Import prices increased 1.6 percent in April after rising 0.2 percent in March. The April advance was led by a 15.4 percent rise in petroleum prices, which increased for the third consecutive month after declining in each of the previous six months. In contrast, nonpetroleum prices decreased for the ninth consecutive month, falling 0.4 percent in April. For the year ended in April, petroleum prices fell 49.8 percent and prices for nonpetroleum imports declined 5.6 percent. Overall importprices declined 16.3 percent over the past year, the largest annual decline since the index was first published in September 1982.
The continued decline in nonpetroleum prices was led by a 2.3 percent drop in nonpetroleum industrial supplies and materials prices. That decrease was driven by a sharp fall in natural gas prices, although lower prices for chemicals and some metals also contributed to the decline. The price index for nonpetroleum industrial supplies and materials fell 21.0 percent over the past 12 months, the largest annual decrease since the index was first published in September 1982.
Prices for the major finished goods categories were mixed in April. Import automotive vehicle prices edged down 0.1 percent in April after decreasing 0.2 percent in March. In contrast, prices for consumer goods and capital goods increased in April, rising 0.2 percent and 0.1 percent, respectively.
Prices for foods, feeds, and beverages decreased 0.1 percent in April as lower fruit prices more than offset higher coffee prices. The April drop followed a 0.7 percent decline in March.
Export Goods
Export prices increased 0.5 percent in April because of higher prices for both agricultural and nonagricultural exports. The price index for all exports decreased 6.8 percent for the year ended in April, matching the annual decrease in March as the largest 12-month decline since the index was first published in September 1983. Agricultural prices rose 3.6 percent in April, led by increases for soybeans, corn, and wheat. The April increase notwithstanding, agricultural export prices decreased 17.6 percent over the past year. Nonagricultural prices edged up 0.3 percent in April but fell 5.4 percent over the past 12 months.
The rise in nonagricultural prices was led by a 0.3 percent increase in the index for nonagricultural industrial supplies and materials. Higher prices for fuels more than offset lower prices for chemicals. Despite the April increase, nonagricultural industrial supplies and materials decreased 18.4 percent for the April 2008-2009 period, the largest annual decrease since the index was first published in September 1989.
Prices for capital goods and consumer goods also contributed to the increase in nonagricultural prices. The price index for capital goods rose 0.4 percent, driven by higher prices for aircraft parts and semiconductors. Consumer goods prices advanced 0.1 percent. For the year ended in April, prices for capital goods and consumer goods increased 1.1 percent and 0.2 percent, respectively.
The price index for automotive vehicles was unchanged in April after rising 0.1 percent in March. Automotive vehicle prices advanced 0.7 percent over the past year.
Imports by Locality of Origin
Prices for imports from China fell for the eighth consecutive month, decreasing 0.5 percent in April. Import prices from China fell 1.1 percent for the year ended in April.
Import prices from the European Union and from Japan also declined in April, falling 0.2 percent and 0.1 percent, respectively. Prices for imports from the European Union declined for the third consecutive month and decreased 6.4 percent over the past year, the largest annual drop since the index was first published in December 1990. The price index for imports from Japan increased 1.4 percent for the April 2008-2009 period despite declines in March and April.
In contrast, led by rising petroleum prices, prices for imports from Mexico and from Canada increased in April, advancing 1.0 percent and 0.2 percent for the month. Over the past 12 months, however, import prices from Mexico fell 13.6 percent while import prices from Canada fell 22.3 percent, the largest annual decline since the index was first published in December 1990.
Import and Export Services
Import air passenger fares decreased 1.3 percent in April following a 4.7 percent drop the previous month. The April decrease was again led by lower European fares, which fell 1.3 percent after decreasing 7.8 percent in March. The index for import air passenger fares fell 7.1 percent for the year ended in April, the largest annual decrease since the index was first published in March 1988. Export air passenger fares also decreased in April, falling 4.0 percent as lower fares from Asia more than offset higher prices from the Latin America/Caribbean region and Europe. Fares for export air passengers decreased 11.1 percent over the past 12 months, the largest annual decrease since the index was first published in September 1986.
Import air freight prices fell 1.6 percent in April, as both European and Asian air freight prices declined. The price index for import air freight decreased 13.3 percent over the past year, the largest annual decline since the index was first published in September 1990. Prices for export air freight declined 3.5 percent in April and 11.0 percent for the April 2008-2009 period, the largest monthly and annual declines since the index was first published in December 1996.
