2025.09.1001:30:00UTC+00China's Consumer Prices Dip Further: August CPI Slides to -0.4%

In a notable shift, China's Consumer Price Index (CPI) for August 2025 recorded a decrease to -0.4%, following the 0.0% position from July 2025. This marks the first negative reading since the summer months, showcasing a year-over-year deflationary trend.

The updated figures, released on September 10, 2025, demonstrate a downturn in consumer prices for August when compared with the same month a year ago. This contrasts with July's flat year-over-year data, indicating a potential emerging deflationary period in the Chinese economy.

These indicators are crucial in highlighting economic trends, as inflation and deflation can significantly impact consumption, investment, and economic policy decisions. China's central bank and policymakers are likely to monitor these developments closely, as consistent deflation could signal reduced consumer demand and pose challenges for domestic economic growth.