Halo Butyl Rubber Price Trend and Forecast

Halo Butyl Rubber Regional Price Overview

Get the latest insights on price movement and trend analysis of Carbon Dioxide in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Halo Butyl Rubber Price Trend for the Q3 of 2024

Asia

The price trend for halo butyl rubber in Asia during Q3’24 saw a decline, primarily driven by easing concerns about rubber supply. Earlier in the year, prices were influenced by expectations of tighter rubber production due to the European Union's deforestation regulation, which was expected to restrict imports of rubber linked to deforestation. However, in late Q3, the EU announced a delay in the implementation of this regulation until 2025, alleviating some of the supply-side pressures.
 

Halo Butyl Rubber Price Chart

Please Login or Subscribe to Access the Halo Butyl Rubber Price Chart Data
 

As a result, the Asian market saw a significant price drop. Additionally, the price of butadiene, which is a key raw material for butyl rubber production, moderated slightly, contributing to the overall downward price pressure. While the regulatory delay provided some relief, demand in the region remained weak, particularly from downstream industries like automotive and tire manufacturing.

Europe

The European market for halo butyl rubber observed prices oscillating within a narrow range. Europe’s market dynamics were influenced by steady but subdued demand, particularly from the automotive sector, which has been facing challenges of its own. Although natural rubber prices remained elevated, the price of synthetic rubber, which competes with butyl rubber, saw slight reductions. The EU’s delay in implementing its deforestation regulation provided some relief, easing market tension and stabilizing prices. As a result, European prices for butyl rubber saw only modest fluctuations.

North America

In North America, halo butyl rubber prices exhibited an oscillating trend in Q3’24, characterized by volatility amid mixed demand signals. On the one hand, logistical challenges and higher raw material costs such as for synthetic rubber and butadiene kept pricing elevated, while on the other, the demand from key industries, particularly the automotive and tire sectors, showed signs of weakening. The high cost of natural rubber, which is a major input in the tire industry, has exerted additional pressure on the cost structure for tire manufacturers, potentially impacting demand for butyl rubber. Consequently, prices fluctuated throughout the quarter, bouncing between slight increases and decreases.

Analyst Insight

According to Procurement Resource, the prices for Halo Butyl Rubber are expected to remain volatile across all regions. In Asia, the market is likely to see further price declines due to easing regulatory pressures and continued weak demand. Meanwhile, in North America and Europe, prices are expected to oscillate, influenced by fluctuating demand from the automotive and tire sectors, as well as ongoing supply chain challenges and raw material price movements.
 

Halo Butyl Rubber Price Trend for the Q2 of 2024

Asia

The expanding automotive sector and the rise in dominance of Asian countries around the world were reflected in the rise in the procurement rates of halo butyl rubber during the second quarter of 2024. The rise in investments in the EV sector and substantial gains in their sales figures extended ample support from the domestic demand sector. However, the challenges for the commodity arose from the limited overseas trading atmosphere and falling cost of production amid lowering feedstock prices.

The fall in export profit margins was a direct consequence of rising freight charges and container shipment prices, resulting in the adoption of a wait-and-see approach by the international players. Additionally, the softening of production costs, particularly after the holiday season in China and the surge in industrial activities, built up inventories in the later phase of the second quarter, projecting an overall negative influence on the market momentum.

Europe

The European trader adopted strict measures as the end-user demand for halo butyl rubber remained tepid in the second quarter of 2024. This measure included offering huge discounts on bulk purchases and limited influx of the commodity from Asian countries. The fall in importing volumes of the commodity was also a consequence of the rising cost of transportation and reduction in the profit margins.

However, the procurement rates from the tire and automotive sector extended positive support to the market, holding up the hopes of both manufacturers and traders throughout the second quarter. The market projections, however, became weak amid the ongoing economic turmoil in the region, escalated by the rising tensions in the Middle East and growing concerns about the diversion of traditional trade routes.

North America

The U.S. halo butyl rubber market experienced a decline in prices, reflecting sluggish market conditions. Although, in early April, prices saw a brief rise, reaching a peak due to changes in supply and demand dynamics. However, by mid-April, prices stabilized and subsequently decreased, driven by weak demand from key sectors such as automotive and tire manufacturing. This downward trend continued into May, with prices dropping further due to an oversupply situation and heightened market competitiveness.

Throughout April and early May, no significant new market forces emerged to alter the pricing landscape. Additionally, economic factors also played a crucial role in these price movements. Despite rising input costs and manufacturing input cost inflation reaching a one-year high, output prices increased at a slower rate, influencing the pricing dynamics of halo butyl rubber. Overall, the U.S. halo butyl rubber market showed a fall in prices, with a softening outlook for the coming months.

Analyst Insight

According to Procurement Resource, the price of Halo Butyl Rubber is expected to be driven by the growth of global automotive industries but is likely to be limited by weak cost support from the raw materials sector.
 

Halo Butyl Rubber Price Index for the Q1 of 2024

Stay updated with the latest Halo Butyl Rubber prices, historical data, and tailored regional analysis
 

Asia

In Q1 2024, the Halo Butyl Rubber (HBR) market across the Asian region exhibited stability despite shifting demand trends, particularly from the automotive and tire industries. These fluctuations, driven by economic changes and seasonal effects of events like the Chinese New Year holidays, created periodic variations in market activity. However, overall market prices remained steady throughout the quarter. Production levels were occasionally adjusted in response to lower demand during holiday periods, yet by the end of the quarter, effective inventory management and a recovering automotive sector helped balance supply and demand. As a result, the market was largely able to maintain equilibrium, demonstrating resilience in navigating supply chain and consumer demand fluctuations across the region.

