China’s industrial production jumped 8.8pc in in May from a year ago but moderated from April’s 9.8pc growth according to official data released by China. Compared to May 2019, industrial production is up 6.6pc.
Manufacturing production grew 9pc in May from the preceding year month and mining rose 3.2pc. Production of electric vehicles jumped 166.3pc over the last year. The yearly recovery in industrial production was led by a surge in infrastructure and construction but consumer spending has weakened in May.
Government says recovery is stable for China but continues to warn of uncertainty of revival of the global economy with several countries facing the harsh pandemic waves. In China too, new infections are rising which has resulted in localized lockdowns which led to limited consumer spending.
China’s infrastructure investment slowed down in May which is largely funded by local governments. Infrastructure investments in May were negative for the first time since the pandemic, according to Chinese reports.