South Africa: Manufacturing production falls at the sharpest pace in over five years in December
On an annual basis, manufacturing output plummeted 5.9% in December, (November: -3.2% year-on-year) thus marking the worst result since August 2014 as an unprecedented level of rolling blackouts hampered the industrial sector at year-end. The sharper contraction reflected steeper falls in output of wood and paper related products; petroleum, chemical, rubber and plastic products; and of motor vehicles, parts and accessories and other transport equipment. Moreover, manufacturing of food and beverages swung to contraction in December.
Meanwhile, annual average variation in manufacturing output logged minus 0.9% in December, down from November’s minus 0.4%.
On a month-on-month basis, manufacturing output contracted 2.8% in seasonally-adjusted terms in December, down from a 1.8% fall in the previous month.