Important economic data in China increased dramatically in the first two months of this year, signaling a continued economic recovery for the country.
China's industrial output increased by 35.1% in January and February compared to the same month last year.
The strong economic data exceeded analysts' expectations.
Increased foreign demand has helped drive higher export growth for China. China is often labeled as the ‘factory of the world’ due to its low labor costs.
The Chinese government has set a modest annual economic growth target for the year of above 6% despite analysts predicting the country will record growth of around 8%.
China was the only major economy to record positive growth last year, an increase of 2.3%.
According to a spokesman for China's statistics bureau, Liu Aihua, the country's economy will continue its recovery.
However, he said there was an imbalance in China's economic recovery and the government needed to increase support for the consumer sector.
Retail sales, another key economic indicator, rose by 33.8% despite the unemployment rate soaring 5.5% at the end of last month from 5.2% in December.
China implemented travel restrictions ahead of the Chinese New Year holiday last month. The move reduced spending on tourism, restaurants and leisure activities.
Retail sales data show jewelery (99%) and cars (78%) are the most purchased products during Chinese New Year.
"This product tells us that consumers spend a lot during the Chinese New Year holidays," said Iris Pang, Head of Economics for Greater China at ING Bank.
