Demand for natural rubber in China may drop in 2013

In view of the slowdown in the growth of China's auto sales, China's natural rubber demand and prices will decline in 2013, and another major reason for the decline in natural rubber demand is the use of synthetic rubber .

According to the President of Gangdi Co., Ltd. China, as the economic situation in both developing and developed countries tends to be weak, more and more people are concerned about the global economic situation next year. Okada Co., Ltd. is the largest rubber contract broker in the Tokyo Commodity Exchange.

The OECD of the Organisation for Economic Co-operation and Development forecasts that China’s GDP growth will increase by 8.5% next year, the lowest increase in 11 years. According to the China Association of Automobile Manufacturers, the increase in China’s auto sales next year is likely to record the lowest increase in 13 years.

According to industry insiders, the major problems faced by Chinese tire manufacturers are declining sales volume, overcapacity, and low prices. This problem can only be resolved when the overall economic environment in China and the automotive market have improved.

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