U.S. import and export prices posted unexpected gains in February, according to a report released by the Labor Department on Tuesday, signaling persistent pricing pressures in global trade.
Import prices rose 0.4% for the month, matching January’s upwardly revised figure. Economists had projected a 0.1% decline, making the increase a surprise to markets. On a year-over-year basis, import prices climbed 2.0%, up slightly from 1.9% in January.
The monthly increase was driven largely by higher fuel costs. Fuel import prices surged 1.7% in February, following a 3.5% spike the previous month. Non-fuel import prices also rose 0.3%, compared to a modest 0.1% increase in January. Gains in non-fuel industrial supplies, materials, and consumer goods outweighed declines in capital goods.
Export prices also rose modestly, increasing 0.1% in February after a strong 1.3% gain in January. Forecasts had pointed to a 0.2% decline. However, the annual growth rate in export prices slowed to 2.1% from 2.7% a month earlier.
The February uptick in export prices was supported by a rebound in agricultural exports, which increased 0.8% after a 0.2% decline in January. Prices for non-agricultural exports also edged higher by 0.1%, supported by gains in consumer goods, capital goods, automotive vehicles, and non-agricultural foods.
Despite the overall moderate increases, the data suggests continued cost pressures in international trade, particularly in energy and consumer-related sectors. The unexpected rise in import prices may further complicate the inflation outlook, as markets look ahead to the Federal Reserve’s upcoming policy meeting.
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