SA manufacturing output dips 3.7% in January
The reading was better than expected but still bodes ill for the economy’s performance in the first three months of 2023
SA manufacturing production declined by 3.7% in January compared with same period a year earlier, Stats SA said on Tuesday.
Petroleum and chemical products, as well as motor vehicles and parts were the main drag on overall output, along with basic iron and steel and non-ferrous metal products.
While the reading was better than a 5.1% drop forecast by economists in a Reuters survey, the reading does not bode well for the performance of the economy in the first quarter of 2023 first-quarter GDP.
Manufacturing output, like mining, is most sensitive load-shedding — now a daily occurrence — and accounts for about 14% of SA’s GDP.
On a month-on month basis, seasonally adjusted manufacturing production rose 1.1% in January 2023 compared with December.