Polybutadiene Rubber Price Trend and Forecast

Polybutadiene Rubber Regional Price Overview

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

Polybutadiene Rubber Price Trend for the Q3 of 2024

Asia

In the Asian market, the price trend of polybutadiene rubber (PBR) showed an upward trajectory, largely driven by rising feedstock costs, particularly butadiene. Throughout the quarter, the butadiene market saw significant supply constraints due to increased demand from downstream industries, including the tire sector, which is a major consumer of polybutadiene rubber. The strong demand for tires, especially in China, coupled with robust manufacturing activity, led to heightened consumption of polybutadiene rubber, contributing to upward pressure on prices.
 

Polybutadiene Rubber Price Chart

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Suppliers in Asia, particularly in Japan, South Korea, and China, faced challenges in maintaining optimal production levels due to the tight butadiene supply. Many producers responded by accumulating inventories in anticipation of further price increases, which exacerbated the supply-demand imbalance in the market. In Japan, the automotive sector's fluctuating performance, with a mix of lower sales volumes but steady profitability for major tire manufacturers, further complicated the polybutadiene rubber market.

Europe

In Europe, the polybutadiene rubber market during Q3 2024 was marked by volatility, driven by fluctuating demand in the automotive sector and rising feedstock prices. The region's leading markets, such as Germany, saw an initial uptick in polybutadiene rubber prices due to supply disruptions and rising costs of raw materials, including butadiene. The feedstock price increases were further compounded by supply chain bottlenecks and the cautious purchasing behavior of tire manufacturers, who were navigating through both increased demand in the aftermarket and high inventories of imported tires from Asia. Additionally, the European automotive industry had a mixed impact on the polybutadiene rubber market. While automobile sales showed some growth, the overall market experienced contraction during the second quarter, which extended into early Q3. Tire manufacturers, however, managed to maintain steady demand for polybutadiene rubber, driven by increased aftermarket activity, particularly in replacement tires.

North America

In North America, the polybutadiene rubber market exhibited a strong upward trend throughout Q3 2024. The primary factor driving this price increase was the sustained rise in butadiene prices, which continued to climb after experiencing a retracement in previous months. Suppliers in the region responded by building up inventories, anticipating further price increases and preparing for the strong demand from downstream sectors.

The U.S. market, in particular, benefitted from strong demand for polybutadiene rubber in both domestic and export markets. The accumulation of inventories by suppliers in response to rising raw material costs and the favorable demand outlook in the aftermarket further supported polybutadiene rubber prices. Additionally, improved operational efficiency and strong sales performance from major tire manufacturers helped stabilize the market, despite ongoing challenges in other sectors.

Analyst Insight

According to Procurement Resource, the price trend of Polybutadiene Rubber is estimated to turn northwards in the quarters ahead as the downstream industries are showing positive signs of revival all around the globe.
 

Polybutadiene Rubber Price Trend for the Q2 of 2024

Asia

The Asian market of polybutadiene rubber saw a sharp surge in its prices during the second quarter of 2024. Despite a slowdown in electric vehicle production due to delays in government subsidies, the market trend remained on the higher end of the spectrum as the other participants of the market extended ample support. The rise was primarily driven by strong downstream demand, particularly from the automotive sector.

The region also noted an increase in sales of high-value-added products, such as larger tires, and an active effort to expand OE supply to EVs. Additionally, in view of these improving market activities, the suppliers in Asia actively accumulated inventories to respond to the current market demand, further driving up polybutadiene rubber prices. The market participants also anticipated that the bullish trend in the Asian market is to persist due to strong demand and active inventory accumulation by market participants in the forthcoming months was well.

Europe

The European polybutadiene rubber market closely resonated with North America as the pricing pattern of the commodity oscillated, although in a narrow range. These fluctuations in the market were driven by only a modest increase in domestic and overseas inquiries of polybutadiene rubber due to the subdued dynamics of automotive industries. This was, in turn, influenced by the lack of momentum in the EV sector. Although the feedstock industries extended some support to the market patterns, it was yet insufficient to turn the market trajectory of polybutadiene rubber northwards.

