Firm Raw Material Prices and Decreasing Inventory Lead to a Rise in Natural Rubber Prices in China

September 08, News

According to the commodity market analysis system, the spot market price of natural rubber in China has risen recently (from September 1st to September 8th). As of September 1st, the spot price of natural rubber in the Chinese market was around 15,416 CNY/ton, an increase of 3.06% from 14,958 CNY/ton on September 1st. The slight fluctuations in downstream tire production have provided a firm demand support for natural rubber; additionally, the high and stable prices of raw materials for natural rubber have continued to provide cost support. Furthermore, the port inventory in China has continued to decrease slightly, creating a positive market sentiment, which has driven the natural rubber prices to fluctuate and rise. As of September 8th, the mainstream prices for 24-year Guangken, Baodao, and Haibao full-cream rubber in the Qingdao area were between 15,350 and 15,600 CNY/ton.

As of September 8, the price of Thai adhesive stood at 56.00 Thai baht per kilogram, representing a 0.99% increase from 55.45 Thai baht per kilogram on September 1. Meanwhile, major rubber-producing regions in China have recently been affected by rainfall and typhoons, leading to lower-than-expected new rubber output and keeping raw material prices elevated.

Recent (9.1~9.8) natural rubber inventories continued to decrease slightly, and market sentiment improved. As of September 7, 2025, the total inventory volume of natural rubber in bonded and general trade in Qingdao, China, was 592,300 tons, a decrease of 10,000 tons from the previous period, with a decline rate of 1.66%.

Recent downstream tire production has seen minor adjustments, providing support for the natural rubber market's demand. As of September 5, the semi-steel tire production rate of Chinese tire companies slightly increased to around 73%; in Shandong, the full-steel tire production rate of tire companies slightly decreased to about 64%.

Market Forecast: Currently, high and stable prices of imported raw materials in China, coupled with steady yet orderly operations in the downstream tire industry, are providing support for natural rubber prices. Meanwhile, port inventories of natural rubber have slightly declined. As the peak season approaches, natural rubber prices are expected to fluctuate upward in the near term.