03.11.202509:00:00UTC+00South Africa's Manufacturing PMI Dips to 49.2, Signaling Contraction in October

South Africa's manufacturing sector is showing signs of contraction, with the Purchasing Managers' Index (PMI) falling to 49.2 in October 2025. This marks a decline from the previous month's figure of 50.8, which represented a borderline expansion. The PMI data, updated on November 3, 2025, has raised concerns about the sector's short-term prospects.

A PMI below the benchmark of 50 indicates a contraction in manufacturing activity. The drop signals challenges faced by the sector, possibly hinting at decreased demand or production efficiencies. The South African economy, already facing pressures from various global and domestic factors, might need strategies to stimulate growth within its manufacturing arena.

This downturn in the PMI brings attention to policymakers and industry stakeholders to reassess strategies and interventions required to reignite growth, stabilize employment rates in manufacturing, and ensure South Africa remains competitive in the global market. It is a crucial moment for the sector, with eyes on forthcoming economic policies that could provide the necessary impetus to reverse this trend.