INTENSIVE CARE

12th July 2019

By: Darlene Creamer

     

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Conditions in South Africa’s manufacturing sector remain more than challenging. The seasonally adjusted Purchasing Managers’ Index (PMI) increased marginally in June to 46.2 points, but the average level for the second quarter remained below the 50-point threshold that separates contraction from growth. Output is likely to rebound in the second quarter relative to the first quarter, which was negatively affectd by Eskom load-shedding. However, various PMI indicators signal a deterioration in operating conditions, with manufacturing employment and purchasing activity declining in June.

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