The amount of rubber exports to China increased for 5 consecutive months, but the price was still lower than the same period in 2022 due to the economic downturn, consumers tightened spending.
According to the Import-Export Department, in June, rubber exports to China reached 137,420 tons, equivalent to 179 million USD, up 57% in volume and 54% in value compared to May. Compared to June 2022 , rubber exports increased slightly by 3% in volume but still decreased by 16% in value.
Accumulated in the first 6 months, Vietnam exported to China 580,890 tons of rubber, worth 779 million USD, up 8% in volume but down 13% in value over the same period in 2022.
Currently, China is still Vietnam's largest rubber export market, accounting for 76% of the country's total rubber exports in the first half of 2023.
The average export price of rubber to China was at $1,303 per ton, down 2% compared to May and down 18% compared to June 2022. On average, in the first 6 months of the year, the export price of rubber was at $1,340/ton, down 20% over the same period in 2022.
In fact, China's tire production has also started to become more active and the demand for rubber has also improved. This brings positive signals, rubber exports increased for the 5th consecutive month compared to the same period in 2022.
However, the export price of rubber is forecasted to not be able to prosper. Vietnam Rubber Group (VRG) believes that China has opened its economy, but consumption is still slow. Most of the rubber products are for consumption, only a few are used for the production of truck tires.
With the situation of economic recession, high inflation, people tighten their consumption, leading to the demand for rubber still cannot be high. Consumption is still weak, VRG forecasts that from now until the end of 2023, export rubber prices will hardly recover. VRG expects that from 2024 onwards, it will be more stable, the demand as well as the price of rubber will go up.
