South Africa's Private Sector Contracts at Fastest Pace Since December as Orders Fall and Durban Congestion Bites
South Africa's private sector contracted in September at its fastest pace since December, the S&P Global Purchasing Managers' Index showed on Monday, October 5, 2026. Reuters reported the index fell to 49.0 from 50.5 in August, below the 50 mark separating growth from contraction, amid renewed contractions in business activity, new orders and stocks of purchases.
David Owen, principal economist at S&P Global Market Intelligence, said the downturn reflected a weaker demand environment linked to rising prices and increased economic uncertainty: new orders dropped at the sharpest rate in two and a half years as customers delayed spending amid uncertainty over fuel prices and domestic and international conditions, while export business bucked the trend, rising for a fourth straight month. Supply-chain pressures intensified, with delivery times lengthening to the greatest extent since February 2024 as respondents pointed to congestion at the Port of Durban, shipping disruption and material shortages.
Cost pressures remained sharp, driven mainly by fuel, with purchase-price inflation at a three-month high and companies raising selling prices at the fastest pace since June. Employment was little changed, with only a slight workforce reduction.
A second dataset the same day added context: Business Day reported on October 5 that 396 of South Africa's 848 municipal wastewater treatment systems are in a critical state, underlining how infrastructure weaknesses compound business pressures. For Chinese importers, exporters and manufacturers operating in South Africa, the clearing pace at Durban's port and the trajectory of fuel prices are the most immediate operating variables for the months ahead.
Published by GSM · USA (original Chinese edition)
Photo: 约翰内斯堡市中心夜景。摄影：Andrew Moore，CC BY-SA 2.0，来源：Wikimedia Commons
