China's CPI Rises 1.3% in February, Fastest in 3 Years

China's consumer prices surged in February 2026, marking the fastest annual increase in more than three years, as a prolonged Lunar New Year holiday spurred widespread spending and rising global oil prices added upward pressure. The National Bureau of Statistics reported on Monday that the consumer price index rose 1.3 percent year on year in February, up from 0.2 percent in January and exceeding economist forecasts of around 0.9 percent. For the combined January-February period, the index climbed 0.8 percent year on year, a figure typically aggregated to account for holiday distortions.

The acceleration stemmed primarily from the timing of the Lunar New Year, or Spring Festival, which this year extended over nine days entirely in February, compared to late January last year. This shift concentrated consumer demand, driving sharp rises in service prices, including travel, transportation and accommodations, which increased more than 10 percent year on year in several categories. Food prices reversed course to gain 1.7 percent, fueled by higher costs for fresh vegetables, beef, lamb and fruit. Core consumer prices, excluding volatile food and energy, reached 1.8 percent, the...