Mid-March Sees Modest EPDM Rubber Price Increases in Asia, Amid Supply Constraints and Optimistic Demand Outlook
- 19-Mar-2025 6:30 PM
- Journalist: Harold Finch
The price of the EPDM Rubber in the asian market witnessed a modest rise as of mid week of March. This rise in the EPDM Rubber price is majorly attributed to the depleting inventories levels among the market participants coupled with positive demand from the downstream market, increase in the feedstock price and weakness in the exchange rates have marked as the contributing factor in influencing the EPDM Rubber pricing dynamics in the asian market.
In Japan, the price of EPDM Rubber has witnessed a modest rise, driven by supply-side constraints and cost pressures. While propylene availability has remained balanced, prolonged buildup activities have tightened ethylene supply, raising production costs. Although port operations remain smooth, export volumes to India and China have declined due to weaker demand, shifting more supply to the domestic market. Additionally, currency fluctuations have increased import costs for raw materials, adding upward pressure on the EPDM Rubber pricing. Despite challenges in the construction sector, steady demand from the automobile industry has supported consumption, contributing to the overall price increase of the EPDM Rubber in the respective period.
According to latest data given by Japan's trade statistics, export dynamics have shifted, as EPDM Rubber shipments to India decreased by 17.2%, totaling 958.020 MT in January 2025. Exports to China also saw a dip of 29.4%, reaching 862.562 MT.
In the Chinese market the price of the EPDM Rubber witnessed a modest rise as of mid-week of March. This rise in the EPDM Rubber price is majorly linked with the increase in the sourcing price from the key exporters in the asian market majorly Japan and South Korea. From the downstream market the Automobile sector witnessed a mixed performance with m-o-m decrease in sales and y-o-y increase which marked and the construction sector continued to face challenges. However the outlook from the Automobile and the Manufacturing sectors remains optimistic due to which the market participants are engaged in the accumulation of the inventories on a needy basis.
As per the ChemAnalyst anticipation the price of the EPDM Rubber is expected to showcase bullishness in the upcoming sessions. This anticipation of rise in the EPDM Rubber price is majorly linked with the projection of rise in the feedstock price due to ongoing prolonge buildup activities. The overseas market demand from the Chinese market is also expected to showcase some sign of positivity which is expected to stimulate the EPDM Rubber consumption combinedly in the asian market.