Growth of South Africa’s economy remains muted, Statistics SA has found in the latest data set for the second quarter (Q2), which highlights transport, storage, communication and construction as sectors weighing on overall progress.
Stats SA says: “Land transport and transport support services had a negative impact on growth in the transport, storage and communication industry.”
The statistician adds that the construction industry witnessed its third consecutive decline, pulled lower by weaker economic activity related to residential and non-residential buildings.
In a statement released to the media, Stats SA says that following marginal growth of 0.1% in the first quarter of 2025, real gross domestic product (GDP) strengthened by 0.8% in the second quarter (April-June).
“Manufacturing, mining and trade led growth on the production (supply) side of the economy. The expenditure (demand) side was also positive, lifted mainly by stronger household consumption and softer imports.”
Stats SA says manufacturing as well as mining and quarrying, trade, catering and accommodation were the most significant positive contributors in Q2, each adding 0.2 of a percentage point to GDP growth.
“After two consecutive quarters of decline, manufacturing and mining turned positive. Manufacturing production expanded by 1.8%, driven mainly by the automotive and petroleum, chemicals, rubber and plastics divisions.
“Mining output grew by 3.7%, the fastest pace since the first quarter of 2021 (4.4%). Platinum group metals, gold and chromium ore were the main positive contributors.”