Transmission of material in this release is embargoed until                                      USDL-18-0376
8:30 a.m. (EDT) Thursday, March 15, 2018

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                              U.S. IMPORT AND EXPORT PRICE INDEXES - FEBRUARY 2018                              

U.S. import prices increased 0.4 percent in February, the U.S. Bureau of Labor Statistics reported today, 
after rising 0.8 percent in January. In February, higher nonfuel prices more than offset declining prices for 
imported fuel. Prices for U.S. exports rose 0.2 percent in February following a 0.8-percent advance the 
previous month.

Imports

All Imports: The price index for U.S. imports rose 0.4 percent in February, the seventh consecutive 
monthly increase, after advancing 0.8 percent in January. The last time the index declined on a monthly 
basis was a 0.2-percent drop in July 2017. Import prices advanced 3.5 percent for the 12-month period 
ended in February, matching the 12-month rise in November. Those were the largest annual increases since 
the index rose 3.6 percent for the 12-month period ended April 2017.  

Fuel Imports: The price index for fuel imports declined 0.6 percent in February, the first monthly decline 
since July. Prior to February, the index for fuel imports rose 29.1 percent between July 2017 and January 
2018. Both petroleum and natural gas prices contributed to the decline in overall fuel prices in February. 
Petroleum prices fell 0.5 percent and prices for natural gas decreased 3.0 percent. Despite the February 
decline, the price index for fuel imports rose 17.4 percent over the past 12 months. Petroleum prices 
increased 18.3 percent for the year ended in February and prices for natural gas advanced 17.9 percent over 
the same period.  

All Imports Excluding Fuel: The price index for nonfuel imports advanced 0.5 percent in February, after 
rising 0.5 percent the previous month. The last time the index increased by more than 0.5 percent was a 0.8-
percent advance in April 2011. Prices for capital goods; consumer goods; nonfuel industrial supplies and 
materials; foods, feeds, and beverages; and automotive vehicles all contributed to the February advance. The 
price index for nonfuel imports increased 2.1 percent over the past 12 months, the largest over-the-year rise 
since the index advanced 2.4 percent for the year ended February 2012. The primary contributor to the 12-
month advance in February was higher prices for nonfuel industrial supplies and materials.  

Table A. Percent change in Import and Export Price Indexes, selected categories

Exports

All Exports: U.S. export prices increased 0.2 percent in February after rising 0.8 percent in January. The 
last time the index declined on a monthly basis was a 0.1-percent decrease in June 2017. In February, higher 
prices for both nonagricultural and agricultural exports contributed to the increase in overall export prices. 
The price index for U.S. exports increased 3.3 percent over the past 12 months.   

Agricultural Exports: The price index for agricultural exports rose 0.6 percent in February, after ticking up 
0.1 percent the previous month. The February advance was the largest increase since the index rose 2.0 
percent in October and was driven by higher prices for corn and soybeans, which increased 7.2 percent and 
2.5 percent, respectively. Prices for agricultural exports rose 0.8 percent over the past year. Rising meat 
prices were the primary contributor to the advance in agricultural prices for the year ended in February.    

All Exports Excluding Agriculture: Nonagricultural export prices advanced 0.2 percent in February 
following a 0.8-percent rise in January. The price indexes for nonagricultural industrial supplies and 
materials, consumer goods, capital goods, and automotive vehicles all contributed to the monthly increase. 
Over the past 12 months prices for nonagricultural exports advanced 3.6 percent, which matched the 12-
month increase in January. Those were the largest 12-month rises since a 4.0-percent advance for the year 
ended December 2011.

