Tireworld Insight: Natural rubber prices soar in late June

Natural rubber prices in international markets registered an upward movement in middle and late June, partly due to supply concerns after heavy rain flooded large areas of croplands, including rubber growing areas, in the Philippines, southern China and Vietnam.

The average price of Thai RSS3 stood at 2,106 US dollars a metric ton (tonne), marking a rise of 22 US dollars a tonne month on month.

The average price of Indonesia SIR20 was 1,721 US dollars a metric ton (tonne), representing an increase of 11 US dollars a tonne month on month.

As for the market in Singapore, the RSS3 futures price in delivery month was 2,083 US dollars a tonne, up 14 US dollars from a month earlier. 

The following chart shows the movements in natural rubber prices in major rubber producing regions around the globe. The blue spotted line tracked Thailand RSS3 average price. The purple one tracked Indonesia SIR20 average price. The red one tracked the average RSS3 spot price in Singapore.

In June, the average price quoted at the Yunnan E-commerce Center stood at 14,286 yuan per tonne, up 656 yuan per tonne from May.

SCRWF average price in Shanghai was 14,105 yuan/tonne, up 325 yuan per tonne month on month, while the average price in Qingdao was 14,005 yuan per tonne, a rise of 330 yuan from a month ago.

The following chart shows the price trajectory of natural rubber prices in China. The blue spotted line tracked the average price in Shanghai. The purple one tracked the average price in Tianjin.

According to data provided by the General Administration of Customs, China imported 192,200 tonnes of natural rubber in May, a rise of 8.97 percent year on year. In the first five months, rubber imported totaled 1.25 million units, up 20.82 percent from the corresponding period of last year.

(Edited by Olivia, olivia@tireworld.com.cn)