Nitrile Rubber Price Trend and Forecast

Regional Price Overview

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

Nitrile Rubber Price Trend for the Second Half of 2023

Asia

The Asian nitrile rubber prices kept on the lower end of the pricing spectra during the H2 of 2023. The cause of concern for the traders came from the limited cost support from the overseas and domestic downstream industries.

Nitrile Rubber Price Chart

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The lagging Chinese economy and the declining cost of feedstock materials also projected dim sentiments of the nitrile rubber market, resulting in an acute decline of Chinese nitrile rubber spot prices from approximately 2055 USD/MT at the beginning of H2 to 2035 USD/MT in December’23.

Europe

The bearish tone of the nitrile rubber price trend during the third and fourth quarters of 2023 in the European countries was based on the decline in the new projects of the automotive and construction sectors. Additionally, lowering of the operation costs due to a fall in the prices of feedstock materials and the slow recovery of the European economy from the avalanches of COVID-19, the Russia-Ukraine conflict, and the ongoing Israel-Hamas war eventually prevented any uptick in the movement of the nitrile rubber price trend.

North America

In North America, given the weak dynamics of the downstream automotive and rubber industries, the traders opted for destocking activities during the third quarter. They did so in anticipation of stabilizing the pricing trajectory of nitrile rubber, but the low number of inquiries from the domestic and international industries and the excessive influx of overseas produce, along with the decline in the cost of crude oil, resulted in the downfall of nitrile rubber prices.

Analyst Insight

According to Procurement Resource, the price trend of Nitrile Rubber is expected to keep on declining as the outlook of the downstream industries does not seem favorable for the nitrile rubber market.

Nitrile Rubber Price Trend for the First Half of 2023

Asia

The first two quarters of 2023 witnessed an uneven trend in the prices of nitrile rubber due to various reasons. In the first quarter, the initial months enjoyed the support of the upstream industries and high demand for nitrile rubber as, however, the automotive sector still struggled to find its pace. But in the second half of this quarter, the declining cost of freight, consistent supply, and weak demand played their part in pushing the price trend of nitrile rubber in the negative direction.

A similar trend was observed in the second quarter, too, as the trend inclined first and then took a dive. Initially, the surge in automotive sales supported the prices, but the weak economy and overall slowdown of the Asian market led to the southward movement of the nitrile rubber prices, which was indicated in figures also as the spot prices in China declined by almost 11% from Jan’23 to Jun’23.

Europe

The pattern of volatility observed in the Asia-Pacific markets of nitrile rubber was also seen in the European countries. In the first and second quarters of 2023, strict monetary policies, plunging economic conditions, and rising inflation challenged the price trend of nitrile rubber in the initial months. In addition to this, as the quarter progressed, the pressure of inflation increased gradually, and the rate of consumption, rising inventory levels, and low freight charges escalated the challenges.

North America

The first quarter proved to be fruitful for the price trend of nitrile rubber as the prices inclined with the rising demand from the downstream automotive sector and export rates. During the first quarter, the economy of the region was able to support this growth in prices, but in the second quarter, the weak performance of the economy made the incline in nitrile rubber difficult. This condition led to the rise in inflation and interest rates charged by banks, hampering the overall sentiments of the nitrile rubber market.

Analyst Insight

According to Procurement Resource, the price trend of Nitrile Rubber is expected to follow an uneven trend as the performance of the automotive sector and other related industries is dependent on the condition of the global economy.

Procurement Resource provides latest prices of Nitrile 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.