The purchasing managers' index (PMI) for China's non-manufacturing sector came in at 54.4 in June, up from 53.6 in May, the National Bureau of Statistics (NBS) said Tuesday.
A reading above 50 indicates expansion, while a reading below it reflects contraction.
The figure has been rising for four consecutive months, the NBS said.
In June, the service sector continued to improve with the sub-index for business activities edging up 1.1 points from the previous month to 53.4.
Among the 21 service sectors surveyed, 15 saw expansion in their business activities.
Recently, recovery momentum of the manufacturing sector was further consolidated, stimulating related business activities in the service sector, said NBS senior statistician Zhao Qinghe.
As the restoration of production and life orders accelerated, market confidence was enhanced and demands for the service sector kept growing, according to Zhao.
Tuesday's data also showed that the PMI for China's manufacturing sector ticked up to 50.9 in June from 50.6 in May.