In this undated photo, staff members wearing face masks work at a mechanical component manufacturing factory in Huanggang, Hubei province. (WANG JING / CHINA DAILY)

BEIJING - China's value-added industrial output, an important economic indicator, further expanded in May as factory activities continued to pick up pace amid COVID-19 control, data from the National Bureau of Statistics (NBS) showed Monday.

The value-added industrial output went up 4.4 percent year on year in May, extending the rebound and up 0.5 percentage points from April, NBS data showed.

As of May 27, about 67.4 percent of the surveyed enterprises were back to 80 percent of their normal production levels, up 6.6 percentage points from late April, the NBS said.

In May, output by the manufacturing industry registered the fastest growth by expanding 5.2 percent year on year.

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Output of industries in the production and supply of electricity, thermal power, gas and water reported a year-on-year increase of 3.6 percent, while the mining sector saw output up by 1.1 percent.

As of May 27, about 67.4 percent of the surveyed enterprises were back to 80 percent of their normal production levels, up 6.6 percentage points from late April, the NBS said

In the first five months, industrial output went down 2.8 percent year on year, with the rate narrowing by 2.1 percentage points from the January-April period.

In a breakdown by ownership, output by the private sector went up 7.1 percent year on year in May, according to the data.

The output of state-controlled enterprises rose 2.1 percent, that of joint-stock companies rose 4.8 percent, and that of overseas-funded enterprises rose 3.4 percent.

Despite the recovering momentum, China's industrial activities still face many challenges and uncertainties, the NBS said in a statement.

Recovery in production was seen in most sectors, with new products maintaining high-speed growth, said NBS official Jiang Yuan, citing the over 70-percent growth of tech-intensive devices including 3D-printing equipment, smart watches and charging poles.

The industrial output is used to measure the activity of designated large enterprises with annual business turnover of at least 20 million yuan (about US$2.82 million).

Monday's data also showed improvements in other readings of economic indicators. Fixed-asset investment totaled 19.92 trillion yuan in the first five months, down 6.3 percent year on year but narrowing by 4 percentage points from the first four months.

Retail sales

China's retail sales of consumer goods declined 2.8 percent year on year in May, narrowing from a drop of 7.5 percent in April, the NBS said.

In May, retail sales of consumer goods reached 3.2 trillion yuan (about US$451 billion), up 0.79 percent month on month.

In the first five months, China's retail sales of consumer goods went down 13.5 percent year on year to reach 13.9 trillion yuan, narrowing by 2.7 percentage points from the first four months.

Retail sales in rural areas dropped 3.2 percent year on year in May, while sales in urban areas decreased 2.8 percent.

Revenues of the catering sector, one of the worst-hit industries by COVID-19, fell 18.9 percent year on year in May, narrowing by 12.2 percentage points from April, said the bureau.

Meanwhile, online sales continued to be active as consumers turned to online services when staying indoors, with an increase of 4.5 percent year on year in the first five months, quickening by 2.8 percentage points from the first four months.

As the COVID-19 epidemic wanes in China, the country has been introducing a string of measures to revive consumer confidence as part of broader efforts to shore up the economy.

Local governments have started to offer vouchers to boost spending, while incentives for automobile purchase were introduced to prop up the sector. 

Property investment

China's investment in property development edged down 0.3 percent year on year in the first five months of the year, narrowing from the 3.3-percent decline during the January-April period.

Fixed-asset investment

China's fixed-asset investment declined 6.3 percent year on year to 19.92 trillion yuan (about US$2.8 trillion) in the first five months of 2020, according to the official data.

The fall narrowed by 4 percentage points from that in the first four months.

In breakdown, investment in the primary industry stayed unchanged from the same period last year, while that in the secondary and tertiary industries went down 11.8 percent and 3.9 percent, respectively.

Investment in infrastructure declined 6.3 percent year on year, narrowing by 5.5 percentage points from the first four months.

The growing trend of medium- and long-term corporate loans as well as the accelerating issuance of local government special bonds will spur the further recovery of infrastructure investment, said Wen Bin, chief analyst at China Minsheng Bank.

Investment in high-tech industries increased 1.9 percent in the first five months, rebounding from the 3-percent drop in the January-April period, the bureau said.

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Private investment decreased 9.6 percent during the period, according to the bureau.

Monday's data also showed China's investment in property development went down 0.3 percent year on year in the period, with the rate narrowing 3 percentage points from the first four months.

The country's fixed-asset investment in May went up 5.87 percent from April, the bureau added.

Fixed-asset investment includes capital spent on infrastructure, property, machinery and other physical assets.