Rubber Market Closes Higher Due To Weaker Rubber Supply
By Nur Athirah Mohd Shaharuddin
KUALA LUMPUR, March 3 (Bernama) -- The local rubber market closed higher on Monday, supported by weaker supply in natural rubber (NR) producing nations, according to a dealer.
The dealer noted that market sentiment was also lifted by encouraging Chinese economic data and a positive rubber demand outlook, as reported by the Association of Natural Rubber Producing Countries (ANRPC).
“Nevertheless, further gains were capped by weaker guidance from regional rubber futures markets, weighed down by concerns over United States (US)-China trade tensions and persistent US inflation,” she told Bernama.
China is considering retaliatory measures against the US's threat of imposing an additional 10 per cent tariff on Chinese imports.
She said that Thailand's meteorological agency had warned of isolated thundershowers from March 6 to 8, 2025, in the south, and advised farmers to be cautious of potential crop damage.
She also mentioned that Chinese manufacturing activity had grown more than expected, reaching a three-month high in February, with the official purchasing managers' index rising to 50.2 due to increased production and new orders.
“Meanwhile, ANRPC revealed that the global demand outlook for 2025 shows a slight increase of 1.8 per cent year-on-year (y-o-y), while the outlook for global NR production in 2025 indicates only a growth of 0.3 per cent y-o-y,” she said.
The Malaysian Rubber Board reported that Standard Malaysian Rubber (SMR) 20 had risen by nine sen to 923.5 sen per kilogramme as of 3 pm, while latex in bulk gained four sen to 716.5 sen per kilogramme.
-- BERNAMA