1. Global rubber prices are showing an upward trend again.

In recent years, rubber prices in the international market have shown signs of recovery, particularly after a period of significant volatility in the global supply chain.

According to a report by the Association of Natural Rubber Producing Countries (ANRPC), the natural rubber market continues to face an imbalance between supply and demand. Global rubber production in 2025 is estimated to reach around 14.9 million tons, while consumption demand is expected to reach 15.6 million tons.

This gap has led to a raw material shortage in the market for several consecutive years and has become one of the key factors driving rubber prices upward globally.

In addition, industry organizations forecast that the supply shortage may continue until 2028, with an estimated deficit of around 600,000 to 800,000 tons per year.

2. Rising oil prices are a major driver pushing rubber prices upward.

One of the key factors influencing global rubber prices is the fluctuation of crude oil prices.

In the industrial raw materials market, rubber is generally divided into two main types: natural rubber and synthetic rubber. Synthetic rubber is produced from petrochemical products. When oil prices rise, the cost of producing synthetic rubber also increases, prompting many companies to shift toward using natural rubber.

As a result, demand for natural rubber increases, which in turn contributes to higher prices for this commodity. Recent market reports indicate that rubber prices have experienced notable increases amid rising global oil prices and concerns over raw material supply.

3. Geopolitical Factors Increase Market Volatility

In addition to oil prices, geopolitical factors also play an important role in shaping rubber price trends. Trade tensions, regional conflicts, or disruptions in global supply chains can directly affect the transportation and trade of raw materials.

When geopolitical risks emerge, many companies tend to increase their raw material stockpiles to secure supply for production. This can lead to a short-term rise in rubber demand and potentially push market prices higher.

Furthermore, major rubber-producing countries such as Thailand, Indonesia, Malaysia, and Vietnam are all located in Southeast Asia. Therefore, any changes in weather conditions, trade policies, or economic environments in this region can significantly affect the global rubber supply.

4. Global Rubber Demand Continues to Rise

Global demand for rubber continues to be driven mainly by the tyre manufacturing and automotive industries, which are the largest consumers of rubber worldwide. China is currently the largest consumer of rubber, particularly in the production of tyres and industrial rubber products.

According to a report by the Association of Natural Rubber Producing Countries (ANRPC), global rubber demand is currently estimated at around 15.6 million tons, while production reaches only about 14.9 million tons. This gap between supply and demand has led to a continuous supply shortage for several years and has contributed to supporting rubber prices in the international market (VietnamBiz, 2025). 

Some forecasts also indicate that the global rubber shortage may persist in the coming years, potentially reaching 600,000 to 800,000 tons per year (Hiệp hội Cao su Việt Nam).

5. Outlook for the Rubber Market in the Coming Years

Amid ongoing fluctuations in energy prices and an unstable global supply chain, the rubber market is expected to continue being influenced by macroeconomic factors such as oil prices, geopolitical developments, and industrial demand. However, with the recovery of the manufacturing sector and stable demand from industries such as automotive and tyre production, many experts believe that rubber prices may maintain a positive trend in the medium and long term.

As a result, developments in the rubber market have become a topic of growing interest within the rubber and tyre business community. Industry exhibitions such as Rubber & Tyre Vietnam 2026 play an important role in connecting businesses, updating market trends, and showcasing new technologies in rubber materials and tyre manufacturing.

Through exhibition displays, industry seminars, and business networking activities, these events provide opportunities for companies across the rubber and tyre supply chain to exchange market insights and find potential partners. At the same time, they serve as a platform for businesses to explore new solutions to adapt to the fluctuations of the global raw material market.

 

References:

Association of Natural Rubber Producing Countries (ANRPC).
https://www.anrpc.org/news/global-rubber-production-faces-continued-challenges-in-2025

Vietnam.vn – Global rubber market projected supply deficit 2025.
https://www.vietnam.vn/en/thi-truong-cao-su-toan-cau-nam-2025-du-bao-thieu-hut-700-000-tan

VNBIS – Vietnam rubber exports and global demand.
https://vnbis.com/news/vietnams-rubber-exports-reached-usd-198-billion-in-the-first-eight-months-of-2025-279/