1. STATISTICAL RELEASE
P0441
Gross domestic product
Second quarter 2018
Embargoed until:
4 September 2018
11:30
ENQUIRIES: FORTHCOMING ISSUE: EXPECTED RELEASE DATE:
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2. STATISTICS SOUTH AFRICA P0441
Gross domestic product, second quarter 2018
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Contents
GDP in the second quarter of 2018 fell by 0,7% ......................................................................................................2
Gross domestic product at constant 2010 prices: second quarter of 2018 .........................................................3
Expenditure on gross domestic product at constant 2010 prices: second quarter of 2018 ..............................5
Table 1 – Industry value added and GDP (constant 2010 prices, seasonally adjusted and annualised) ........................................8
Table 2 – Growth rates in industry value added and GDP (constant 2010 prices, seasonally adjusted and annualised) ...............8
Table 3 – Contributions to growth in GDP (constant 2010 prices, seasonally adjusted and annualised)........................................9
Table 4 – Industry value added and GDP (constant 2010 prices).................................................................................................10
Table 5 – Growth rates in industry value added and GDP (constant 2010 prices)........................................................................12
Table 6 – Expenditure on GDP (constant 2010 prices, seasonally adjusted and annualised)......................................................12
Table 7 – Growth rates in expenditure on GDP (constant 2010 prices, seasonally adjusted and annualised) .............................14
Table 8 – Contributions to growth in expenditure on GDP (constant 2010 prices, seasonally adjusted and annualised).............15
Table 9 – Expenditure on GDP (constant 2010 prices).................................................................................................................16
Table 10 – Growth rates in expenditure on GDP (constant 2010 prices)......................................................................................17
EXPLANATORY NOTES ...........................................................................................................................................18
TECHNICAL ENQUIRIES ..........................................................................................................................................18
GENERAL INFORMATION........................................................................................................................................19
3. STATISTICS SOUTH AFRICA P0441
Gross domestic product, second quarter 2018
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GDP in the second quarter of 2018 fell by 0,7%1
Real gross domestic product (measured by production)
decreased by 0,7% in the second quarter of 2018,
following a decrease of 2,6% in the first quarter of 2018.
Figure 1 – Growth in GDP (%)
The largest negative contributors to growth in GDP in the
second quarter were agriculture, transport and trade.
The agriculture, forestry and fishing industry decreased
by 29,2% and contributed -0,8 of a percentage point to
GDP growth.
The transport, storage and communication industry
decreased by 4,9% and contributed -0,4 of a percentage
point.
The trade, catering and accommodation industry
decreased by 1,9% and contributed -0,3 of a percentage
point.
The main positive contributions came from the mining
industry and finance, real estate and business services.
Figure 2 – Contributions to growth in GDP, Q2 2018
(% points)
1 Unless otherwise specified, growth rates are quarter-on-quarter,
seasonally adjusted and annualised. All growth rates are calculated
on the basis of series at constant prices.
Expenditure on real gross domestic product decreased
by 0,9% in the second quarter of 2018, following a
decrease of 2,6% in the first quarter of 2018.2
Figure 3 – Growth in expenditure on GDP (%)
Household final consumption expenditure decreased by
1,3% in the second quarter of 2018, contributing -0,8 of
a percentage point to total growth. This was the first
quarter-on-quarter decrease since the first quarter of
2016.
Government final consumption expenditure increased by
0,7%, contributing 0,1 of a percentage point.
Gross fixed capital formation decreased by 0,5%,
contributing -0,1 of a percentage point.
Changes in inventories in the second quarter contributed
-2,9 percentage points to total growth.
Exports increased by 13,7% and imports increased by
3,1%. Net exports contributed 2,8 percentage points to
total growth.
Figure 4 – Contributions to growth in expenditure on
GDP, Q2 2018 (% points)
2 The figures showing growth in expenditure on GDP exclude the
residual, calculated as the difference between GDP measured by
production and the sum of the expenditure components. For more
detail see Table 30 on the Stats SA website.
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Gross domestic product, second quarter 2018
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Gross domestic product at constant 2010 prices: second quarter of 2018
Primary sector
The agriculture, forestry and fishing industry contracted by 29,2% and contributed -0,8 of a percentage point to GDP
growth. The decrease was mainly because of a drop in the production of field crops and horticultural products.
The mining and quarrying industry increased by 4,9% and contributed 0,4 of a percentage point to GDP growth.
Increased production was reported for mining of ‘other’ metal ores including platinum group metals, copper and
nickel.
Figure 5 – Mining and quarrying growth rate (%)
Secondary sector
The manufacturing industry contracted by 0,3% in the second quarter. The majority of the ten manufacturing divisions
reported negative growth rates in the second quarter. The largest contributors to the decrease were the motor
vehicles, parts and accessories and the furniture and ‘other’ manufacturing divisions.
