Consumer Prices Rise 2.0% in April 2025, Underlying Inflation Increases to 1.3% Amid Travel-Related Charges.

Consumer Price Indices for April 2025

The Census and Statistics Department (C&SD) released today (May 22) the Consumer Price Index (CPI) figures for April 2025. According to the Composite CPI, overall consumer prices rose by 2.0% in April 2025 over the same month a year earlier, larger than the corresponding increase (1.4%) in March 2025. The larger increase was mainly attributable to the lower ceiling of rates concession in April 2025 when compared with the same month last year. Netting out the effects of all Government's one-off relief measures, the year-on-year rate of increase in the Composite CPI (i.e. the underlying inflation rate) in April 2025 was 1.3%, also larger than that in March 2025 (1.0%). The larger increase was mainly due to the increases in the charges for package tours as well as inbound and outbound transport fares.

On a seasonally adjusted basis, the average monthly rate of change in the Composite CPI for the 3-month period ending April 2025 was -0.1%, and that for the 3-month period ending March 2025 was 0.0%. Netting out the effects of all Government's one-off relief measures, the corresponding rates of change were both 0.0%.

Analysed by sub-index, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 2.6%, 1.8% and 1.6% respectively in April 2025, as compared to 2.0%, 1.2% and 1.0% respectively in March 2025. Netting out the effects of all Government's one-off relief measures, the year-on-year rates of increase in the CPI(A), CPI(B) and CPI(C) were 1.4%, 1.1% and 1.2% respectively in April 2025, as compared to 1.4%, 0.9% and 0.8% respectively in March 2025.

On a seasonally adjusted basis, for the 3-month period ending April 2025, the average monthly rates of change in the CPI(A), CPI(B) and CPI(C) were -0.2%, -0.1% and -0.1% respectively. The corresponding rates of change for the 3-month period ending March 2025 were 0.1%, 0.0% and 0.0% respectively. Netting out the effects of all Government's one-off relief measures, the average monthly rates of change in the seasonally adjusted CPI(A), CPI(B) and CPI(C) for the 3-month period ending April 2025 were all 0.0%, and the corresponding rates of change for the 3-month period ending March 2025 were -0.1%, 0.0% and 0.0% respectively.

Amongst the various components of the Composite CPI, year-on-year increases in prices were recorded in April 2025 for electricity, gas and water (13.2%), transport (3.8%), housing (2.8%), miscellaneous services (2.1%), meals out and takeaway food (1.3%), miscellaneous goods (1.0%), and alcoholic drinks and tobacco (0.4%).

On the other hand, year-on-year decreases in the components of the Composite CPI were recorded in April 2025 for clothing and footwear (-4.1%), durable goods (-1.6%), and basic food (-1.3%).

Taking the first 4 months of 2025 together, the Composite CPI rose by 1.7% over a year earlier. The respective increases in the CPI(A), CPI(B) and CPI(C) were 2.3%, 1.5% and 1.3% respectively. The corresponding increases after netting out the effects of all Government's one-off relief measures were 1.3%, 1.5%, 1.1% and 1.1% respectively.

For the 3 months ending April 2025, the Composite CPI rose by 1.6% over a year earlier, while the CPI(A), CPI(B) and CPI(C) rose by 2.2%, 1.4% and 1.2% respectively. The corresponding increases after netting out the effects of all Government's one-off relief measures were 1.1%, 1.4%, 1.0% and 1.0% respectively.

For the 12 months ending April 2025, the Composite CPI was on average 1.7% higher than that in the preceding 12-month period. The respective increases in the CPI(A), CPI(B) and CPI(C) were 2.2%, 1.6% and 1.4% respectively. The corresponding increases after netting out the effects of all Government's one-off relief measures were 1.2%, 1.3%, 1.1% and 1.1% respectively.

Commentary

A Government spokesman said that inflation pressure remained largely moderate in recent months. The underlying consumer price inflation rate went up somewhat in April, mainly reflecting the visible year-on-year increases in the travel-related charges amid the late arrival of the Easter holidays (which started in April this year but in late March last year). The underlying Composite CPI increased by 1.3% over a year earlier, compared to the increase of 1.0% in the preceding month. Price pressures on various major components stayed contained in general.

Looking ahead, overall inflation should remain modest in the near term. Pressures from domestic costs and external prices should stay broadly in check. The Government will monitor the situation closely.

Further information

The CPIs and year-on-year rates of change at section level for April 2025 are shown in Table 1. The time series on the year-on-year rates of change in the CPIs before and after netting out the effects of all Government's one-off relief measures are shown in Table 2. For discerning the latest trend in consumer prices, it is also useful to look at the changes in the seasonally adjusted CPIs. The time series on the average monthly rates of change during the latest 3 months for the seasonally adjusted CPIs are shown in Table 3. The rates of change in the original and the seasonally adjusted Composite CPI and the underlying inflation rate are presented graphically in Chart 1.

More detailed statistics are given in the "Monthly Report on the Consumer Price Index". Users can browse and download this publication at the website of the C&SD (www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1060001&scode=270).

Following established practice, the C&SD reviews and updates the expenditure weights of the CPIs annually. Starting from the reference month of April 2025, the C&SD has used the updated 2024 expenditure weights in the compilation of the CPIs. This update aims to better reflect recent changes in household consumption patterns, ensuring that the CPIs can more accurately reflect the inflation experienced by consumers, and fully aligns with international recommendations.

