Uncertainties impact world rubber supply, demand

Uncertainties impact world rubber supply, demand

The downward revision in the world supply outlook for 2020 is largely due to the scaling down of the outlook for Thailand and India, according to ANRPC. The outlook on the production of NR in Thailand has been scaled down by 332,000 tonnes to 4.478 million tonnes. The country’s revised outlook for 2020 represents a 7.7% decline from the previous year as against a 0.9% anticipated fall reported a month ago.

The harvesting and primary processing of rubber in Thailand are severely affected by acute shortage of labourers. The migrant labourers from neighbouring countries and those from other provinces within the country find it difficult to reach back and resume the various farm management activities including tapping and primary processing. Aggravating the situation, tropical storm ‘Noul’ damaged rubber plantations in several provinces of Thailand in the last week of September besides causing heavy rains, flash floods, and water run-offs.

In August, northern Thailand was hit by the tropical storm ‘Sinlaku’ causing flash floods in 18 northern provinces of the country. The loss in output arising from previous year’s incidence of a new fungal leaf disease is already factored in. Abnormal leaf fall resulting from fungal diseases usually impacts on the yield performance of the affected for two succeeding years.

In India, the production anticipated in 2020 has been scaled down by 42,000 tonnes to 668,000 tonnes, ANRPC study said. The revised outlook represents a 4.8% decline from the previous year as against a 1.1% anticipated increase reported a month ago. The country’s NR production sector is impacted by a burst in the number daily new cases of Covid-19 infections in the State of Kerala since the beginning of September and the abnormal leaf fall caused by the outbreak of Phytophthora leaf disease during July and August. It is reported that the incidence of abnormal leaf fall during this year is less severe compared to the previous year.

Demand fall

There has also been a fall in world consumption of NR by 11.7% y/y to 8.151 million tonnes during the first eight months of 2020 (Jan-Aug), as per preliminary estimates. Based on the revised estimates and forecasts, the world consumption outlook for the full year 2020 is marginally scaled up by 67,000 tonnes to 12.611 million tonnes by representing an 8.4% fall from the previous year. The outlook for 2020 as reported a month ago was 12.544 million tonnes by representing an 8.9% fall from the previous year.

China has marginally revised up its consumption outlook for 2020 in view of an observed earlier-than expected economic recovery and acceleration in growth. A survey conducted by Nikkei revealed that the growth has been more pronounced in the manufacturing sector. The Manufacturing Purchasing Managers’ Index (PMI) improved to 51.5 in September from 51.0 recorded in August and 51.3 anticipated for September, according to a survey conducted by the country’s National Bureau of Statistics and the China Federation of Logistics and Purchasing. The country’s automobile sector has made a major turnaround. The domestic retail sales of passenger vehicles, including minivans, SUVs and multipurpose vehicles, increased 7.4% y/y in September 2020, the third straight monthly gain. The domestic sales of passenger vehicles had increased 6.0% y/y in August 2020.

As per the revised outlook, China is anticipated to consume 5.055 million tonnes of NR during 2020, down 8.9% from the previous year. The country’s consumption outlook for 2020, as reported a month ago was 5.043 million tonnes, down 9.1% from the previous year.

India has scaled-up its consumption outlook for 2020 to 923,000 tonnes from 900,000 tonnes reported earlier in the year. Auto sales in India have made a U-turn. The domestic sales of passenger car increased 31.3% y/y in September 2020, the highest growth over the past 27 months. The trend reversal in passenger car is driven by preference for personal mobility during the pandemic, gradual opening up of markets, easing of supply-chains, labour availability, and excitement of new vehicle launches. The domestic sales of two-wheeler grew 12% y/y in September 2020, the highest growth over the past 21 months. Sales of tractor increased 16% y/y during the month, the highest growth over many years in the past.  The domestic sales of LVC (Light Commercial Vehicles) and M&HCV (Medium and Heavy Commercial Vehicles) declined by 3.0% each during the month, after double digit declines till August 2020.

Looking ahead, according to ANRPC, the world demand for NR will remain constrained by the uncertainties clouding the global economic recovery, acceleration in the number of new coronavirus cases, reintroduction of control measures and partial lockdowns across countries and a likely long delay in the mass availability of the vaccine. On the positive side, there are increased hopes of further fiscal aid in the US to keep its economy on track. The White House has reportedly raised its stimulus offer from the earlier proposed $1.0 trillion to $1.5 trillion, and further to $1.8 trillion, though that is still short of $2.2 trillion proposed by the Democrats.

Egypt Eyes $500m Tyre Manufacturing Complex with China’s ZC Rubber

Egypt Eyes $500m Tyre Manufacturing Complex with China’s ZC Rubber

Egypt has taken a step towards establishing a USD 500 million tyre manufacturing complex in the Sokhna Industrial Zone, according to Daily News Egypt, following the signing of a letter of intent between the Suez Canal Economic Zone (SCZONE) and China’s Zhongce Rubber Group.

