U.S. Import Prices Rise Unexpectedly in June as Costs from China Hit 18-Year High

The U.S. Bureau of Labor Statistics reported that import prices rose 0.3% in June 2026, defying economist expectations of a 0.8% decline. On an annual basis, import prices surged 7.7%, the largest increase since August 2022. A drop in energy costs was offset by rising prices in other sectors, particularly industrial machinery, computers, peripherals, and semiconductors, which analysts link to the artificial intelligence buildout. Notably, import prices from China increased 0.9% month-over-month, the largest monthly gain since January 2008, likely reflecting the impact of tariffs. The 12-month increase in Chinese import prices reached 1.3%, the highest since late 2022. Meanwhile, export prices fell 0.6% monthly but rose 10.2% annually. The report suggests that while declining oil prices provided some relief, inflationary pressures are broadening beyond energy.