According to a survey issued Saturday, China's manufacturing activity fell to a six-month low in April as lockdowns in Shanghai, and other production hubs persisted in containing COVID-19 outbreaks.
In April, China's National Bureau of Statistics announced a monthly purchasing managers' index that dipped to 47.4 from 49.5 in March on a 100-point scale. Numbers less than 50 indicate activity contraction.
Domestic COVID-19 outbreaks have affected factory activity and market demand in China, according to statistician Zhao Qinghe of the bureau.
Certain businesses have reduced or ceased operations, causing interruptions in logistics and the supply of raw materials and components.
Shanghai, China's most populated metropolis, was placed on lockdown for weeks. Beijing's capital began testing millions of people this week.
In the northeast, officials in Changchun and Jilin imposed a lockdown for most of April, ordering automakers and other businesses to close. Other smaller cities in China have also been subjected to citywide or district-wide lockdowns.
Non-manufacturing business activity also decreased 6.5 percentage points to 41.9, according to the statistics department.
The bureau reported that service industry activity decreased to 40, down from 46.7 the previous month, as the outbreaks impacted a business in sectors such as air transport, lodging, and catering.
However, the construction industry grew, particularly in the civil engineering sector. According to Zhao, improvement in the building industry is projected to contribute to economic recovery.