China’s CPI fell -0.2% MoM and -0.1% YoY in May 2025, marking the fourth straight annual decline, as both food and non-food categories exerted downward pressure on prices.

• Food prices declined -0.2% MoM and -1.4% YoY, led by fresh vegetables (-5.9% MoM, -8.3% YoY) and eggs (-0.9% MoM, -3.5% YoY); pork prices rose 3.1% YoY but fell -0.7% MoM.
• Non-food prices were flat YoY and down -0.2% MoM; core CPI (ex food and energy) rose 0.6% YoY.
• Consumer goods prices fell -0.3% MoM and -0.5% YoY, while service prices were flat MoM but rose 0.5% YoY.
• Transport and communication prices declined -1.2% MoM and -4.3% YoY, driven by fuel (-3.7% MoM, -12.9% YoY).
• “Other goods and services” saw the largest gains (+0.7% MoM, +7.3% YoY), followed by clothing (+0.6% MoM, +1.5% YoY).