China's wholesale prices - the highest rate of increase in September, expediated by power shortages

Recently NHK News on-line reported the following:

中国卸売物価、9月上昇率最大　電力不足が素材高に拍車

中国・台湾

2021年10月14日 10:45 (2021年10月14日 11:00更新)

深尾三四郎さんの投稿

【北京=川手伊織】中国国家統計局が14日発表した9月の卸売物価指数は前年同月比10.7%上昇した。比較可能な1996年10月以降で最大の伸びを記録した。資源高に加え、国内の電力制限で素材の生産が落ち込み価格が上がったことも全体の物価上昇に拍車をかけたもようだ。

同時に発表した9月の消費者物価指数（CPI）上昇率は0.7%で、8月の0.8%から縮小した。

卸売物価指数を業種別でみると、電力需給が逼迫する要因となっている石炭は75%上昇した。電力不足で生産が落ち込んだ鉄鋼は前年同月を35%上回った。資源高は素材や中間財に広がり、石油・石炭加工、非鉄金属加工、肥料など化学原料、化学繊維は2～4割高まった。

川上と川中の製品をまとめた生産財は14.2%伸びた。対照的に、衣類や耐久消費財など川下にあたる生活財は0.4%の上昇にとどまった。

最終製品の価格上昇が小幅なのは、所得や消費の回復が緩慢なためだ。コスト高の価格転嫁が進んでいない状況はCPIからも見て取れる。CPI上昇率は9月まで4カ月連続で鈍化した。

中国人の食卓に欠かせない豚肉は47%下落したが、原油高でガソリンなど自動車燃料が23%上がった。主要国の中央銀行が物価の趨勢を判断する際に重視する「食品とエネルギーを除くコア指数」は1.2%高まった。

Translation

[Beijing = Iori Kawate] The wholesale price index for September released by the National Bureau of Statistics of China increased by 10.7% compared the same month of the previous year. It recorded the largest comparable increase since October 1996. In addition to high resource prices, domestic power restrictions caused material production to fall yet their prices to increase, all that seemed to have expedited an overall price increase.

The consumer price index (CPI) growth rate in September which was announced at the same time  was 0.7%, down from 0.8% in August.

Looking at the wholesale price index by industry, coal, which was a factor in the tight supply and demand of electricity, rose by 75%. Steel production, whose production fell due to power shortages, exceeded the same month last year by 35%. High resource prices had spread to raw materials and intermediate goods, and chemical raw materials such as petroleum / coal processing, non-ferrous metal processing, fertilizers, and chemical fibers had increased by 20-40%.

Production goods, which combined upstream and midstream products, grew 14.2%. In contrast, downstream household goods such as clothing and durable consumer goods rose only 0.4%.

The modest rise in final product prices was due to the slow recovery in income and consumption. The situation in which high-cost price pass-through had not progressed could be seen from the CPI. The CPI index increase rate was slow for four consecutive months up to September.

Pork, which was essential to the Chinese table, fell 47%, yet car fuels such as gasoline was up by 23% because of high crude oil prices. The "core index excluding food and energy," which central banks in major countries emphasized when determining price trends, increased by 1.2%.

              So, China's wholesale prices had the highest rate of increase in September and its power shortages expediated the prices of materials. In contrast, downstream household goods such as clothing and durable consumer goods rose only 0.4%. I think consumers probably will see a price rise in many daily items in the coming months.