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2026-07-13 17:46:14
[Surge in Crude Oil Prices Coupled with Strong Tire Exports Leads to Volatile Gains in Japanese Rubber Futures] ⑴ The December rubber contract on the Osaka Exchange rose 1.2 yen, or 0.29%, to close at 421 yen per kilogram on Monday. The September natural rubber contract on the Shanghai Futures Exchange also rose 105 yuan, or 0.62%, to 16,910 yuan per ton. Butadiene rubber contracts saw even more significant gains, surging 490 yuan to 12,990 yuan per ton. ⑵ In the energy market, continued threats to energy transport through the Strait of Hormuz and the announcement of a new round of military strikes by the US and Iran caused oil prices to surge by over 4% in a single day, providing cost support for the rubber market. Natural rubber, due to its market share competition with synthetic rubber derived from crude oil, often follows oil price fluctuations. ⑶ A report from the Japan Exchange Group on Monday indicated that strong physical demand coupled with short covering supported the resilience of rubber prices within a range-bound trading pattern last week, limiting the short-term downside potential of the market. (4) Demand in China's tire industry remained robust, with tire exports reaching 8.51 million tons in June, a year-on-year increase of 4.8%, and a total export value of US$20.54 billion. Strong external demand continued to drive rubber consumption. (5) The latest August rubber contract on the Singapore Exchange's SICOM platform was quoted at 215.5 US cents per kilogram, up 0.4%. Overall market sentiment in the region was positive. Going forward, attention should be paid to the evolution of the geopolitical situation in the Strait of Hormuz and the sustainability of China's tire export orders.
