South Africa: Decline in manufacturing activity softens in July
September 11, 2020
Manufacturing output slid 10.6% year-on-year in July, which was above the 15.8% decline logged in June.
The smaller drop was largely driven by a weaker contraction in food and beverages production, although, it still continued to contract at a steep rate. Moreover, motor vehicles, parts and accessories, and other transport equipment fell at a softer pace compared to the previous month, as did wood and wood products, paper, publishing and printing.
On a monthly basis, manufacturing output rose 7.6% in seasonally-adjusted terms in July, which was notably below June’s 17.9% expansion. Meanwhile, the trend pointed down, with the annual average variation of manufacturing production coming in at minus 10.9%, down from June’s minus 10.1%.
Author: Hanna Andersson, Economist