                                          SELECTED FEBRUARY HIGHLIGHTS                                          

Import Prices

Imports by Locality of Origin: Prices for imports from China increased 0.2 percent in February, the first 
monthly advance since the index rose 0.3 percent in November. The price index for imports from China 
increased 0.3 percent for the 12-month period ended in February, the largest 12-month advance since the 
index rose 0.4 percent for the year ended June 2014. Import prices from Japan advanced 0.2 percent in 
February, after a 0.5-percent rise in January. Despite the increase, prices for imports from Japan declined 
0.1 percent over the past 12 months. The last time the index advanced on a 12-month basis was an increase 
of 0.5 percent in July 2017. Import prices from Canada increased 0.2 percent in February and prices for 
imports from the European Union rose 0.7 percent. In contrast, the import price index from Mexico 
decreased 0.5 percent in February, the largest monthly drop since the index fell 1.2 percent in January 2017.       

Nonfuel Industrial Supplies and Materials: Nonfuel industrial supplies and materials prices increased 0.9 
percent in February following a 1.8-percent advance in January. The rise in February was driven by higher 
prices for chemicals and iron and steel mill products.

Finished Goods: Prices for each of the finished goods categories increased in February. Prices for capital 
goods advanced 0.6 percent, led by rising prices for computers, peripherals, and semiconductors. The price 
indexes for consumer goods and automotive vehicles also rose in February, increasing 0.5 percent and 0.2 
percent, respectively. 

Foods, Feeds, and Beverages: Import prices for foods, feeds, and beverages rose 1.1 percent in February 
after advancing 0.8 percent the previous month. The February increase was driven by higher prices for 
vegetables, which advanced 4.3 percent.

Transportation Services: Import air passenger fares rose 0.9 percent in February, after decreasing 3.2 
percent in January. The February advance was led by a 1.9-percent rise in European fares and a 4.6-percent 
increase in Latin American/Caribbean fares, which more than offset lower Asian fares. Import air passenger 
fares rose 4.2 percent over the past year. Import air freight prices increased 1.6 percent in February and 11.4 
percent over the past 12 months.

Export Prices

Nonagricultural Industrial Supplies and Materials: The price index for nonagricultural industrial 
supplies and materials rose 0.3 percent in February. The advance was driven by a 1.5-percent increase in 
chemicals prices and a 2.0-percent rise in the price index for nonferrous metals.

Finished Goods: Prices for each of the major finished goods categories increased in February. Consumer 
goods prices advanced 0.3 percent, led by higher prices for medicinal, dental, and pharmaceutical 
preparatory materials. The price indexes for capital goods and automotive vehicles each ticked up 0.1 
percent in February. 

Transportation Services: Export air passenger fares decreased 8.9 percent in February, the largest decline 
since the index fell 11.6 percent in February 2017. The decreases were driven by lower Asian and Latin 
American/Caribbean fares which more than offset higher European fares. Despite the monthly decreases, 
export air passenger fares rose 1.2 percent for the year ended in February. Prices for export air freight 
increased 0.2 percent in February and 7.1 percent over the past year.   
		
Import and Export Price Index data for March are scheduled for release on Thursday, April 12, 2018 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 2-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 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 Producer Price Index (PPI) 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 indexes and excluded from 
the export air passenger fares indexes. 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 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. 

Relative Importance - A relative importance is a specific index's price-updated value share (expressed 
as a percentage) of overall imports or exports at a specific point in time. Relative importance values are 
affected by the trade weights at the point indexes are reweighted and index changes relative to other 
indexes since the reweight point. If an index is rising in value relative to other indexes over time, the 
relative importance will increase as well. 
 
Revision Policy - To reflect the availability of late reports and corrections by respondents, monthly data 
may be revised in each of the 3 months after original publication. After 3 months, no further data 
revisions take place. For example, data first published 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 (NIPA) 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 NIPA, 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.

Email Subscription - The U.S. import and export price indexes news release is available through an 
email subscription service at www.bls.gov/bls/list.htm. 
 
Additional Information - More detailed data are available on the Import/Export Price Indexes home 
page at www.bls.gov/mxp. For import and export price indexes data requests, send an email to 
mxpinfo@bls.gov.   

Information from this release will be made available to sensory impaired individuals upon request.  
Voice phone: (202)-691-5200; Federal Relay Service: 1-(800)-877-8339.