South Africa: Manufacturing output slows in June

A preliminary estimate showed that the manufacturing sector lost steam in June. According to Statistics South Africa, manufacturing output grew 0.7% over the same month last year, below May’s revised 2.0% expansion (previously reported: +2.3% year-on-year). June’s print chiefly reflected slower growth in food and beverages industries, along with petrochemical industries.

In month-on-month terms, manufacturing output rose by a seasonally-adjusted 0.3%, notably below May’s 1.3% increase. Meanwhile, annual average growth in manufacturing output ticked up to 0.7% from 0.5% in June.

South Africa Manufacturing Output Forecast

FocusEconomics Consensus Forecast panelists expect manufacturing output to rise 1.0% in 2018, which is up 0.1 percentage points from last month’s estimate. For 2019, the panel expects manufacturing output to expand 1.3%.