Updates with feedback on manufacturing and demand
SHANGHAI, Might 26 (Reuters) – The Worldwide Rubber Research Group (IRSG) expects international pure rubber consumption to extend by 7% in 2021, after declining 8.1% in 2020 due to the pandemic, secretary normal Salvatore Pinizzotto stated on Wednesday.
Nevertheless, demand restoration this 12 months could possibly be slower than anticipated, regardless of development in Asia, he stated, predicting a 5.3% rise in international pure rubber consumption in 2022.
“Rubber consumption declined considerably in 2020, pushed by demand shock within the face of the pandemic contagion, whereas pure rubber manufacturing depth is declining regardless of a rise in mature areas,” he stated through video remarks on the 18th Shanghai Derivatives Market Discussion board.
The Affiliation of Pure Rubber Producing International locations (ANRPC) had pegged international manufacturing of pure rubber at 13.13 million tonnes in 2020, and demand at 12.904 million tonnes.
“If we have a look at the manufacturing and demand pattern for this 12 months, pure rubber demand is forecast to extend by 7%, and artificial rubber demand is forecast to extend by 7.2%,” Pinizzotto stated.
“Pure rubber manufacturing will enhance this 12 months by 5% with any declines in Southeast Asian international locations offset by a rise by different producing areas.”
Pinizzotto additionally stated that local weather change was a long term issue that might affect pure rubber manufacturing, with heavy rains, dryer climate and better temperatures probably affecting plantations.
(Reporting by Emily Chow; Writing by Shivani Singh; Modifying by Louise Heavens and Barbara Lewis)
(([email protected]; +86 10 5669 2115;))
The views and opinions expressed herein are the views and opinions of the creator and don’t essentially mirror these of Nasdaq, Inc.