South Africa’s economy contracted by 0.2% between April and June 2026, ending six consecutive quarters of growth.
According to the latest Gross Domestic Product figures from Statistics South Africa, mining, trade and manufacturing were the biggest drags on economic activity during the second quarter.
Statistician-General Risenga Maluleke said the mining sector declined by 3%, while trade fell by 1.9%. Manufacturing recorded its third consecutive contraction, declining by 1.8%.
“Now when we look at mining, we can see that there was pressure from the platinum metal groups, gold and manganese ore,” Maluleke said.
He stated that manufacturing was largely affected by weaker activity in the food and beverage sector, while the decline in trade was mainly driven by wholesale trade.
“When we look at manufacturing, it was largely in food and beverages. And when we look at trade, it was largely in wholesale trade,” Maluleke said.
Despite the overall contraction, some sectors recorded growth. Transport and communication increased by 0.9%, while construction and agriculture also expanded during the quarter.
VOC News
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