RUBBER PRICES CONTINUE TO FALL, IT IS DIFFICULT TO EXPORT, DIFFICULT TO GET OUTSIDE

From the beginning of May 2023 until now, the domestic purchasing price of raw rubber latex has not changed much. The price of latex is purchased in the range of 225 - 270 VND/TSC.

RUBBER PRICES CONTINUE TO FALL, IT IS DIFFICULT TO EXPORT, DIFFICULT TO GET OUTSIDE

In the first month of the year, Vietnam's rubber exports continued to decrease by 23.7% in value over the same period in 2022, due to the sharp drop in rubber export prices in recent months.

Rubber export prices continue to fall

From the beginning of May 2023 until now, the domestic purchasing price of raw rubber latex has not changed much. The price of latex is purchased in the range of 225 - 270 VND/TSC.

In Binh Phuoc, Phu Rieng Rubber Company (purchased at 255 VND/TSC; Dong Phu Rubber Company purchased at 259 VND/TSC; Binh Long Rubber Company purchased at 269 VND/TSC).

According to the General Department of Customs, in April 2023, Vietnam exported

87,750 tons of rubber, worth 121.79 million USD. This number decreased 24.3% in volume and 25.7% in value compared to March.

Rubber exports continued to decrease in value as export prices continued to fall sharply.

In April, the average export price of rubber reached US$1,388/ton, down 1.9% over the previous month and 23.1% compared to April 2022.

Including the first 4 months of the year, rubber exports reached 469,630 tons, worth USD 653.22 million; down 3.2% in volume and 23.7% in value over the same period in 2022. The reason is that the export price of rubber has continuously dropped sharply in recent months.

According to the Import-Export Department (Ministry of Industry and Trade), in the first 4 months of the year, most rubber exports to markets decreased compared to the same period last year due to the decrease in the purchasing power of the world market, especially the major markets such as India, America, and Europe.

In the coming time, rubber exports will still face difficulties because the auto industry, especially in the US and Europe, is affected by high inflation and weak consumer demand.

Smallholder rubber affected

China's rubber demand is gradually recovering, which is expected to be a supporting factor for the market. However, it is difficult for a single market like China to help rubber exports prosper

In April 2023, China was still Vietnam's largest rubber export market, accounting for more than 73.1%.

With an export volume of 64,200 tons, worth USD 87.45 million, Vietnam's rubber exports to this market decreased by 26% in volume and 27% in value compared to the previous month.

The average export price of rubber to China was $1,362 per ton, down 1.3% month on month but down more than 21% over the same period last year.

Accumulated in the first 4 months of the year, Vietnam's rubber exports to China decreased by nearly 14% in value compared to the same period in 2022.