China is expected to consume 1.38 mn tonnes in Q3, nearly matching the 1.39 mn tonnes consumed in Q3 last yearKochi, September 24
The Association of Natural Rubber Producing Countries (ANRPC) foresees a marked recovery in global rubber consumption in the third quarter, thanks to the active presence of China in the natural rubber (NR) market.
Chinese manufacturing companies are expected to increase their sourcing in view of the rebound in economic activities, particularly in the automobile sector. China is anticipated to consume 1.38 million tonnes, which nearly matches the quantity of 1.39 million tonnes consumed during the same quarter of the previous year, ANRPC said in its latest report. The volume of import from China is anticipated to increase 6.2 per cent during the third quarter. Chinese imports had fallen 8.1 per cent in the first half (January-June).
The US economy is continuously showing signs of faster-than-expected recovery. The massive stimulus measures in the offing can give a further boost to the US economy. The global economic growth can also gain from the easing of a diplomatic rift between the US and China and the new initiatives from both sides to resume talks.
Quoting the views of economists, the report added that the global economic recovery would be earlier-than-expected, subject to the successful development of an effective vaccine against Covid-19.
However, it said that the shortage of labour, including of skilled tappers, is likely to have a negative bearing on rubber production, at least in the short term due to restrictions on the return of migrant workers from their home-towns.
However, it said that the shortage of labour, including of skilled tappers, is likely to have a negative bearing on rubber production, at least in the short term due to restrictions on the return of migrant workers from their home-towns.
