(Yicai) May 17 -- China accelerated its expansion of industrial output last month while growth in retail sales and fixed-asset investment slowed, according to the latest release of macroeconomic data.

The national economy was stable in April as major economic indicators, such as those related to industry and consumption, generally enhanced even though some gauges showed slowing growth due to factors including base effects, Liu Aihua, chief economist at the National Bureau of Statistics, said during a press conference today.

The output of large industrial enterprises jumped by 6.7 percent last month from a year ago after a 4.5 percent increase in March. Specifically, 36 sectors out of 41 boosted growth. The net output of manufacturers of cars widened by over 16 percent while the number for makers of computers, communications, and other electronic devices rose by almost 16 percent, and that for transportation equipment companies gained by 13 percent.

The government's new policy that aims to encourage businesses and consumers to replace their old equipment should expand market space, according to Liu. Moreover, information, digital, intelligent, and green technologies will enhance the impetus for industrial development, she added.

The manufacturing purchasing managers’ index remained within expansion for the second straight month in April and large industrial enterprises have boosted their profits for the third consecutive quarter, all of which should strongly support a continuous industrial recovery, Liu said.

Slowing Growth in Retail Sales and Project Investment

In April, the total retail sales of consumer goods reached about CNY3.57 trillion (USD494.3 billion), an increase of 2.3 percent from a year ago, smaller than the 3.1 percent boost in March.

The reason behind the declining sales growth was that last month had two fewer days of holidays than the same month a year earlier so the base was higher, according to Liu. Still, sales were even nearly flat from March.

Cars are a major contributor to consumption in China, making up one-tenth of all retail sales. Last month, the nation produced 2.4 million vehicles, up 13 percent year-over-year, and sold 2.4 million units, a 9 percent boost.

During the first four months, China’s fixed-asset investment tallied about CNY14.34 trillion (USD1.99 trillion), rising by 4 percent. The growth rate was lower than that of the first quarter due to rains and floods in the southern parts of the country, which affected project progress, Liu said. When excluding investment in real estate development, the country’s fixed-asset investment expanded by almost 9 percent.

This week, the finance ministry revealed more details about its schedule to issue CNY1 trillion of ultra-long special sovereign bonds this year. The first batch will be unleashed today and the last one in November.

The bonds should effectively help develop the real economy and boost market confidence, Liu concluded.

Editor: Emmi Laine