 13.7-percent advance in July. Import natural gas prices declined 51.8 percent over the past year.

All Imports Excluding Fuel: Prices for nonfuel imports edged down 0.1 percent for the second consecutive month in August. Nonfuel import prices have not recorded a monthly increase since February 2023. Lower prices in August for nonfuel industrial supplies and materials; capital goods; and automotive vehicles more than offset higher prices for foods, feeds, and beverages and consumer goods. Nonfuel import prices decreased 0.8 percent for the year ended in August.

Foods, Feeds, and Beverages: The price index for import foods, feeds, and beverages increased 0.7 percent in August following a 2.4-percent advance the previous month. Higher prices for feedstuff and foodgrains in August led the increase.

Nonfuel Industrial Supplies and Materials: Nonfuel industrial supplies and materials prices fell 0.8 percent in August, after decreasing 1.4 percent in July. The August decline was driven by lower prices for chemicals and unfinished metals.

Finished Goods: Prices for the major finished goods import categories were mixed in August. Capital goods prices declined 0.2 percent, the largest 1-month decrease since the index fell 0.3 percent in November 2019. The August decline was led by a 0.8-percent drop in the price index for computers, peripherals, and semiconductors. Prices for automotive vehicles edged down 0.1 percent in August following a 0.5-percent advance in July. Lower parts prices in August drove the decrease. In contrast, the price index for consumer goods ticked up 0.1 percent in August, after declining 0.2 percent the previous month.

Exports

Prices for U.S. exports advanced 1.3 percent in August, after increasing 0.5 percent the previous month. The August rise was the largest 1-month advance since the index increased 2.7 percent in May 2022. Higher nonagricultural prices in August more than offset lower agricultural prices. Despite the advance in August, U.S. export prices declined 5.5 percent over the past year. (See table 2.)

Agricultural Exports: Export agricultural prices decreased 2.2 percent in August following a 0.5-percent increase in July. The August decline was driven by lower prices for soybeans, corn, wheat, and nuts. Prices for agricultural exports fell 7.8 percent for the year ended in August. Lower prices for corn and soybeans were the primary contributors to the 12-month drop in export agricultural prices.

All Exports Excluding Agriculture: The price index for nonagricultural exports rose 1.7 percent in August, after advancing 0.6 percent the previous month. The August increase was the largest monthly advance since the index rose 2.7 percent in May 2022. Higher prices in August for nonagricultural industrial supplies and materials; capital goods; and automotive vehicles more than offset lower prices for consumer goods and nonagricultural foods. In spite of the recent increase, nonagricultural prices fell 5.3 percent from August 2022 to August 2023.

Nonagricultural Industrial Supplies and Materials: Prices for nonagricultural industrial supplies and materials advanced 4.2 percent in August following a 1.1-percent increase in July. The August rise was the largest 1-month advance since May 2022 and was driven by higher fuel prices.

Finished Goods: Prices for the major finished goods export categories were mixed in August. Prices for export capital goods ticked up 0.1 percent for the second consecutive month in August. Both the August and July increases were led by 0.3-percent advances in industrial and service machinery prices. The price index for automotive vehicles rose 0.2 percent in August, after increasing 0.2 percent in July. Higher prices for parts and passenger cars in August drove the advance. In contrast, consumer goods prices edged down 0.1 percent in August, the first monthly drop since a 0.3-percent decrease in November 2022. Lower prices in August for nonmanufactured consumer goods led the decline.

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 increased 0.1 percent in August following a 0.3- percent drop the previous month. The August rise was the first monthly advance since the index increased 0.4 percent in October 2022. Despite the advance, prices for imports from China declined 2.2 percent for the year ended in August. Import prices from Japan were unchanged in August, after increasing 0.4 percent in July. The price index for imports from Japan rose 1.2 percent from August 2022 to August 2023. Prices for imports from Canada advanced 2.0 percent in August, the largest 1-month increase since the index rose 2.6 percent in May 2022. Import prices from Canada decreased 11.0 percent over the past 12 months. Prices for imports from the European Union increased 0.6 percent in August, the largest monthly advance since January 2023. The price index for imports from Mexico rose 0.3 percent in August following a 2.3-percent increase the previous month. (See table 7.)

Exports by Locality of Destination: Prices for exports to China declined 0.3 percent in August, after increasing 1.3 percent the previous month. Export prices to China fell 7.9 percent for the year ended in August. The price index for exports to Japan was unchanged in August and has not recorded a 1-month advance since February 2023. Prices for exports to Japan decreased 10.4 percent over the past year. Export prices to Mexico rose 1.9 percent in August, the largest monthly advance since the index increased 2.1 percent in June 2022. Despite the August rise, the price index for exports to Mexico fell 8.2 percent over the past 12 months. Prices for exports to Canada and the European Union also increased in August, advancing 0.8 percent and 0.4 percent, respectively. (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 fell 0.4 percent in August, after increasing 1.6 percent in July. Lower export prices to China and higher import prices from China each contributed to the August decline. The index for U.S. terms of trade with China decreased 5.8 percent over the past 12 months. U.S. terms of trade with Japan was unchanged in August following a 1.9-percent decline in July. U.S. terms of trade with Japan fell 11.4 percent for the year ended in August. The U.S. terms of trade with Canada declined 1.2 percent in August, after decreasing 1.1 percent the previous month. U.S. terms of trade with Mexico increased 1.6 percent in August and U.S. terms of trade with the European Union decreased 0.2 percent over the same period. (See table 9.)

Import and Export Services

Imports: The index for import air passenger fares decreased 14.1 percent in August, after declining 9.2 percent in July. The August drop was the largest 1-month decrease since January 2022 and was led by lower European fares. Asian and Latin American/Caribbean fares also declined in August. Import air passenger fares fell 8.0 percent over the past year, the largest 12-month decrease since February 2021. Prices for import air freight declined 11.8 percent in August following a 0.8-percent drop the previous month. The August decrease was the largest monthly decline since January 2023 and was driven by lower Asian air freight prices. Import air freight prices fell 35.2 percent for the year ended in August. (See table 10.)

Exports: Export air passenger fares declined 8.8 percent in August, after increasing 4.2 percent the previous month. Lower European and Latin American/Caribbean fares in August more than offset higher Asian fares. Export air passenger fares fell 6.4 percent from August 2022 to August 2023, the first 12-month decrease since the index declined 1.0 percent for the year ended November 2021. Export air freight prices rose 5.5 percent in August following a 0.6-percent advance in July. The August increase was the largest 1-month rise since February 2022. Prices for export air freight fell 10.8 percent over the past 12 months.

U.S. Import and Export Price Index data for September 2023 are scheduled for release on Friday, October 13, 2023, at 8:30 a.m. (ET).