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Frederick Mitchell, Chief Economist | Aluma Capital (Pty) Ltd
Frederick Mitchell
December 17, 2025

Mining Production and Sales

October 2025

In October 2025, mining activity in South Africa saw a year-on-year increase of 5.8%, following a 1.4% rise recorded in September.

This growth was mainly attributed to:

  • A 3.9% increase in platinum production, contributing 1.1 percentage points to the overall monthly output.
  • A significant 15.1% rise in manganese ore, which added another 1.0 percentage point.
  • A 14.1% increase in chromium mining, contributing an additional 0.8 percentage points to total monthly production.
  • Iron ore production, which grew by 24.8%, contributing a further 2.9 percentage points.

Seasonally adjusted mining production for the three months ending in October rose by 2.3% compared to the previous three months ending in July. This quarterly growth was primarily driven by:

  • Platinum mining, which expanded by 4.1%, contributing 1.1 percentage points.
  • An increase in iron ore mining by 3.2%, adding 0.5 percentage points.
  • Manganese ore, which grew by 5.7%, contributing an additional 0.4 percentage points.

Nominal mining sales climbed by 13.3% in October, buoyed by several subsectors:

  • Platinum sales surged by 50.6%, contributing 11.2 percentage points to the total growth in mining sales.
  • Gold sales increased by 4.6%, adding 1.0 percentage point.
  • Chromium ore sales rose by 26.6%, contributing another 2.0 percentage points.

The largest negative contributor to mining sales growth for the month was coal, which experienced a decline of 6.4%, subtracting 1.4 percentage points from overall mining sales.

The mining sector remains essential to South Africa’s economy, generating foreign exchange and providing employment for approximately 449,000 people—16,000 more than the previous quarter, according to StatsSA labour statistics for Q3 2025. The sector experienced a 2.3% growth from the second to the third quarter of 2025, based on recent GDP data, which is encouraging, given its ongoing importance for employment and foreign earnings in the South African economy.

Employment in the industry has seen a slight increase compared to the previous quarter, highlighting its continued relevance. However, several challenges persist, including concerns regarding exports to the US following new tariff measures introduced on 7 August, proposed export tariffs on manganese, and import tariffs on steel exports to the Eurozone. The sector also faces potential risks related to the loss of AGOA benefits in September and discussions regarding exclusion from a potential two-year extension of the AGOA agreement by the US government, alongside ongoing issues related to the new Mining Charter.

On the international front, geopolitical tensions between the US and China, characterised by trade conflicts and tariff disputes, continue to disrupt global markets and limit trade flows. However, some positive developments have arisen, such as the temporary exemption of certain mining materials used in steelmaking from high US tariffs, providing some relief for the sector, which remains crucial to South Africa’s economy in terms of employment, foreign exchange earnings, and overall growth.

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