South Africa: Manufacturing production records largest decline in 10 months in February
Manufacturing output dropped 0.3% in month-on-month seasonally adjusted terms in February, which contrasted January’s 0.4% increase. Looking at the details of the release, February’s downturn was largely due to a deterioration in petroleum, chemical products, rubber and plastic products output. Moreover, wood and wood products, paper, publishing and printing production declined after flatlining in January. More positively, food and beverages output rebounded.
On an annual basis, manufacturing output increased 4.1% in February, which was above January’s 2.9% expansion and marked the best result since June 2023. Accordingly, the trend improved significantly, with the annual average growth of manufacturing production coming in at 1.9%, up from January’s 1.1% reading.