According to statistics of the Natural Rubber Producing […]
According to statistics of the Natural Rubber Producing Countries Association, by 2018, the global demand for natural rubber will increase by 2.8%, more than double the 1.2% in 2017.
ANRPC stated that the improvement of the global economy has made a major contribution to this growth, and that the recent changes in the tax policy approved by the United States have also had some impact.
In addition, the commodity market price outlook is expected to increase in 2018 due to the reduction of rubber oil seal by the Organization of Petroleum Exporting Countries and political tensions in the Middle East.
The association said that NR's global suppliers are basically ANRPC members, and this year production is expected to increase by 4.5% to 13.8 million tons.
This year's output growth rate is slightly lower than the 4.7% of the previous year, mainly due to the expected decrease of 4.38 million tons in Thai production.
ANRPC recalled market performance in January that China's rubber farmers had reduced rubber production during the winter season.
The agency stated that the same seasonal factors will soon appear in other major producing countries. At the same time, the NR supply may slow down. In the coming months, the supply and demand of the NR market will be balanced.