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			     U.S. IMPORT AND EXPORT PRICE INDEXES FEBRUARY 2012

U.S. import prices increased 0.4 percent in February, the U.S. Bureau of Labor Statistics reported today, as 
higher fuel prices more than offset declining nonfuel prices. The price index for imports was unchanged in 
the two previous months. U.S. export prices also rose 0.4 percent in February after a 0.2 percent advance in 
January.


Imports
 	
All Imports: The 0.4 percent February increase marked only the second time that import prices have 
recorded a monthly advance greater than 0.1 percent since the index rose 2.6 percent in April 2011. Prices 
for overall imports increased 5.5 percent over the past 12 months, the smallest year-over-year rise since the 
index advanced 5.3 percent between December 2009 and December 2010.     

Fuel Imports: The price index for import fuel increased 1.4 percent in February after remaining unchanged 
in January and falling 0.5 percent in December. Fuel prices advanced 15.2 percent for the year ended in 
February. Both the monthly and 12-month rise in fuel prices were driven by higher petroleum prices which 
advanced 1.8 percent in February and 18.4 percent over the past 12 months. In contrast, natural gas prices 
fell for the third consecutive month, declining a further 10.1 percent in February after recording decreases of 
6.8 percent and 4.0 percent the two previous months. Prices for natural gas fell 36.5 percent over the past 
year, the largest 12-month drop in the index since a 49.1 percent decrease in October 2009.     

All Imports Excluding Fuel: Nonfuel import prices edged down 0.1 percent in February after ticking up 
0.1 percent in January. In February, a 3.0 percent drop in food prices and a 0.1 percent decline in capital 
goods prices more than offset higher prices for nonfuel industrial supplies and materials. The price index for 
nonfuel imports rose 2.3 percent for the year ended in February.          

Table A. Percent changes











	
Month
	
IMPORTS
	
EXPORTS


	
All
imports
	
Fuel
imports
	
Nonfuel
imports
	
All
exports
	
Agri-
cultural
exports
	
Non-
agricultural
exports






	



	
2011
				




	
February
	
1.7
	
5.6
	
0.5
	
1.3
	
4.6
	
1.0



	
March
	
3.0
	
9.7
	
0.8
	
1.5
	
2.2
	
1.4



	
April
	
2.6
	
7.6
	
0.8
	
0.8
	
-0.5
	
0.9



	
May
	
0.1
	
-0.6
	
0.3
	
0.4
	
-1.1
	
0.5



	
June
	
-0.6
	
-2.3
	
0.0
	
0.1
	
0.8
	
0.2



	
July
	
0.1
	
0.1
	
0.2
	
-0.4
	
-4.0
	
0.1



	
August
	
-0.4
	
-2.1
	
0.2
	
0.4
	
1.6
	
0.3



	
September
	
-0.1
	
-1.0
	
0.2
	
0.5
	
1.9
	
0.3



	
October
	
-0.4
	
-0.6
	
-0.2
	
-2.0
	
-6.5
	
-1.4



	
November
	
0.7
	
(r)3.4
	
-0.2
	
0.1
	
1.7
	
(r)-0.2



	
December
	
(r)0.0
	
(r)-0.5
	
0.2
	
-0.5
	
(r)-2.3
	
-0.2



	



	
2012
				




	
January
	
(r)0.0
	
(r)0.0
	
0.1
	
0.2
	
1.1
	
0.0



	
February
	
0.4
	
1.4
	
-0.1
	
0.4
	
-0.9
	
0.5



	



	
Feb. 2010 to 2011
	
7.6
	
21.1
	
3.8
	
8.7
	
33.6
	
6.3



	
Feb. 2011 to 2012
	
5.5
	
15.2
	
2.3
	
1.5
	
-6.2
	
2.6







	

		Footnotes

		(r) Revised

	






Exports

All Exports: The 0.4 percent advance in export prices in February marked the largest monthly increase since 
a 0.5 percent rise in September. Higher nonagricultural prices more than offset a decline in the price index 
for agricultural exports. Despite recording the largest monthly increase in five months, overall export prices 
rose only 1.5 percent over the past 12 months, the smallest year-over-year advance since a 0.4 percent rise 
for the November 2008-09 period.   

