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 external factors such as uncertainties created by the China – US trade war, rising tension in Middle East and the slowdown in Chinese economy, weighed in on the market, the association noted.
“The worries over the escalated trade war tension between China and U.S. has made the traders remain conservatives in trading position,” it noted.