The main reasons influencing the cost of organic rubber can be summarized as follows:

First, the global market place need toward all-natural rubber and the export scenario of these key rubber producing nations

The offer of organic rubber in international market place is totally controlled by Thailand, Malaysia, Indonesia and some other countries. At the same time, the key rubber buyers and non-rubber producers, this kind of as US and Japan, are absolutely depending on rubber imports. These nations as a result impose immediate influence on worldwide rubber price tag.

Second, transactions in global market

Natural rubber is now a typical kind of tropical commodity futures in international market, possessing certain share in Far East and Southeast Asian futures buying and selling market. Currently, institutes linked to natural rubber futures buying and selling are: TOCOM, KOBE, RAS and KLCE. Among these, TOCOM and RAS will be the most influential buying and selling institutes because their pretty massive possession of marketplace share demonstrates the basic dynamics of worldwide inventory market place.

Third, the global all-natural rubber agreement sighed by the member nations of INRO will also impose significant impacts on the rubber price tag in stock market.

Fourth, all-natural rubber and artificial rubber may be alternative when making particular products; therefore, once the provide of natural rubber in intensive, consumers will favor artificial rubber a lot more.

The market place positions of natural rubber and synthetic rubber are complementary. Aside from that, the cost of oil will affect the cost of artificial rubber by way of one way or yet another since artificial rubber belongs for the category of petrochemical goods.

Fifth, the main customer of all-natural rubber is tire.

The prosperity of tire sector right impacts the industry of normal rubber. The growth car industry as well as the national coverage toward auto sector will even influence the demand toward tire, ergo the need of normal rubber due to the fact vehicle sector often craves for ample tire provide. Other industries' desire toward rubber gasket and rubber sheet will influence the value of organic rubber at the same time.

Sixth, political factors: policy and political modify Coverage: the export and import coverage of relevant nations will influence the price tendency of organic rubber.

Political change: normal rubber is considered to be a sort of pretty important armed forces offer. It reacts acutely and strongly to the incidence of some political accessoire. Diverse countries ought to maximize their organic rubber reserves when war is probably going to bust out.

Seventh, all-natural aspects like the change of seasons and climate can affect the cost of window rubber seals . The cost of normal rubber will increase from January to March since it's non-tapping season. The rise in rubber offer due to recurrent rubber tapping from June to Oct will function to reduce the value.