Agricultural Exports: Agricultural prices fell 0.9 percent in February after rising 1.1 percent the previous 
month. The decline was led by lower prices for fruits, cotton, and vegetables, down 6.8 percent, 7.1 percent, 
and 6.5 percent, respectively. Corn and soybean prices, which had driven the increase in agricultural prices in 
January recorded little movement in February. Prices for corn edged down 0.2 percent for the month, while 
soybeans prices rose 0.4 percent. Overall agricultural prices decreased 6.2 percent over the past year.       

All Exports Excluding Agriculture: In contrast, prices for nonagricultural exports increased 0.5 percent in 
February after recording no change in January. Higher prices for nonagricultural industrial supplies and 
materials and each of the major finished goods areas contributed to the increase. The price index for 
nonagricultural exports advanced 2.6 percent over the past 12 months.     
		

					SELECTED FEBRUARY HIGHLIGHTS

Import Prices

Nonfuel Industrial Supplies and Materials: Nonfuel industrial supplies and materials prices increased 1.1 
percent in February following a 0.9 percent decline the previous month. A turnaround in metals prices led 
the increase in February after contributing to the decline in January. In February, unfinished metals prices 
advanced 2.3 percent while finished metals prices rose 1.6 percent.           

Finished Goods: Finished goods prices recorded little change overall in February. Prices for capital goods 
edged down 0.1 percent, driven by a 1.2 percent drop in the price index for oil drilling, mining, and 
construction machinery. Automotive vehicles prices and prices for consumer goods were unchanged.         
 
Foods, Feeds, and Beverages: Prices for foods, feeds, and beverages fell 3.0 percent in February after 
rising 2.3 percent in January. The decline was led by a 25.5 percent drop in vegetable prices, which followed 
a 13.8 percent increase the previous month. The price indexes for coffee, food oils, and fish also recorded 
decreases in February.    

Imports by Locality of Origin: Import prices from China ticked up 0.1 percent in February following a 0.3 
percent increase the previous month. Prices for imports from China have not recorded a monthly decline 
since June 2010, and advanced 5.1 percent from June 2010 to February 2012. Import prices from Canada 
and Japan also rose in February, increasing 0.7 percent and 0.2 percent, respectively. In contrast, the price 
index for imports from Mexico fell 0.6 percent while prices of imports from the European Union edged 
down 0.1 percent.      

Transportation Services: Import air passenger fares rose for the third consecutive month in February, 
advancing 0.3 percent after a 0.2 percent rise in January and a 1.6 percent increase in December. The 
February advance was primarily driven by a 1.3 percent increase in Asian fares. In contrast, import air freight 
prices fell for the sixth consecutive month in February, declining a further 1.2 percent.    

Export Prices
 
Nonagricultural Industrial Supplies and Materials: Nonagricultural industrial supplies and materials 
prices advanced 1.2 percent in February following a 0.4 percent decline in January. Higher prices for 
nonferrous metals, chemicals, and steelmaking materials -- up 4.4 percent, 0.9 percent, and 7.0 percent, 
respectively -- all contributed to the February increase in the price index for nonagricultural industrial 
supplies and materials.      
  
Finished Goods: Each of the major finished goods categories increased for the second consecutive month in 
February. Capital goods prices rose 0.2 percent following a 0.3 percent advance in January, driven by a 1.0 
percent increase in prices for transportation equipment, excluding motor vehicles. The price index for 
consumer goods advanced 0.3 percent for the second consecutive month, and prices for automotive vehicles 
rose 0.2 percent in February following a 0.2 percent increase the previous month.                

Transportation Services: Export air passenger fares dropped 11.2 percent in February after rising 2.3 
percent and 3.8 percent, respectively, in each of the two previous months. The decrease in February was 
primarily led by a 17.8 percent drop in Asian fares and an 11.4 percent decline in Latin American/Caribbean 
fares. Export air freight prices increased 0.3 percent in February after a 1.6 percent advance in January.
		
Import and Export Price Index data for March 2012 are scheduled for release on Wednesday, April 
11, 2012 at 8:30 a.m. (EDT).

                                          TECHNICAL NOTE


Import and Export Merchandise and Services Price Indexes -- All indexes use a modified Laspeyres 
formula and are not seasonally adjusted.  Price indexes are reweighted annually, with a two-year lag in 
the weights.  Published series use a base year of 2000=100 where possible.  More detailed index series 
and additional information may be obtained at http://www.bls.gov/mxp, or by calling (202) 691-7101.

