China's June Caixin manufacturing Purchasing Managers' Index (PMI) rose to 51.7, its highest since June 2021, as factory activities quickly recover from the COVID-19 pandemic.

The figure beats a market expectation of 50.1 by raising 3.6 percentage points from May. The 50-point index mark separates growth from contraction every month.

The Caixin survey focuses on more export-oriented and small firms in coastal regions. The relative strength in the private gauge tallies with an official survey released on Thursday.

A sub-index for output bounced to the highest level since November 2020, while new orders, bolstered by the first increase in export orders in about a year, snapped three months of decline and posted the fastest growth in four months.

Delivery times for suppliers stabilized in June amid easing supply chain snags, after worsening for the past two years.

"Manufacturing supply surged, and demand improved. As COVID restrictions were loosened, production in the manufacturing sector gradually moved toward normality," said Wang Zhe, senior economist at Caixin Insight Group.

However, Wang cautioned that the jobs market remained weak as the gauge for employment remained in negative territory for the 10th time in the past 11 months.

"Supportive policies should target employees, gig workers and low income groups impacted by the outbreaks," Wang added.

Economic activity accelerated in June as regions ended closed-off management and a range of support measures unveiled by the State Council in late May to stabilize growth gradually kicked in.

China's economic planning agency said on Tuesday that the country can cope with unexpected risks this year to achieve its GDP growth target of around 5.5 percent.

(With input from Reuters)