Costs Continue to Decline as October Styrene-Butadiene Rubber Market Weakens and Falls

October 31st, according to reports

Costs declined, and the SBR (styrene-butadiene rubber) market in China showed a weak downward trend in October. According to the commodity market analysis system, as of October 31, the price of SBR in the East China market was 11,283 CNY/ton, a decrease of 4.98% from 11,875 CNY/ton at the beginning of the month. As of October 31, the mainstream prices for SBR 1502 from Fushun, Jilin, Yangzi, and Qilu in the East China region were around 11,250-11,400 CNY/ton.

In October, the prices of raw materials butadiene and styrene showed a weak downward trend, lowering the cost center of styrene-butadiene rubber. According to the commodity market analysis system, as of October 31, the price of butadiene was 7,516 CNY/ton, a decrease of 15.42% from 8,886 CNY/ton at the beginning of the month; as of October 31, the price of styrene was 6,752 CNY/ton, a decrease of 5.17% from 7,120 CNY/ton at the beginning of the month.

In October, the operation of styrene-butadiene rubber (SBR) plants in China remained basically stable at around 70%.

Demand side: In October, downstream semi-steel tire production slightly increased, providing solid support for the styrene-butadiene rubber market. As of October 24, Chinese tire companies had semi-steel tire production running at around 74%, while tire manufacturers in Shandong province saw full-steel tire output edge up slightly to approximately 66%.

Market Forecast: From a fundamental perspective, analysts note that supply of key raw materials—butadiene and styrene—is currently ample, while cost support for styrene-butadiene rubber remains weak. Meanwhile, SBR production rates have remained largely stable. On the other hand, the downstream tire industry continues to provide some support for SBR demand. Overall, the market is expected to experience volatile yet consolidating price movements in the near term.