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Re-imagining SA manufacturing’s performance
The Mercury
|June 03, 2025
MANUFACTURING production in South Africa fell by -3.2% year-on-year in February 2025 according to the statistical release in March 2025 by Stats SA. This follows a decline experienced in January 2025 which was at -3.3%.
The biggest contributors to this negative decline were motor vehicles, parts and accessories (-14.9%) followed by petroleum, chemical products, rubber and plastic products (-5.6%). Furthermore, utilisation of production capacity declined by 1.4% for motor vehicles, parts and accessories. Insufficient demand and availability of resources have been cited as the main reasons for under utilisation of production capacity in this regard.
Within the manufacturing sector, motor vehicles, parts and accessories is significant by virtue of the huge supply chains involved regarding this industry. Furthermore, this industry is the backbone of the local economy in some provinces including Eastern Cape, Gauteng and KwaZulu-Natal. Therefore, if the manufacturing performance continues to decline in this sector over an extended period of time, the ramifications to the industry's viability and employment rates are dire.
Dit verhaal komt uit de June 03, 2025-editie van The Mercury.
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