South Africa: Decline in manufacturing production softens in June
Manufacturing production decreased 0.5% month on month in seasonally adjusted terms in June (May: -3.6% mom). Looking at the details of the release, wood and wood products, paper, publishing and printing output fell at a more moderate pace. In addition, petroleum, chemical products, rubber and plastic products output bounced back in June, as did basic iron and steel, non-ferrous metal products, metal products and machinery output.
On an annual basis, manufacturing output plunged 5.2% in June, which was well greater than May’s 1.2% fall. Accordingly, annual average manufacturing production growth fell to 0.3% in June (May: +1.2%). This signals a worsening trend in the manufacturing sector.