Mining output rose 2.1 percent year on year in August while manufacturing volumes were flat on an annual basis, Statistics SA said yesterday.
Figures for manufacturing showed a 3.6 percent monthly fall, seasonally adjusted. Nedbank’s economic unit said: “The disappointing outcome reflects the impact of the protracted strikes in the broader automotive industry, where output fell by 25 percent year on year.”
Commenting on the mining data, Standard Bank economist Nomvuyo Guma said, measured over three months seasonally adjusted, output rose 3.9 percent. She said this was a sign that the sector was on track to deliver “a decent contribution” to the economy in quarter three – in contrast to the second quarter when it subtracted from growth.
Guma predicted mining output would improve in the next few months but only because growth would be off a low base.
“Although the Association of Mineworkers and Construction Union has downed tools at Anglo American Platinum, this year’s industrial action has not been widespread.”
However, she said the sector remained under stress.