Why the domestic rubber market suddenly plummeted
In 2017, the global supply of natural rubber increased rapidly, while the market demand growth is low, the overall face of "oversupply" pattern.
This led to the natural rubber market is expected, from the "good" to "bad", investors pessimistic warming.
The latest report shows that from January to August this year, global natural rubber production grew 5.2% to 8,038,000 tons. Among the members of the Natural Rubber Producing Countries Association (ANRPC), most of the production has increased.
In sharp contrast to this, from January to August this year, the global consumption of natural rubber increased by only 0.6% year on year to 8.544 million tons. Among them, China fell 2.2% year on year.
It is predicted that in 2017, the global natural rubber production will grow 4.8%, reaching 12.863 million tons; and consumption increased by only 1% to 12,803,000 tons.
This means that the global natural rubber this year, about 60,000 tons of excess supply.
In August this year, China imported natural rubber and synthetic rubber (including latex) a total of 560,000 tons, an increase of 19.1%, growth of 19.1%.
January-August, China's rubber imports totaled 4.45 million tons, an increase of 24.3%.
From the domestic economic environment, the macroeconomic data generally weakened, the auto market demand is not busy, tire operating rate is relatively low, optimistic about the beginning of the year is gradually cooling.
Professional analysis that the recent Hujiao main 1801 contract will continue downward trend, the next period of time, the domestic rubber market situation is not optimistic.