Prices for imports increased 0.2 percent in February as a 2.0 percent increase in petroleum prices more than offset a modest decline in nonpetroleum prices. The advance in petroleum prices followed declines in four of the previous five months, and despite the February upturn petroleum prices decreased 2.6 percent over the past year.
Nonpetroleum prices recorded a second consecutive 0.1 percent decline in February after rising 0.5 percent and 1.0 percent, respectively, in December and November. The price index for nonpetroleum imports advanced 2.1 percent over the past 12 months while overall import prices advanced 1.3 percent for the same period.
Decreases in the price indexes for capital goods and nonpetroleum industrial supplies and materials both contributed to the February decline in nonpetroleum prices. Prices for capital goods fell 0.3 percent, the largest monthly drop for the index since July 2005. The decrease was driven by a 0.9 percent decline in the price index for computers, peripherals, and semiconductors. Led by lower prices for lumber and some metals, nonpetroleum industrial supplies and materials prices edged down 0.1 percent in February. The decrease was tempered by an upturn in natural gas prices.
In contrast, automotive vehicles prices and prices for foods, feeds, and beverages increased in February. The price index for automotive vehicles ticked up 0.1 percent, the first change for the index since a 0.2 percent advance in October. Foods, feeds, and beverages prices continued to trend upward, rising 0.2 percent in February. Higher fish prices more than offset declining fruits and vegetables prices.
Consumer goods prices were unchanged in February following 0.3 percent increases in each of the previous two months.
Export Goods
Export prices rose 0.7 percent in February, the largest increase since June 2006, and both agricultural prices and nonagricultural prices contributed to the advance. Agricultural prices increased 2.3 percent for the month and 16.9 percent over the past year. The February advance was primarily led by higher corn and soybeans prices, although rising prices for meat, fish, fruit, and wheat also contributed to the increase. Nonagricultural prices rose 0.6 percent for the month and 3.7 percent for the year ended in February. Overall export prices rose 4.7 percent for the February 2006-2007 period.
A 2.1 percent increase for nonagricultural industrial supplies and materials prices was the largest contributor to the rise in nonagricultural prices. The advance was the largest for the index since May 2006 and was driven by higher prices for fuels, metals, and paper. Over the past 12 months, the index rose 9.6 percent.
Prices for each of the major finished goods areas recorded little movement in February. Automotive vehicles prices increased a modest 0.1 percent following 0.2 percent advances in each of the previous two months. In contrast, capital goods prices edged down 0.1 percent after increasing 0.2 percent in January. The price index for consumer goods was unchanged in February after a 0.9 percent jump the previous month.
Imports by Locality of Origin
Import prices from Canada and the European Union each rose 0.2 percent in February. The increase in prices of imports from Canada followed a 1.5 percent decline in January and was led by a fuel-driven 3.4 percent rise in nonmanufactured articles prices, which more than countered a 0.7 percent decline in manufactured articles prices. The index rose 0.3 percent over the past year. The February advance in import prices from the European Union was also impacted by higher fuel prices. Import prices from the European Union rose 4.0 percent for the year ended in February.
The price index of imports from Mexico increased 0.6 percent in February and was also led by higher petroleum prices. The February advance follows rises of 0.8 percent in January and 0.2 percent in December. The index increased 5.4 percent over the past 12 months.
In contrast, prices of imports from China and from Japan each declined 0.2 percent in February. The decreases were the largest for both indexes since a similar change in October 2006. Import prices from China fell 1.1 percent over the past year, while the price index of imports from Japan declined 0.8 percent for the February 2006-2007 period.
Import and Export Services
In January, export travel and tourism prices increased 0.4 percent. Higher prices for travelers from Europe, Latin America, and Canada all contributed to the increase. Beginning with this release, monthly price indexes will be published for export travel and tourism. The indexes are published by the country of residence of travelers to the United States and are lagged one month.
Import air passenger fares were unchanged in February after declining 2.1 percent the previous month. Export air passenger fares fell 1.8 percent in February. Despite the recent decreases, both indexes rose over the past year, import air passenger fares 7.1 percent and
export air passenger fares 3.2 percent. Both import and export air freight prices declined in February, falling 1.1 percent and 1.4 percent, respectively.
