ZC Rubber Resumes Full Tire Production in China

Zhongce Rubber Group Co. Ltd. resumed tire production at its factory in Hangzhou Qiantang New District in China, and the company says its plants in China and Thailand are both running at full capacity to meet customer needs. ZC Rubber says the first of its 9,200 workers returned to work and resumed production on Feb. 10. But before that, the company was on the front lines of the global pandemic. The company says it set…

NR growth outlook falling on coronavirus-induced demand drop

KUALA LUMPUR — The growth in demand for and production of natural rubber is slipping, prompting the Association of Natural Rubber Producing Countries (ANRPC) to revise downward its 2020 global outlook for natural rubber. The association said it expects NR production to grow by 2.7% this year to 14.2 million metric tons, down from the previous estimate of 14.3 million tons announced in its annual market report on Jan. 31, after producers reported a 5.2% drop in production in the first two months of 2020. Despite the drop,…

Rubber Bulls Look Past Virus Panic to Looming Supply Deficit

(Bloomberg) — Rubber bulls are training their sights beyond the recent slump in prices due to the rapidly spreading coronavirus and instead betting that tighter supplies will help prices rebound from a three-month low. The worst drought in four decades in Thailand, the world’s biggest rubber producer and exporter, and a leaf disease ravaging plantations in some countries including Indonesia and Malaysia could cut supply further this year, according to industry experts. Some major producers…

China Tyre Market Anticipated to Grow at over 11% CAGR through 2020

Increasing automobile sales, expanding vehicle fleet coupled with ongoing development in road infrastructure to drive tyre sales in China through 2020 According to a recently released TechSci Research report, “China Tyre Market Forecast and Opportunities, 2020’’, tyre market in China is forecast to grow at a CAGR of 11% during 2015-20. The market is expected to witness tremendous growth on account of rising automobile sales, increasing tyre production and exports, and ongoing development in road…

ANRPC reports drops in NR production in January, February

KUALA LUMPUR—World production of natural rubber totalled 2.14 million metric tons in the first two months of 2019, down 5.8 per cent from January-February 2018, according to the Association of Natural Rubber Producing Countries. The recent tropical storm in Thailand and early wintering of Hevea trees among ANRPC member countries contributed to the decline in NR production, said ANRPC Secretary General Nguyen Ngoc Bich in his preface to the association’s February 2019 edition of Natural Rubber Trends &…

Natural rubber output falls in half-year; demand up slightly

KUALA LUMPUR, Malaysia — The world supply of natural rubber (NR) fell 8.3% to 5.85 million metric tons during the first half of 2019 versus the same 2018 period, according to figures released by the Association of Natural Rubber Producing Countries (ANRPC). Global demand, on the other hand, rose 0.8% to 6.93 million tons during the same reference period, the ANRPC added. Despite the presence of “favorable market fundamental,” particularly in physical rubber market, other…

Prinx Chengshan: Milestones reached in Thailand, China plant projects

Prinx Chengshan reports that “steady progress” is being made at its new tyre factory in Thailand. Construction work commenced on 31 March and the purchase of key equipment by invitation to tender has now been completed. The company estimates that all steel production workshops, mixing workshops, and supporting public works will be completed by the end of this year. Production at the site should commence in 2020.

China launches natural rubber futures

China on Monday started the trading of yuan-denominated natural rubber futures, the technically specified rubber (TSR) 20 futures. The TSR 20 futures is the country’s fourth commodities futures open to both home and overseas investors after crude oil futures, PTA futures and iron ore futures. The listed futures on the Shanghai International Energy Exchange are contracts to be delivered from February to July of 2020. The benchmark prices of six contracts were set at 9,260 yuan (1,319 U.S….

Double Coin’s OTR tire plant in Thailand operating at capacity

MONROVIA, Calif.—Double Coin Holdings Ltd.’s plant in Thailand is operating at full capacity, able to produce off-road and radial truck/bus tires, according to Tim Phillips vice president of marketing and operations for Double Coin’s CMA L.L.C. subsidiary in Monrovia. Phillips said the facility in Rayong, Thailand, is able to fulfill container-level orders, and products made in Thailand are not subject to the elevated antidumping and/or countervailing duties associated with products produced in China. With major…

Rubber supply deficit likely in 2022

THE world’s natural rubber supply is likely to face a deficit again from 2022 onwards as major producing nations have reduced their replanting activities. Manufacturing businesses that use rubber as feedstock for processed goods will feel the heat from higher raw material costs if there is a natural rubber shortage. They include glove makers, tyre producers and industrial products manufacturers. The Association of Natural Rubber Producing Countries (ANRPC) forecasts a 1.3% supply deficit in 2022,…