The National Bureau of Statistics (NBS) of China said today that the Producer Price Index (PPI) showed the lowest rate of increase since June 2021 despite rising commodity prices, global economic uncertainty, and COVID-19.
The PPI rose by 8.8% year-on-year in February. This was a slowdown from the 9.1% increase in January.
The consumer price index (CPI) rose by 0.9% in February, unchanged from January.
The Chinese government has lowered its annual economic growth target to its lowest level in decades. The government is trying to revive the economy at a time when the war between Russia and Ukraine is sending oil prices soaring.
Premier Li Keqiang said in the report that the Communist Party of China is targeting economic growth of about 5.5% this year, without mentioning Russia’s invasion of Ukraine.
China’s gross domestic product (GDP) target of around 5.5% this year is a sharp decline from last year’s 8.1% growth.