The Xinhua Index monitoring the natural rubber price index shows that from October 29 to November 4, natural rubber prices slightly retreated.
As of November 4, the price index for Standard Rubber (TSR20) was 1273.99 points, down 1.14% from the previous release date (October 28).
The price index for Mixed Rubber (20#) was 1335.71 points, down 1.95% compared to the previous period.
Looking at the price trends, both Standard Rubber and Mixed Rubber saw a slight decrease in average prices.
The average price for Standard Rubber (TSR20) fluctuated between $1888.78 and $1901.83 per ton,while the average price for Mixed Rubber (20#) remained in the range of $2010.00 to $2040.00 per ton.
On the supply side, rainfall in the main Southeast Asian production areas decreased, allowing tapping work to return to normal. The output of raw materials increased, leading to a continuous drop in raw material prices.
On the demand side, tire manufacturers capacity utilization remained relatively stable.
Data shows that as of October 31, the capacity utilization rate of Chinese all-steel tire sample enterprises was 59.19%, an increase of 0.27 percentage points from October 24, but a year-on-year decrease of 5.16%.
The capacity utilization rate for semi-steel tire sample enterprises was 79.73%, an increase of 0.05 percentage points from the previous period, and a year-on-year increase of 1.06%.
Recently, the production scheduling among all-steel tire manufacturers has varied, with enterprises undergoing maintenance gradually resuming operations, which has led to a slight increase in overall capacity utilization.
Most companies have been flexibly adjusting production based on their own inventory levels.
In the heavy truck sector, in October 2024, China’s heavy truck market sales were approximately 63,000 units (wholesale, including exports and new energy vehicles), an increase of 9% from the previous month.
However, compared to the 81,100 units sold in the same period last year, this represents a 22% decline, a decrease of about 18,100 units.
Looking at the past eight years, the sales volume of 63,000 units is higher than in October 2022 and October 2021, but lower than in October of other years.
From January to October 2024, China’s heavy truck market sold about 746,000 units, with the cumulative decline expanding to 5%.
In summary, we are currently in the peak production period, with reduced rainfall in various production areas and tapping work gradually resuming, which has led to an increase in raw material output.
On the demand side, heavy truck sales have shown no signs of improvement, and overall demand remains weak. It is expected that in the short term, natural rubber prices may fluctuate downward