North America

In the US market, polybutadiene rubber prices experienced a gradual fluctuation, evidently from the mid-phase of the second quarter. Initially, despite a rise in feedstock butadiene prices, the polybutadiene rubber market momentum was hindered by tepid purchasing activity and ongoing destocking trends. The continued destocking of inventories, coupled with subdued demand from the tire industries, kept the price fluctuating in a narrow range.

In order to cater to these market sentiments, several investors expanded their investments in its US tire manufacturing operations, aiming at boosting production capacity, which did not immediately translate into increased polybutadiene rubber demand but showcased its effect later in the quarter. Additionally, adverse foreign exchange fluctuations and a decline in sales volumes further impacted the market. The overall market sentiment in the US remained cautious throughout the second quarter of 2024.

Analyst Insight

According to Procurement Resource, the price of Polybutadiene Rubber is expected to be driven by amplification in the sales figures of downstream automotive industries and growing challenges in the global trading sectors.
 

Polybutadiene Rubber (PBR) Price Trend for the Q1 of 2024

Stay updated with the latest Polybutadiene Rubber (PBR) prices, historical data, and tailored regional analysis
 

Asia

In the Asian markets, the pricing outlook for polybutadiene rubber was largely optimistic for the most part. In China, the overall economic recovery in the post COVID phase has been happening rather slowly. Still, with the ongoing efforts, the downstream demands for polybutadiene rubber finally showed some increments during the said time. The manufacturing sector was being pushed, and thus, the tires, belts, automotive, and other industrial manufacturing companies presented good demands for polybutadiene rubber.

Seeing this margin the suppliers too raised the prices. Similarly, in the Indian market as well, an optimum price performance was witnessed for PBR during the said period. The inclinations in the raw material markets also helped in raising the prices here.

Europe

In the European market, the biggest market-driving factor for polybutadiene rubber was the upswing in crude oil prices. In the ongoing Russia-Ukraine war, Ukraine launched missiles at the key refining locations in Russia, thus implicating the overall output of the OPEC+ country. The Russian oil supplies immediately crumbled by around 7%. Iraq, too, announced a cut in its OPEC+ quota. This caused an upstir in the whole crude oil industry, including petrochemicals.

Thus, the polybutadiene rubber prices got inflated in the European markets. Some occasional demand dips were attributed to the shifts in downstream demands from the manufacturing sectors, but the high production and shipping costs kept the European polybutadiene rubber market anchored for the most part. Overall, a mixed market performance was seen during Q1’24.

North America

The American price trajectory for polybutadiene rubber was in close alliance with its Asian and European counterparts. The market was a little steady in the early days as the holiday season in the New Year kept industrial activities limited initially. However, as time went by the other trade hindrances with mounting shipping and logistic issues started dominating. A vessel transporting goods from Saudi Arabia to Bulgaria was struck by missiles, marking the third cargo attacked by Houthi rebels in Yemen. These events became more common and curtailed international trade, increasing suppliers’ dependency on the domestic markets.

Analyst Insight

According to Procurement Resource, the Polybutadiene Rubber price trends are going to remain inclined in the coming months; the projections look positive.
 

Polybutadiene Rubber Price Trend for the October - December of 2023

Asia

The primary factor influencing the price trend for polybutadiene rubber is the automotive industry. Due to increased demand and an improved supply of raw materials, this industry saw signs of improvement in the fourth quarter.

However, it was unable to sustain price trend for polybutadiene rubber as a sharp drop in raw material costs and heightened competition in Asian markets led to a number of challenges for polybutadiene rubber and, in turn, were the main cause of the polybutadiene rubber price depreciation. Additionally, there was a notable decrease in the cost of producing polybutadiene rubber as crude oil prices steeply fell and hindered the rise of the price graph for the material.

Europe

The sales figures were in favor of the polybutadiene rubber market, but despite that, the prices fell in European markets. The cause of this was attributed to the restricted supply of raw materials in the region. Thus, instead of raising the prices of polybutadiene rubber, the increased number of sales could only help in the stabilization of polybutadiene rubber price trend.

