Manufacturing output rose 4.5 percent year-on-year in June and 0.7% on a monthly basis, while mining production fell 2.5%, smaller than the 4% contraction forecast by a Reuters poll of economists.
"Today's output figures support our view that the South African economy rebounded in Q2, thus avoiding a technical recession," John Ashbourne, Africa specialist at Capital Economics, said in a note.
The economy shrank 1.2% in the first three months of 2016 as major sectors of the economy contracted, battered by slack global demand, a slide in the currency that has stoked inflation, and a searing drought.
Analysts said the surprisingly positive data, along with a recent rally by the rand, could ease the strain on industry as well as consumers, but warned the relief may be short lived.
