Skip to main content
Invest Now
012 012 5270
Copyright © Aluma Capital (Pty) Ltd. All rights reserved.
Aluma Capital (Pty) Ltd is a registered Financial Services Provider (FSP 46449) in terms of The Financial Advisory and Intermediary Services Act (37 of 2002)
Frederick Mitchell, Chief Economist | Aluma Capital (Pty) Ltd
Frederick Mitchell
April 14, 2026

Mining Production and Sales for February 2026

Discover the dynamic shifts within South Africa’s mining sector with our latest analysis. In a remarkable February 2026 performance, mining activities surged by 9.7%, spearheaded by dramatic increases in PGM, chromium ore, manganese, and gold production. Despite a quarterly dip, February’s nominal sales skyrocketed by 58.3%, driven by remarkable gains in platinum and gold. As the backbone of South Africa’s economy, the sector faces evolving global challenges and opportunities, from new US tariff measures to geopolitical tensions affecting global trade and energy prices. Stay ahead with insights into the sector’s resilience and strategic importance. Read the full article to understand the trends shaping South Africa’s economic landscape.

In February 2026, South Africa’s mining activity rose 9.7% following the revised 5.0% increase recorded in January 2026. This growth was predominantly driven by:

  • A 52.3% increase in PGM mining production, which contributed 9.4 percentage points to the overall mining output for the month.
  • A substantial 26.9% rise in chromium ore output, adding another 1.6 percentage points.
  • Manganese production rose by 17.8% during January, while adding 1.5 percentage points towards mining production growth and
  • A 12.8% increase in Gold production, which added an additional 1.3 percentage points to total mining output growth for the month.

For the rolling quarter ending February 2026 compared with the previous rolling quarter, seasonally adjusted mining output decreased by 1.7%. This decline was primarily due to:

  • A 2.5% drop in platinum mining, which decreased total mining production by 0.7 percentage points and
  • Adecrease in Iron ore production, which decreased by 9.7% and, subtracted 1.4 percentage points for the quarter under review.

In February, nominal mining sales rose 58.3%. This positive trend was notably supported by:

  • A 132.1% surge in platinum sales, which added 26.5 percentage points to overall mining sales growth.
  • Another impressive 397% rise in gold sales, contributing 32.2 percentage points.
  • Chromium ore sales, which grew by 53.8%, added another 4.2 percentage points.

The mining sector remains vital to South Africa’s economy, generating foreign exchange and employing approximately 444,000 people, a slight decrease of 5,000 from the previous quarter, according to StatsSA labour statistics for the fourth quarter of 2025. According to the latest GDP data, the sector however contracted by 1.3% from the third to the fourth quarter of 2025, with sector growth of 0.9% projected for the first quarter of 2026. This projected first-quarter growth is encouraging, given the sector’s importance to employment and foreign earnings for the South African economy.

Despite a slight decrease in employment from the previous quarter, the sector’s continued significance is evident. However, challenges persist, including concerns over 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 challenges related to the loss of AGOA benefits in September and ongoing issues with the new Mining Charter.

On the international stage, geopolitical tensions between the US and China—marked by trade conflicts and tariff disputes—continue to disrupt global markets and limit trade flows. The current Middle Eastern conflict between the US/Israel, and Iran does not bode well for international oil prices as seen in the notable increase in energy prices at this stage, and may cause some sectors to experience rapid cost increases if the conflict isn’t resolved quickly. Nonetheless, some positive developments, such as the continued temporary exemption of certain mining materials used in steelmaking from high US tariffs, have occurred. This provides some relief for the sector, which remains crucial to South Africa’s economy in terms of employment, foreign exchange, and overall growth.

Back to News

More Coverage

Private Sector Credit Extension (PSCE): May 2026

In a rapidly shifting economic landscape, May 2026 saw credit demand growth of 8.6%, falling short of the anticipated 9.4% forecast. Since interest rate cuts began in September 2024, credit growth has generally surged, particularly following strategic interest rate reductions by the South African Reserve Bank amidst global tensions and skyrocketing energy costs. However, the South African property market stagnates due to soaring consumer debts, muted wage increases, and escalating living expenses, notably in household fuel and utility prices. While instalment credit sales posted a modest rise, the reliance on short-term credit underscores consumer struggles with surging living costs. With inflation hovering above target and persistent high fuel prices, the anticipated interest rate hike in July could further suppress demand, adding pressure to the already challenging economic recovery. Discover the dynamics shaping South Africa’s financial climate in this insightful analysis.

Producer Price Inflation – May 2026

In May 2026, producer price inflation surged to 7.8%, driven by significant fuel price shocks that impacted goods leaving the factory gate. Important sectors saw remarkable price hikes, with Coke, petroleum, and chemical products alone rising by 22%. Meanwhile, mining costs soared by 28.1%, heightening concerns about ongoing inflationary pressures. With consumer inflation climbing to 4.5%, surpassing the South African Reserve Bank’s target of 2% to 4%, the economic landscape is becoming increasingly unstable. Readers will find critical insights into how these trends affect overall inflation expectations and the imminent interest rate decisions that could shape South Africa’s economic future. Dive into the full report for a comprehensive analysis of these pivotal issues and their implications.

South Africa’s Crypto Crossroads: Modern Regulation or an Economic Time Machine?

Dive into “South Africa’s Crypto Crossroads: Modern Regulation or an Economic Time Machine?” an eye-opening exploration of South Africa’s latest Draft Capital Flow Management Regulations, 2026. As the South African government aims to modernise cross-border financial regulations and tighten digital currency controls, these proposed changes have sparked uproar among fintech leaders and legal experts. The draft threatens to overreach into constitutional rights, potentially stifling innovation and economic growth. With concerns over encroachments on privacy and powers to seize assets, critics argue that the regulations could deter investment and spark a talent exodus. As the public comment period extends, the country’s financial future hangs in the balance, poised between innovation and economic regression. Discover why industry stakeholders are on high alert and advocating for a careful recalibration of this legislative move.

Manufacturing Production – April 2026

In April 2026, South Africa’s manufacturing sector experienced a worrying 2.9% contraction, in stark contrast to earlier growth forecasts. While the Purchasing Managers’ Index (PMI) indicated slight optimism, with a rise to 52.6, the underlying data revealed significant declines in key industries, notably basic iron and steel and motor vehicles, which contributed heavily to the downturn. This article delves into the factors driving this decline, including the impact of US trade tariffs and ongoing diplomatic tensions, which have exacerbated the situation and led to a steep drop in exports. Despite these challenges, manufacturers have taken a cautious yet strategic approach, maintaining robust cash reserves amidst the turmoil. Explore the full report to understand the implications for South Africa’s economic landscape and the future of manufacturing in the region.

A view on Demand in the Economy: Retail Sales performance – April 2026 Data

Discover the dynamics of South Africa’s retail landscape as April 2026 saw an unexpected 1.3% sales surge, surpassing analyst expectations and hinting at a delicate yet promising recovery in consumer demand. Unpack the complex backdrop of inflation concerns, interest rate adjustments by the South African Reserve Bank, and the broader economic challenges shaped by international tensions and rising costs. Despite the growth, households navigate a landscape of cautious spending, with recent interest rate hikes casting a shadow over future consumer spending and business confidence. This intriguing exploration offers insights into the driving forces behind the retail revival and the headwinds that may test its resilience.