For enquiries about the CPIs, please contact the Consumer Price Index Section of the C&SD (Tel: 3903 7374 or email: cpi@censtatd.gov.hk).

CFS to follow up certain batches of powdered infant and young children formula with possible presence of Cereulide produced by Bacillus cereus

The Centre for Food Safety (CFS) of the Food and Environmental Hygiene Department (FEHD) today (January 10) said that, it took initiative to meet with Nestlé Hong Kong again today, and confirmed the company's today announcement of an additional batch of powdered infant and young children formula suspected to have possibly used the raw material concerned. Nestlé Hong Kong has voluntarily stopped sales, removed from shelves the affected products and has initiated a precautionary recall. The CFS has collected samples of powdered infant and young children formula from the market for Bacillus cereus testing, the test results so far were satisfactory. The Environmental and Ecology Bureau is also closely monitoring the supply situation of other formula milk powder and maintaining communication with other major suppliers. It is noted that there is sufficient formula milk powder to meet the demand.

The Centre for Food Safety (CFS) of the Food and Environmental Hygiene Department (FEHD), Photo source: reference image

The spokesman said, the CFS has been actively following up on Nestlé company's voluntary and precautionary recalls of certain batches of its powdered infant and young children formula in certain areas in Europe due to possible presence of Cereulide produced by Bacillus cereus in the individual raw material. According to the latest information from Nestlé Hong Kong today, an additional batch of its powdered infant and young children formula imported into Hong Kong might have used the raw material concerned. The CFS had earlier enhanced surveillance in the market and collected a sample from the above batch for testing of Bacillus cereus. The test result of the sample was satisfactory. Nevertheless, as a precautionary measure, Nestlé Hong Kong has voluntarily stopped sales, removed from shelves the affected products and has initiated a precautionary recall.

Product details are as follows:

Product name (Net weight): NAN PRO 1 2 HMO (800g)

Batch number: 51670742F2

Best-before date: June 16, 2027

Place of Origin: Germany

"The CFS met Nestlé Hong Kong again today, urging them to properly handle the product recall issue and respond to public enquiries, in order to safeguard consumers' legitimate rights and interests. In addition, the CFS and Nestlé Hong Kong have jointly followed up, six suspected affected batches of infant and young children formula products that had not entered the market were marked and sealed. An additional 15 batches are currently en route to Hong Kong and will also be marked and sealed upon arrival. The CFS will continue to closely monitor the recall matters and remain fully committed to ensuring food safety, " the spokesman said.

Nestlé Hong Kong has initiated a recall of the affected batches of the products concerned. For enquiries about the recall, members of the public may contact the company through the following channels:

Consumer services hotline: 2599 8874 / 2797 6031/ 2179 8136 (Monday to Sunday, 9am to 9pm)

Email: consumerservices@hk.nestle.com

WhatsApp: 5283 4139 (NESTLÉ® NAN®) / 2599 8871 (Wyeth® Nutrition)

Online form: forms.office.com/e/BhqMhWfsUG?origin=lprLink

Consumers may choose to bring along the products (brand new or opened) for refund at place of purchase, or at exclusive service counters of Nestlé Nutrition Services from January 13 (Tuesday) onwards, to settle the recall and refund of the batches of the products concerned. Details of the exclusive service counters are as follows:

Kowloon Services Counter

Address: G/F, Park Hovan Commercial Building, 18 Hillwood Road, Tsim Sha Tsui, Kowloon (MTR Jordon Station Exit D)

Contact number: 3996 8196

Office hour: Monday to Saturday, 11am to 7.30pm; Sunday, 1pm to 5.30pm (except public holidays)

Hong Kong Services Counter

Address: 1/F, Ka Nin Wah Commercial Building, 423-425 Hennessy Road, Hong Kong (MTR Causeway Bay Station Exit B)

Contact number: 3996 8197

Office hour: Monday to Saturday, 11am to 7.30pm (except Sundays and public holidays)

The CFS, through its Food Incident Surveillance System, noted earlier that certain batches of Nestlé powdered infant formula were being voluntarily recalled in Europe due to possible contamination with Bacillus cereus. Upon learning of the incident, the CFS has immediately initiated follow up actions, published food incident posts to inform the public and the trade about the issue, and has been actively following up on the incident and enhanced surveillance.

Over the past three days (as of 4pm on January 9), the FEHD received a total of 18 food complaints and enquiries suspected to be related to the infant and young children formula products, including one anonymous complaint without contact information. The CFS and the Environmental Hygiene Branch have promptly followed up on all cases, including contacting the parties concerned to obtain details and collecting samples for testing. In addition, the CFS has referred the cases to the health department for follow-up. At present, no food poisoning cases related to the formula have been recorded.

Bacillus cereus is commonly found in the environment. Unhygienic conditions in food processing and storage may give rise to its growth. Cereulide is a heat-stable toxin produced in food by some strains of Bacillus cereus. Consuming food contaminated with excessive Bacillus cereus or its heat-stable toxins may cause gastrointestinal upset such as vomiting and diarrhoea.

The spokesman urged members of the public not to let infants and young children consume the affected batches of the products, and to seek medical treatment for infants or young children who felt unwell after taking the products concerned. The trade should also stop using or selling the affected batches of the products immediately.

"The CFS continues to closely monitor the developments of the situation, follow up and take appropriate action," the spokesman said.

The infant formula of Nestlé, Photo source: online image