Skip to: Content
Skip to: Site Navigation
Skip to: Search

July 24, 2008 7:40:04 AM CDT

Learn about Newser Points »

« Back to the grid | Next story »

China Exports Inflation to US

Posted Feb 1, 08 1:35 PM CST in US,  Business,  World 

(Newser) – After years of pumping out cheap consumer goods, China is driving up American price tags, the New York Times reports. As costs rise domestically, prices down the supply chain rise at the same time that recession threatens in the US. “China has been the world’s factory,” said one economist. “But its heyday is over. We’re going to see higher prices.”

Chinese export prices rose just 2.4% last year, but that helped raise US inflation 4.1%. Other countries have complained for years about China’s yawning trade surplus, so this year Beijing cut incentives for exporters. Tougher labor laws could also raise prices. In import-dominated sectors like toys, clothing, and footwear, US consumers could see price jumps of up to 10%.

Source New York Times

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon

Related Newser Stories

  • Asian Inflation Zapping US Pocketbooks

    Apr 8, 08 4:12 AM CDT
    Asian Inflation Zapping US Pocketbooks Cheap Asian imports have helped keep American inflation down for decades—but those days appear to be over, the New York Times warns. Rapidly rising costs of fuel, food and labor in countries like China, Vietnam, and Taiwan are beginning to be passed on to their export markets, just as the American dollar weakens and recession looms. More »

  • Trade Gap Dips to Lowest Level in 3 Years

    Sep 11, 07 9:25 AM CDT
    Trade Gap Dips to Lowest Level in 3 Years The US trade gap—the difference in total value between imports and exports—dropped to a 3-year low in July as exports jumped on a weak dollar and growing overseas demand. The figure fell 0.3% to $59.2 billion, roughly on par with the estimate economists surveyed by Bloomberg foresaw. Said one analyst, “the broad outlook for trade looks quite positive.” More »

  • China Finds Worms, Low Standards in US Goods

    Aug 31, 07 5:35 PM CDT
    China Finds Worms, Low Standards in US Goods China got off the latest shot in the war over substandard imports, reporting today it had found tiny worms in wooden packaging and substandard vitamins and children’s fish oil imported from the US. Simultaneously, China unveiled a wide-ranging recall system for its own exports that requires manufacturers to stop production and sales when defects are discovered, Reuters reports. More »

  • Chinese Toy Exec Commits Suicide After Recall

    Aug 13, 07 7:59 AM CDT
    Chinese Toy Exec Commits Suicide After Recall The head of a Chinese company that made a million of the lead-tainted toys recalled by Mattel last month hanged himself in his warehouse this weekend. Zhang Shuhong's  suicide followed the announcement Thursday that China banned exports from his company because of the defects. Colleagues reported that Zhang had been sold the tainted paint by his best friend. More »

  • China's Surplus Soars to $26.9B

    Jul 10, 07 2:59 PM CDT
    China's Surplus Soars to $26.9B China's trade surplus surged to a record $26.9B in June, an 87% increase since last year. Economists attribute the trade gap to China's significantly—as much as 40%—underpriced currency, the yuan, reports Bloomberg. Half of China's surplus is with the US, which recently began preparing legislation to sanction countries that deliberately use a weakened currency to gain an unfair advantage. More »

Workers assemble toy cars at the production line of Dongguan Da Lang Wealthwise Plastic Factory in Dongguan, China Tuesday Sept. 4, 2007. (AP Photo/Eugene Hoshiko)   (Associated Press)
A worker checks dancing toy guitars assembled on the production line of Dongguan Da Lang Wealthwise Plastic Factory in Dongguan, China, Tuesday Sept. 4, 2007. (AP Photo/Eugene Hoshiko)   (Associated Press)
Workers assemble toy cars on the production line at Dongguan Da Lang Wealthwise Plastic Factory in Dongguan, China Tuesday Sept. 4, 2007. (AP Photo/Eugene Hoshiko)   (Associated Press)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (1 of 4)

Tags

China  • inflation  • exports  • imports  • clothing  • Chinese toys  • shoes


Loading...

Loading...

Today's Most Popular


Other World Stories

What is Newser?

2008 Codie Finalist

Newser gives you more news in less time. We search for the best and most important stories all over the web, read them for you, and deliver concise and sharp summaries—along with links to the full text. Newser provides a way to stay on top of an ever-expanding horizon of news and opinion—politics, sports, business, trends, technology, personalities, crimes, and controversies. Newser keeps you not just better informed, but, with our signature graphic interface and smart condensed format, more enjoyably informed.

Learn more »