Most shops along Gongyuanbei Street remain closed and few pedestrians were seen during the day. Police continue to search the area.

In response to the attack, Chinese President Xi Jinping has pledged to severely punish the terrorists and will spare no effort in maintaining stability.

He ordered police to step up patrols and control over possible targets to prevent ripple effects, to strike hard against violence and terrorists, and to safeguard social stability. The president also asked local authorities offer his condolences to the families of victims.

Premier Li Keqiang, meanwhile, called on authorities everywhere to step up safety measures and eliminate weak points in public security to protect people's lives and property.

A task force led by Public Security Minister Guo Shengkun has gone to Xinjiang to assist in the investigation. The regional government has launched an emergency response to treat the injured.

In a televised speech on Thursday afternoon, Nur Bekri, chairman of the Xinjiang regional government, condemned the attack, saying the killing exposed the anti-human, anti-society and anti-civilization nature of the terrorists.

He said the terrorists will never stop the development of Xinjiang and vowed to doggedly puruse the perpetrators.

More than 200 artistes from Xinjiang Muqam Art Troupe and Xinjiang Acrobatics Troupe organized an event to show their opposition to terrorism on Thursday afternoon. They come from 11 ethnic groups. Xinjiang Uygur Muqam is a mixture of song, dance, folk performance and classical music.

"The inhuman and cruel crimes of the terrorists can never be forgiven by any ethnic group," said Nusret Wajit, head of the troupe.

He called for the local people to take a clear stand and condemn the attack outright, and offer no room for the terrorists to survive.

Xinjiang is a remote region with more than half of its population ethnic minorities who hold Muslim beliefs.

Violent attacks in the name of "jihad" have been increasing since 2009 and are the biggest threat to the region. Some 190 terrorist attacks were recorded in Xinjiang in 2012, a significant increase from 2011, according to the regional public security department.

Recently, three people were killed and 79 injured in an attack on April 30 at a railway station in Urumqi. In March, assailants killed 29 civilians and injured another 143 at a railway station in the southwestern city of Kunming.