(Yicai Global) Aug. 16 -- China’s main economic indicators remain within a reasonable range and the economy continues to recover overall though industrial production and retail sales growth slowed last month, according to the National Bureau of Statistics.

NBS spokesperson Fu Linghui cited domestic flooding and a resurgence of Covid-19 for the lower numbers during a press conference in Beijing today.

Industrial production climbed 6.4 percent in July from a year ago, down from 8.3 percent in June but up on the same periods of 2019 and 2020, according to the NBS.

High-tech and equipment manufacturing output jumped 15.6 percent and 6.4 percent, respectively, showing good upward momentum. Output of new energy vehicles, industrial robots and integrated circuits gained 163 percent, 42.3 percent, and 41.3 percent.

Retail sales rose 8.5 percent to CNY3.5 trillion (USD540.4 billion), versus a 12.1 percent gain the month before, but higher than in the same periods of 2019 and 2020.

Sales of daily consumer goods and product upgrades are increasing well, with a rapid rise in online retail. Online retail sales amounted to CNY7.1 trillion (USD1.1 trillion) from January to July, a 22 percent jump from a year before, and accounting for 28.8 percent of total retail sales of consumer goods during the period.

Fixed assets investment was CNY30.3 trillion in the first seven months, up 10.3 percent on year, but down 2.3 percentage points from the annual growth rate logged in the first half.

Infrastructure investment climbed 4.6 percent from January to July, 1.5 percentage point slower that in the first half. Investment in manufacturing rose 17.3 percent from a year ago, 1.1 percentage point higher than in January to June.

In addition, China’s urban jobless rate stood at 5.1 percent in July, a 0.1 point increase from June. Some 8.22 million were newly hired in urban areas in the first seven months, completing 74.7 percent of the annual target.

China’s economic recovery still faces many challenges, including increasing production constraints and some prominent structural problems, Fu noted. He alluded to uncertainty in the global economic recovery as the pandemic situation evolves.

Cross-cycle adjustments to economic policy should be made to promote transformation and upgrade as well as maintain reasonable economic operations, Fu said.

Editor: Peter Thomas