Europe

The European Halo Butyl Rubber (HBR) market experienced notable shifts during Q1 2024, marked by an initial upward price trend driven by market pressures. The end of electric vehicle incentives in Germany led to a slowdown in new car registrations, contributing to price volatility. Prices peaked mid-quarter before adjusting downward by the end of March. Despite the challenges faced by the automotive sector, demand from the pharmaceutical industry provided some level of stability to the market. Suppliers effectively managed their inventories in response to the fluctuating demand, ultimately achieving price stability as the quarter concluded. This outcome reflects a cautious but balanced market, with players adapting to the evolving economic landscape while maintaining a steady supply.

North America

In Q1 2024, the Halo Butyl Rubber (HBR) market in North America experienced a series of price adjustments amid evolving demand and supply conditions. The quarter began with a brief price dip, followed by a recovery in mid-January, indicating market fluctuations. Despite positive growth in US car sales, broader economic pressures contributed to fluctuating HBR prices. Prices reached their peak in early February, influenced by price increases from exporting nations and robust automotive sales in Mexico. However, as the quarter advanced, prices gradually declined, largely due to reduced demand from the tire sector and sufficient inventory levels.

The automotive sector remained resilient, while the tire industry's slowdown created a complex pricing landscape. Suppliers adapted by destocking and adjusting purchasing strategies to align with changing demands in the automobile and construction sectors. By the end of the quarter, prices had stabilized, reflecting a market-seeking equilibrium amidst varying industrial activities and cautious supplier strategies, ultimately maintaining stability in March '24.

Analyst Insight

According to Procurement Resource, the future projections look optimistic for Halo Butyl Rubber prices; the automotive sector seems supportive going forward.
 

Halo Butyl Rubber Price Trend for the Second Half of 2023

Asia

During the latter part of 2023, the pricing trend of halo butyl rubber was predominantly influenced by heightened import activities and a decreased demand projection for halo butyl rubber. This contrasted with the global market's performance, which notably lagged behind the Asian market, particularly in China.

While there were signs of improvement in the market dynamics of Japan and Indonesia, the halo butyl rubber market in India remained sluggish. India experienced a notable decline, reaching a new nadir in the latest quarter, prompting dealers to reduce their halo butyl rubber prices. The pricing trajectory of halo butyl rubber exhibited fluctuations, exacerbated by the downturn in the tire industry.

Europe

During the third and fourth quarters of 2023, Germany witnessed a significant decline in the price of halo butyl rubber, largely attributed to unfavorable natural gas costs. Concurrently, the automotive industry grappled with a notable decrease in new car registrations, presenting additional challenges.

The final quarter of 2023 marked a 0.3% economic contraction in Germany, spurred by rising inflation across Europe. Similarly, the construction sector in Germany experienced continued decline throughout 2023 due to market unpredictability, elevated lending rates, and diminishing demand, all of which contributed to the overarching downward trajectory in halo butyl rubber pricing.

North America

In the second half of 2023, halo butyl rubber prices in the U.S. market experienced a decline following challenges encountered in the third and fourth quarters of the same year in global markets. This decline was primarily attributed to reduced prices set by major exporting nations in Asia and Europe.

Despite a robust trend in U.S. auto sales, economic apprehensions arose due to the sharp decrease in new orders from various downstream sectors, signaling issues with demand both domestically and internationally. Consequently, the continuous pace of automotive sales failed to bolster the price of halo butyl rubber.

Analyst Insight

According to Procurement Resource, the price trend of Halo butyl rubber is expected to decline, given the current market dynamics and the constricted budget of the consumers.
 

Halo Butyl Rubber Price Trend for the First Half of 2023

Asia

The first quarter of 2023 showed mixed trend in the price of halo butyl rubber. However, the second quarter proved to be much more fruitful, and as a result, the price trend of halo butyl rubber inclined gradually in this quarter.

The struggling market of automotive and the entry of Tesla in the China region negatively impacted the prices of halo butyl rubber in the first quarter. The second quarter, on the other hand, was supported by the rising demand for the product from the downstream industries and positive market sentiments in the pharmaceutical and automotive sectors.

Europe

The price trend of halo butyl rubber fluctuated throughout the first and second quarters of 2023. The first quarter was positively influenced by the growth of the automotive sector due to the increased availability of semiconductor chips.

But in the second quarter, the poor dynamics of the construction sector resulted in a decline in demand. The main influencing factors in this weak performance of the construction sector were the hike in interest rates, the low number of new orders, and the significant decrease in the cost of raw materials.

North America

The North American region showcased volatility in the price trend of halo butyl rubber in the first and second quarters of 2023. The region was affected by the slow recovery of the automotive and construction sector and falling prices of natural gas and crude oil.

The economic sector of the region also took a path down after the closing of two US banks that deeply affected the economy of the US. In addition, the falling feedstock prices also failed to provide the necessary support to the halo butyl rubber market, and as a result, the price trend of halo butyl rubber nosedived.

Analyst Insight

According to Procurement Resource, the price trend of Halo Butyl Rubber is estimated to showcase a mixed trend as the automotive and construction sectors are still in the recovery phase.

Procurement Resource provides latest prices of Halo Butyl Rubber. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.