South Africa’s Mining Output Experiences Third Consecutive Monthly Decline

South Africa’s mining output fell by 2.7% in January 2025, continuing a three-month decline. Key contributors include iron ore, PGMs, and coal, with the steepest drop occurring since June 2024. Month-on-month, mining production also fell by 1.2% after a prior slump of 3.7%.

In January 2025, South Africa’s mining output experienced a significant decline of 2.7% compared to the previous year, following a 2.4% decrease recorded in December. This development marks a continuation of a downward trend that has persisted for three consecutive months and represents the most considerable drop since June 2024. The main contributors to this decline were notable decreases in iron ore production, which fell by 15.1%, alongside platinum group metals (PGMs) with a 3.8% reduction, and coal, which decreased by 4.4%.
Furthermore, when assessed on a seasonally adjusted monthly basis, mining production saw a decrease of 1.2% in January, building upon a revised slump of 3.7% from the previous month. This pattern indicates ongoing challenges within the mining sector that may have broader economic implications for the country.

In summary, South Africa’s mining output has fallen for three consecutive months, with January 2025 reflecting a 2.7% decrease year-on-year. The downturn is largely attributable to significant declines in iron ore, PGMs, and coal production. The mining sector’s sustained challenges could potentially impact the nation’s economic performance moving forward.

Original Source: www.tradingview.com