U.S. Import and Export Prices Increase by Record Levels

Import prices in the United States registered last month their biggest rise in about nine years, data by the U.S. Department of Labor Showed on Thursday.

Following a 1% increase in December, import prices rose by 1.4% in January, signaling their biggest increase since March 2012.

This comes amid a rise in energy prices and the decline of the U.S. Dollar (USD) against major currencies.

Higher import prices is expected to lead to a rise in the inflation rate in the U.S.

On an annual basis, the January import prices rose by 0.9%, recording their biggest yearly rise since October 2018, following 11 consecutive monthly declines.

The prices of imported fuel increased by 7.4%, while imported food prices rose by 2.1%.

Similarly, imported capital goods prices added 0.2%, and the price of imported motor vehicles leveled up by 0.2%, while the consumer goods prices excluding automobiles decreased by 0.1%.

Meanwhile, export prices grew by 2.5% in January 2021, recording their biggest increase on record.

Export prices rose by 2.3% on an annual basis last month, recording their biggest increase since October 2018.