Minuscule manufacturing growth in December, but outlook is more rosy
Manufacturing production grew just 0.1% in December but saw a 1.2% boost in the fourth quarter and for 2018 as a whole
While manufacturing was subdued in December, the sector will give growth a slight boost in 2018, data from Statistics SA showed on Thursday. Annual growth in manufacturing production grew 0.1% in December, far lower than the Bloomberg consensus of 1.4%, after boost of 1.6% in November. The biggest growth drivers were a 3.8% rise in food and beverages; a 7% uptick in motor vehicles, parts and accessories and other transport equipment; and a 9.7% increase in glass and nonmetallic mineral products. Seasonally adjusted manufacturing production increased 1.2% in the fourth quarter of 2018 compared with the third quarter, while the sector grew 1.2% for the year as a whole. Statistics SA’s manufacturing production index, which was at 100 points in 2015, came to 103.9 points in December 2018, down from 115.8 points in November. The index has not reached this level since September 2008. The monthly changes in factory output measured by Statistics SA usually tend to be foreshadowed by the Abs...
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