Mining activity accelerates in June driven by PGM, showing promise for GDP growth

SOUTH Africa's productive sectors are poised to make a significant impact on the nation’s gross domestic product (GDP) growth in the second quarter of 2025, as new data reveals a positive uptick in both mining and manufacturing output.

- SIPHELELE DLUDLA

Data from Statistics South Africa (Stats SA) on Tuesday showed that mining production rose by 2.4% in June compared to the same month a year ago, up from an upwardly revised 0.3% increase in May. This June mining report marked the second consecutive month of growth, exceeding market estimates of 1.4% growth.

Stats SA’s principal service statistician, Jean-Pierre Terblanche, said platinum group metals (PGM), coal and chromium ore were the main drivers of growth, as they rose 3.0%, 3.7%, and 9.0%, respectively.

Production of PGM picked up following disruptive rains in the first three months of the year.

“On a month-on-month basis, seasonally adjusted mining production increased by 0.2% in June compared with May. This followed a 3.9% rise in May,’ Terblanche said.