According to foreign media reports, the vice chairman of the Thai Rubber Cooperatives Association said that due to the effects of drought, from January to April this year, natural rubber production is expected to decline by 50% year-on-year, and tire prices may rise.
Rubber Industry Park
It is reported that Pairat Joeychum, the head of the Gakkai agriculture organization in southern Thailand, said that in the first four months of this year, rubber farmers could not collect as much latex as they used to, and in the case of continuous shortage of rainfall, tapping may be Full recovery in the near future.
In many areas in southern, northern and northeastern Thailand, rubber plantations have been damaged by fire and drought, and rubber trees have died. In addition, Pairat said that the production of latex in Phatthalung will be reduced by 6% and the production of smoke film will be reduced by 70%. National production fell by 50%.
As a result, traders are squeezing shortages of natural rubber, and rubber prices continue to rise. Latex prices have risen to 62 baht per kilogram and are expected to rise to 70 baht/kg in the later period. Previously affected by China's depressed market demand and lower crude oil prices, the price of latex was once as low as 30 baht/kg.
Basic composition of truck tires
Rubber is one of the most important raw materials for tires. The price of tires is basically controlled by the price of rubber. Rubber shortage will inevitably cause the price of natural rubber to rise. Recently, the price of tires has been rising all the way, I am afraid that the follow-up will continue to increase, and rubber imports will also decrease. Brought the gospel to the domestic rubber farmers.
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