Hamburg (Germany): Styrene Butadiene Rubber (SBR) prices in the European market have been gradually increasing, with minimal fluctuations observed in price trends within the region. These SBR price trends are closely tied to the production and sales of synthetic rubber, tires, and electronics in the domestic market. Additionally, prices of feedstock styrene and butadiene in the region have significantly influenced overall SBR price dynamics. As of the week ending June 21, 2024, SBR prices in the German market stood at USD 1800 per MT, FD Hamburg, reflecting a 1.1% increase.

Recently, a strike by port workers at Bremerhaven and the Port of Hamburg disrupted operations for several days due to a dispute between workers' unions and the Central Association of German Seaport Operators (ZDS) over collective wage bargaining negotiations. As these negotiations entered their third round, there is a possibility of further industrial action by port workers to push their demands, which could impact the SBR supply chain in the region. Rail freight companies have warned their customers to prepare for disruptions as they are still dealing with backlogs caused by these recent issues.

In May 2024, car registrations in the European Union decreased by 3%, with notable declines in three of the four largest markets: Italy, Germany, France, and Spain. However, Spain saw a slight increase of 3.4% in car registrations last month. Despite the overall market decline, the hybrid-electric segment showed growth, with registrations rising by 16.2% in May, simultaneously increasing SBR demand.

The consumer electronics sector is experiencing growth due to rising demand for health monitoring devices, driven by increased interest in fitness and health. The rapid expansion of this industry is attributed to growing popularity of fitness trackers, smartwatches, and more. Several factors are driving the European consumer electronics market, including rising demand for home entertainment, online retail, and environmental considerations.

Hubtrac Tires Europe’s sales department has revised its sales projections for the third quarter of 2024. During the recent Tire Cologne exhibition, Tyres & Accessories spoke with the company's executives, who attributed this revision to the strategic location of their premier production facility in Serbia and the recent significant increase in shipping costs from China and Southeast Asia to Europe.

The interplay of external and internal factors in the regional market has impacted SBR price dynamics. The European government's push to boost domestic automobile production is expected to drive SBR prices higher in the coming months, as expected by industry analysts of ChemAnalyst.