The electricity, gas and water industry increased by 2,1%, largely due to an increase in electricity consumed in the
second quarter.
The construction industry increased by 2,3%. Increases were reported for non-residential buildings and construction
works activities.
5. STATISTICS SOUTH AFRICA P0441
Gross domestic product, second quarter 2018
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Figure 6 – Manufacturing growth rate (%)
Tertiary sector
The trade, catering and accommodation industry decreased by 1,9%. Decreased economic activity was reported in
the retail and motor trade divisions.
The transport, storage and communication industry decreased by 4,9%, as a result of decreases in land transport,
air transport and transport support services.
Figure 7 – Transport, storage and communication growth rate (%)
Finance, real estate and business services increased by 1,9% in the second quarter. Increased economic activity
was reported for financial intermediation, insurance and real estate services.
General government services decreased by 0,5%, attributed to a decrease in employment.
Personal services increased by 0,8%.
6. STATISTICS SOUTH AFRICA P0441
Gross domestic product, second quarter 2018
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Expenditure on gross domestic product at constant 2010 prices: second quarter of 2018
Household final consumption expenditure (HFCE)
Household final consumption expenditure decreased by 1,3% in the second quarter, contributing -0,8 of a percentage
point to total growth. This was the first decrease since the first quarter of 2016. The main negative contributors to
growth in HFCE were expenditures on transport (-6,1% and contributing -0,9 of a percentage point), food and non-
alcoholic beverages (-2,8% and contributing -0,5 of a percentage point), clothing and footwear (-6,8% and
contributing -0,4 of a percentage point) and recreation and culture (-7,6% and contributing -0,4 of a percentage point).
Figure 8a – HFCE growth rate (%) Figure 8b – HFCE contributions, Q2 2018 (% points)
Government final consumption expenditure (GFCE)
Final consumption expenditure by general government increased by 0,7%, reflecting an increase in purchases of
goods and services and other interrelated services.
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Gross domestic product, second quarter 2018
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Gross fixed capital formation (GFCF)
Gross fixed capital formation decreased by 0,5%. The main contributors to the decline were activities associated with
machinery and other equipment3
, transport equipment and residential buildings.
Figure 9a – GFCF growth rate (%) Figure 9b – GFCF contributions, Q2 2018 (% points)
Changes in inventories
There was a R14,2 billion drawdown of inventories in the second quarter of 2018. Large decreases were reported
for the manufacturing and mining and quarrying industries.
3
Machinery and other equipment includes computers and related equipment.
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Gross domestic product, second quarter 2018
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Exports and imports of goods and services
Net exports contributed positively to growth in expenditure on GDP. Exports of goods and services were up 13,7%,
largely influenced by increased trade in precious metals, mineral products and vegetable products.
Imports of goods and services increased by 3,1%, driven largely by an increase in imports of mineral products,
prepared foodstuffs, beverages and tobacco and vehicles and transport equipment.
Figure 10 – Exports and imports of goods and services (R million, seasonally adjusted and annualised)
Please note: Stats SA is preparing new data files and tables for the national accounts time series. Information
regarding the changes will be provided in future statistical releases and/or press statements. Users who wish to
receive notification by email should send their email address to Michael Manamela: michaelm@statssa.gov.za.
Risenga Maluleke
Statistician-General
19. STATISTICS SOUTH AFRICA P0441
Gross domestic product, second quarter 2018
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EXPLANATORY NOTES
Forthcoming
issues
Issue
Third quarter of 2018
Fourth quarter of 2018
First quarter of 2019
Expected date of publication
4 December 2018
5 March 2019
4 June 2019
Reference
documents
Information related to the compilation of the production-based GDP estimates is available in the
GDP release P0441 for the third quarter 2014 on the Stats SA website:
http://www.statssa.gov.za/publications/P0441/P04413rdQuarter2014.pdf
Information related to the compilation of the expenditure-based GDP estimates is available in
the sources and methods document on the Stats SA website:
http://www.statssa.gov.za/publications/P0441/Expenditure_on_GDP_Sources_and_Methods.pdf
Note on sources and methods
http://www.statssa.gov.za/publications/P0441/Read_me_Sources_and_Methods.pdf
TECHNICAL ENQUIRIES
Michael Manamela Telephone number: 012 310 8520
Email: Michaelm@statssa.gov.za
Litshani Ligudu Telephone number: 012 310 4674
Email: Litshanil@statssa.gov.za
Bontlenyana Makhoba Telephone number: 012 310 8567
Email: Bontlenyanam@statssa.gov.za
20. STATISTICS SOUTH AFRICA P0441
Gross domestic product, second quarter 2018
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GENERAL INFORMATION
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