Merchandise Goods Classification Systems -- The merchandise price indexes are published using 
three classification systems.  Items are classified by end use according to the Bureau of Economic 
Analysis Classification System, by industry according to the North American Industry Classification 
System (NAICS), and by product category according to the Harmonized System (HS).  While 
classification by end use and product category are self-explanatory, some notes are in order for 
classifying items by industry.  In the NAICS imports and exports tables, items are classified by output 
industry, not input industry.  As an example, NAICS import index 326 (plastics and rubber products 
manufacturing) include outputs such as manufactured plastic rather than inputs such as petroleum.  The 
NAICS classification structure also matches the classification system used by the PPI (Producer Price 
Index) to produce the NAICS primary products indexes.

Import Price Indexes -- Products have been classified by the Harmonized Tariff Schedule of the United 
States Annotated (TSUSA).  Import prices are based on U.S. dollar prices paid by the U.S. importer.  
The prices are generally either "free on board" (f.o.b.) foreign port or "cost, insurance, and freight" 
(c.i.f.) U.S. port transaction prices, depending on the practices of the individual industry.  The index for 
crude petroleum is calculated from data collected by the U.S. Department of Energy.  

Export Price Indexes -- Products have been classified by the Harmonized Schedule B classification 
system of the U.S. Bureau of the Census.  The prices used are generally either "free alongside ship" 
(f.a.s.) factory or "free on board" (f.o.b.) transaction prices, depending on the practices of the individual 
industry.  Prices used in the grain index, excluding rice, are obtained from the U.S. Department of 
Agriculture.

Services Price Indexes -- Starting in September 2008 the Import Air Passenger Fares Indexes represent 
changes in the average revenue per passenger received by foreign carriers from U.S. residents and are 
calculated from data obtained from an airline consulting service.  These data include tickets sold by 
travel agencies and travel websites.  Tickets sold directly by the airlines are excluded, as are frequent 
flyer tickets generally.  Starting in January 2008 the Export Air Passenger Fares Indexes represent 
changes in the average revenue per passenger received by U.S. carriers from foreign residents and are 
calculated from data collected directly from airlines. These data include frequent flyer tickets and those 
sold by consolidators. Taxes and fees are included in the Import Air Passenger Fares Index and excluded 
from the Export Air Passenger Fares Index. The Air Freight Indexes are calculated from data collected 
directly from airlines. These data exclude mail and passenger baggage. The scope of the service being 
priced is the movement of freight from airport to airport only, and does not include any ground 
transportation or port service. The Air Freight Indexes are presented using two definitions: Balance of 
Payments (which represent transactions between U.S. and foreign residents) and International (which 
represent transactions inbound to and outbound from the U.S.). Fact sheets specifying detailed 
information for each services industry are available at http://www.bls.gov/mxp under "MXP 
Publications."

Import Indexes by Locality of Origin -- Prices used in these indexes are a subset of the data collected 
for the Import Price Indexes.  Beginning with January 2002, the indexes are defined by locality of origin 
using a nomenclature based upon the North American Industry Classification System (NAICS).  
Nonmanufactured goods are defined as NAICS 11 and 21 and manufactured goods are defined as 
NAICS 31-33. 
 
Revision Policy -- To reflect the availability of late reports and corrections by respondents, monthly data 
may be revised in each of the three months after original publication.  After three months, no further data 
revisions take place.  So, for example, data released in the January release will be subject to revision in 
the releases for February, March, and April.

Uses of the Data -- The primary use of the indexes is to deflate trade statistics, notably the foreign trade 
sector of the National Income and Product Accounts constructed by the Department of Commerce.  
Other published indexes are useful for general market analysis.  For trade in international services, 
Balance of Payments indexes are used for deflating National Income and Product Accounts, while 
International indexes are more appropriate for market analysis.  Merchandise and services indexes also 
can be used to study U.S. competitiveness and to compute price elasticities, and the merchandise import 
indexes by country or region of origin are useful in terms of trade analysis.

E-Mail Subscription -- The U.S. Import and Export Price Indexes news release is available through an 
e-mail subscription service at (http://www.bls.gov/bls/list.htm).
 
Additional Information -- More detailed data are available on the Import/Export Price Indexes home 
page at (http://www.bls.gov/mxp).  Flat Files and the FTP server are available for users requiring access 
to either a large volume of time series data or other related documentation. The FTP site can be accessed 
at ftp://ftp.bls.gov.   For technical assistance in using the BLS Internet site, send e-mail to 
(labstat.helpdesk@bls.gov).  For Import/Export Price Index data requests, send e-mail to 
(mxpinfo@bls.gov). 

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