Rubber Industry Faces Multiple Opportunities

Business News Agency April 20 hearing At the “2012 China Rubber Annual Conference” held recently, Fan Rende, President of the China Rubber Industry Association, gave a detailed introduction to the ten major opportunities facing the rubber industry in 2012. As the entire industry still exceeds supply, the rubber market does not currently have the potential to rise. With the advent of the cut-off period, prices may also decline slightly.

Fan Rende said that opportunities first come from the "12th Five-Year Development Plan for New Materials Industry." The high-performance reinforced fibers such as aramid 1313, aramid 1414, ultra-high molecular weight polyethylene fibers, and carbon fibers mentioned in the “Planning” have close relationship with the rubber industry.

Secondly, the National Development and Reform Commission issued the "Twelve Five-Year Plan" Comprehensive Utilization Guidelines for Resources, which was released at the end of last year. Waste tires were once again included in the key areas of renewable resource recycling. The "opinions" will further promote the development of China's tire recycling, rubber powder, recycled rubber and other resources recycling industry.

At the same time, the new energy automotive market and automotive export market will also give the rubber industry opportunities. The industry expects that with the intensive product listing and favorable policies, the new energy automobile industry will be rapidly developed in 2012. This not only provides a new market for tires, but also is suitable for new energy vehicles, such as rubber hoses and transmission belts. Provides market opportunities.

"Considering that China's current automobile production is greater than sales, it is an inevitable trend to further expand automobile exports in the future. In the future, exports will be expanded to cars and even high-end cars, which also constitutes good demand for rubber," Fan Rende said.

Despite this, the industry is still not optimistic about the recent trend of rubber prices.

“Overall, the rubber market does not have the potential for a big rise in the short term. On the one hand, the rubber and plastics industry still exceeds supply, and in particular, the natural rubber production areas in Yunnan have entered the full cut period, and the market supply has gradually increased. On the other hand, the previous high crude oil has brought support to the rubber and plastics market, but recently the oil price has declined. Therefore, it is expected that the market will maintain a narrow adjustment pattern in the near future.” Trade and Industry Rubber Analysis Teacher Ting Wei told this reporter .

Data show that in March China's natural rubber imports fell 9.5% year-on-year to 190,000 tons. This figure indirectly shows that domestic demand for natural rubber has weakened. There are various signs that Tianjiao is facing an unfavorable situation.