Rubber prices on May 12 moved in opposite directions across Asian exchanges.
In Japan, prices rebounded slightly after previous losses, while prices in China continued to decline modestly as traders increased stockpiling activities.
Global Rubber Market Update
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At the Tokyo Commodity Exchange (TOCOM), May 2021 rubber futures were quoted at 259.4 JPY/kg, up 2.4 JPYfrom the previous session.
On the Osaka Exchange, June 2021 contracts traded at 262.9 JPY/kg (up 1.7 JPY), while August 2021 contracts settled at 258.2 JPY/kg, up 1.1 JPY.
Meanwhile, on the Shanghai Futures Exchange (SHFE), RSS3 May 2021 contracts were priced at 13,845 CNY/ton, down 10 CNY from the previous session.
June 2021 contracts increased slightly to 14,040 CNY/ton (up 10 CNY), while August 2021 contracts declined to 14,110 CNY/ton (down 60 CNY).
Overall, rubber prices in Japan showed signs of recovery, supported by improved investor sentiment, whereas the Chinese market remained under mild downward pressure amid inventory adjustments.
Domestic Rubber Market in Vietnam
According to local surveys, rubber latex prices in Binh Phuoc Province remained stable, ranging from 315 – 325 VND per TSC degree.
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Binh Long (Binh Phuoc): 315 – 325 VND/degree
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Phu Rieng (Binh Phuoc): 315 – 325 VND/degree
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Dong Phu (Binh Phuoc): 315 – 325 VND/degree
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Binh Duong Province: 315 – 325 VND/degree
Vietnam’s Rubber Export and Import Performance
According to the Ministry of Agriculture and Rural Development (MARD):
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April 2021: Rubber exports were estimated at 80,000 tons, valued at USD 143 million.
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Four months of 2021: Exports reached 486,000 tons and USD 817 million, up 79.6% in volume and 111.6% in value compared to the same period in 2020.
Top three export markets for Vietnamese rubber in Q1 2021:
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China – 64.2% market share
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India – 5.1%
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United States – 2.7%
Meanwhile, imports also grew strongly.
In April 2021, Vietnam imported 90,000 tons of rubber worth USD 158.5 million.
For the first four months, imports totaled 594,900 tons worth USD 849.5 million, up 144.4% in volume and 126.9% in value year-on-year.
Main suppliers of rubber to Vietnam during this period were:
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Cambodia: 44.1% market share (up 11 times vs. 2020)
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South Korea: 9.5% (up 22.4%)
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China: 7.4% (up 130.2%)
Market Outlook: Tight Supply May Trigger a New Price Cycle
MARD noted that the global automobile industry is facing multiple challenges — not only from plant shutdowns and semiconductor shortages but also from rubber supply constraints due to container shortages and logistical bottlenecks.
China’s stockpiling policy, along with pandemic disruptions, has further limited global rubber availability.
Analysts predict that between 2021 and 2024, global rubber prices could enter a new upward cycle as supply tightens and demand remains resilient.