In addition to this, the European Central Bank maintained its previous interest rates, resulting in muted new orders from the construction sector. Further, the number of new building orders in Germany also saw a steady decline, especially for housing, which had already hit an all-time low in previous quarters. Thus, these difficulties in the region made the growth of polybutadiene rubber price trend nearly impossible.

North America

Despite strong sales in the larger automotive sector during the initial phase of the fourth quarter, polybutadiene rubber prices declined in the US market. The car manufacturers' demand gradually touched lower numbers in each consecutive month of the last quarter, which provided a suitable explanation for the abrupt rise in high stockpiles. The purchasing activities of the direct consumers were also constrained under the pressure of rising inflation and poor trading activities, which was enough for the polybutadiene rubber prices to face southwards.

Analyst Insight

According to Procurement Resource, the price trend of Polybutadiene Rubber are estimated to follow the complex interplay of diverse factors but will mainly be dependent on the demand dynamics downstream construction and automotive industries.
 

Polybutadiene Rubber Price Trend for the July - September of 2023

Asia

The automotive sector is the major driver of polybutadiene rubber price trend. This industry witnessed a surge due to the improved supply of semiconductors and the rise in its demand but failed to support the polybutadiene rubber price trend during the third quarter of 2023.

The key factor in the depreciation of the prices of polybutadiene rubber was a steep decline in the cost of raw materials and increased competition in the Asian markets. Further, the cost of production of polybutadiene rubber also saw a significant decline that hampered the growth of the polybutadiene rubber price graph.

Europe

The European countries followed a declining trajectory in terms of polybutadiene rubber prices. The market suffered from the ill effects of the consistently declining cost of raw materials and the downward trend adopted by its demand from the downstream industries. Despite improvement in the sales number of automotive industries, the polybutadiene rubber price graph found it hard to stabilize itself amid challenging economic conditions and the rising pressure of inflation.

North America

In North America, the first half of the third quarter enjoyed a surge in polybutadiene rubber price trend on account of increasing demand and the strong momentum of downstream industries. The automotive and vehicles sector had a major share in driving the demand for polybutadiene rubber towards an inclining trajectory. However, as the quarter progressed, the manufacturing activities slumped along with the number of new orders for polybutadiene rubber. Further, deceleration in the cost of raw materials reduced the cost of production, resulting in a decline in the prices of polybutadiene rubber.

Analyst Insight

According to Procurement Resource, the price trend of Polybutadiene Rubber are expected to bear a southward journey due to weak global sentiments of the polybutadiene rubber market.
 

Polybutadiene Rubber Price Trend for the First Half of 2023

Asia

In the Asia Pacific region, the price trend of polybutadiene rubber fluctuated in the first quarter of 2023 but inclined in the second quarter. The initial months of the first quarter were favorable for the prices of polybutadiene rubber, but soon, the trend declined due to the feeble market sentiments of the automotive sector.

However, the second quarter witnessed a gradually inclining trajectory for the price trend of polybutadiene rubber. The downstream sector increased its market momentum, and with significant growth in the pharmaceutical and automotive sectors, the prices of polybutadiene rubber surged.

Europe

In Europe, the price trend of polybutadiene rubber declined in the first and second quarters of 2023. The price sentiments suffered from the weak performance of tire industries, decreasing energy prices, and a notable decline in the production cost of polybutadiene rubber. The reduction in new orders in the latter months of the second quarter and slow exports of materials further pushed the prices of polybutadiene rubber into the negative zone despite the improvement in the performance of the automotive sector.

North America

The prices of polybutadiene rubber fluctuated in the North American region in the first and second quarters of 2023. The price trend was mostly affected by the decline in the production activities of the automotive sector. Also, the low demand from the construction sector reduced the number of new orders leading to the rise in inventory levels and thus aiding in the falling of polybutadiene rubber prices.

Analyst Insight

According to Procurement Resource, the price trend of Polybutadiene Rubber is estimated to showcase a fluctuation trend owing to the uncertainties in the demands from the downstream automotive sector across the regional markets.

Procurement Resource provides latest prices of Polybutadiene 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.