Understanding the sector contributions to South Africa’s GDP

Overview

South Africa’s real gross domestic product (GDP) increased by 0.8% in the second quarter of 2025, with eight industries recording positive growth. The strongest contributors included manufacturing, mining, and trade.

These results, published in Stats SA’s Q2 2025 GDP statistical release, provide insight into how key sectors are progressing toward the national ambition of achieving sustained 7% GDP growth.

Sector Contributions to GDP Growth

According to the report, the industries contributing positively to GDP growth in Q2 2025 were:

  • Manufacturing: increased by 1.8%, contributing 0.2 percentage points.
  • Trade, catering & accommodation: increased by 1.7%, adding 0.2 percentage points.
  • Mining & quarrying: increased by 3.7%, contributing 0.2 percentage points.
  • Agriculture: increased by 2.5%, contributing 0.1 percentage points.
  • Finance, real estate & business services: up 0.3%, adding 0.1 percentage points.
  • General government: increased by 0.7%, contributing 0.1 percentage points.
  • Personal services: increased by 0.5%, adding 0.1 percentage points.

The only major negative contributor was:

  • Transport, storage & communication: decreased by 0.8%, contributing -0.1 percentage points.

Expenditure Contribution

Expenditure on real GDP increased by 0.7% in Q2 2025. The main contributors were:

  • Household consumption: grew by 0.8%, contributing 0.6 percentage points.
  • Government consumption: up 0.7%, adding 0.1 percentage points.
  • Inventories: contributed 0.5 percentage points.

Negatively affected components included:

  • Gross fixed capital formation: down 1.4%, contributing -0.2 percentage points.
  • Net exports: contributed -0.3 percentage points.

Summary

The Q2 2025 GDP performance shows moderate positive growth supported by strong rebounds in manufacturing, mining and trade. However, challenges remain in transport, fixed investment, and export performance.

Sustained and accelerated growth in these high-performing sectors is essential for South Africa to move closer to achieving a long-term 7% GDP growth trajectory.

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