China's economy faces growing deflationary pressures as prices extend fall

January 12, 2024--Dec CPI fell year-on-year
CPI in 2023 was 0.2%, compared with around 3% government target
Dec PPI was down from a year earlier, steeper than expectation
China's consumer prices declined for a third month in December while factory-gate prices extended their prolonged slide, highlighting persistent deflationary pressures in an economy struggling to mount a solid recovery.

The consumer price index (CPI) shed 0.3% in December from a year earlier, and was up 0.1% month-on-month, data from the National Bureau of Statistics (NBS) showed on Friday. November's index dropped 0.5% in annual and monthly terms.

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