Chief Statistician Dong Lijuan from the Urban Department of the National Bureau of Statistics interprets the CPI and PPI data for July 2026.

In terms of month-on-month comparison, the national CPI decreased by 0.1%, a drop of 0.2 percentage points less than last month. Fluctuations in international market prices affected domestic gasoline prices, which fell by 10.7%, widening the decline by 5.8 percentage points compared to last month, impacting the CPI with a month-on-month decrease of approximately 0.35 percentage points. Food prices remained flat compared to last month, which is 0.6 percentage points below seasonal levels. Among food items, the price of fresh vegetables increased by 1.3%, while the price of eggs dropped by 2.1%, both significantly lower than seasonal levels; an abundance of in-season fruits has led to ample market supply, resulting in a 3.8% decrease in fresh fruit prices, which contributed to a month-on-month decrease in CPI of about 0.07 percentage points. The comprehensive adjustment policy for pig production capacity is starting to show effects, coupled with factors such as extreme weather conditions like high temperatures and heavy rainfall in some regions that have raised transportation costs, causing pork prices to shift from a 0.8% decrease last month to a 4.1% increase, impacting the CPI with a month-on-month increase of approximately 0.07 percentage points. The advancement of artificial intelligence has driven the iteration and upgrade of consumer electronics, which has increased demand and prices for related products; prices for tablets, computers, and mobile phones rose by 11.3%, 5.5%, and 1.0%, respectively, collectively contributing to a month-on-month increase in CPI of about 0.03 percentage points. Service prices shifted from being flat last month to a 0.4% increase, impacting the month-on-month CPI increase by approximately 0.21 percentage points. Within services, increased demand for summer travel has led to price increases in travel agency fees, hotel accommodations, airline tickets, and vehicle rentals by 7.2%, 6.5%, 4.2%, and 3.6%, respectively, which collectively contributed to a month-on-month increase in CPI of about 0.10 percentage points; in some regions, ongoing policy adjustments have led to a 1.1% increase in medical service prices, impacting the month-on-month CPI increase by approximately 0.07 percentage points.