Minister of Investment and Foreign Trade Mohamed Farid and SCZONE Chairperson Mostafa Sheikhoun witnessed the signing, which sets out a framework to study the project’s feasibility and assess its technical and investment requirements.

The proposed development would span about 600,000 sq metres and be implemented in three phases. Around 95 per cent of production, comprising passenger car and truck tyres, would be directed towards export markets.

Farid, as per the report, said the agreement marked “an important step towards exploring the establishment of an integrated industrial project in the tyre sector”, adding that it reflects efforts to attract foreign direct investment, expand production and boost exports.

He said Egypt’s geographical position, infrastructure and logistics capabilities support access to markets in Africa, the Middle East and Europe, strengthening its potential as a regional manufacturing hub.

Sheikhoun said the project aligns with SCZONE’s strategy to attract industrial investment and deepen local manufacturing, adding that the Sokhna Industrial Zone offers logistical advantages and access to global trade routes.

Shen Jinrong, Chairperson and General Manager of Zhongce Rubber Group, said the company plans to implement the project in three phases, with investments of about USD 500 million He added that around 95 percent of production would be exported as the group seeks to expand in regional and international markets.

Prinx Chengshan Showcases OTR Innovations And Passenger Tyre Lineup At CITEXPO 2026

Prinx Chengshan Showcases OTR Innovations And Passenger Tyre Lineup At CITEXPO 2026

Prinx Chengshan is showcasing its core brand portfolio at the 21st China International Tire and Wheel Expo (CITEXPO 2026), which commenced in Shanghai on 2 September. Having evolved over two decades, this annual gathering has solidified its status as a pivotal professional trade fair for the Asia-Pacific tyre and wheel sector. The company’s exhibition presence features its four principal labels: PRINX, Chengshan, Austone and Fortune.

A significant focus of Prinx Chengshan's recent corporate strategy has been the off-the-road tyre segment, where substantial industrial advancements have been achieved. The company has operationalised a green, intelligent manufacturing facility dedicated to OTR production, leading to the successful serial production of giant tyres in 27.00R49, 30.00R51 and 33.00R51 dimensions. The recent addition of a 57-inch model, which completed production in August, has expanded this product matrix and signifies a new developmental phase in speciality tyre engineering.

The company's technological prowess in the OTR field is demonstrated by specific products at the expo, including the ERD47 tyre for rigid dump trucks and the ET36 for wide-body dump trucks. These models serve as tangible evidence of the manufacturer's continuous research and development breakthroughs within this demanding sector.

In the passenger vehicle domain, Prinx Chengshan is presenting its newly launched Austone MEI series, which embodies the brand's philosophy of instilling driving confidence and aesthetic appeal. This series offers three distinct products: the Meizong all-terrain tyre, the Meijie ultra-high-performance tyre and the Meitu high-performance tyre. Also featured is the Prinx Chroma Sprite, which distinguishes itself with coloured sidewalls that challenge conventional tyre aesthetics while incorporating noise-reduction and anti-photo-oxidation technologies for enhanced durability.

Leveraging extensive commercial vehicle expertise, the company has developed proprietary technologies including GPT low rolling resistance, X-CHIP intelligent tyre and ETT wear-resistance for electric trucks. These innovations have established industry benchmarks in the replacement market and facilitated growth in original equipment segments. The Austone AAR608 for long-haul routes and the Fortune FDO307 for mining conditions are on display, showcasing the expanding scope of the company's industrial solutions.

Looking forward, Prinx Chengshan intends to persist with its integrated product and service approach, focusing on the varied requirements of global customers. By enhancing product quality, service delivery and brand equity, the company aims to contribute substantially to the sustainable progress of the worldwide transportation industry through its advanced manufacturing capabilities.

Triangle Tyre Named Inaugural Official Tyre Partner Of Brentford FC

Triangle Tyre Named Inaugural Official Tyre Partner Of Brentford FC

Triangle Tyre has been appointed as the inaugural Official Tyre Partner of Brentford Football Club following the signing of a new two-year exclusivity agreement in the tyre category. The contract was formalised in London by Brentford Commercial Director Fran James and Triangle Tyre’s Europe General Manager, Corrado Moglia.

The alliance unites two performance-focused entities that share a challenger philosophy, having each ascended in their fields through strategic intelligence and operational efficiency. Brentford’s renowned data-driven methodologies are complemented by Triangle Tyre’s dedication to engineering research and product advancement, creating a synergy between on-pitch analytics and industrial innovation.

As part of the arrangement, Stapleton’s Tyre Services, the largest UK distributor of passenger car tyres, has been designated as the Local Delivery Partner to facilitate the activation of commercial rights domestically. Brentford’s international visibility is expected to elevate Triangle Tyre’s global brand presence, while the club will also coordinate targeted promotional efforts within London and the broader United Kingdom.

Sustainability forms a core pillar of the collaboration, providing a platform to highlight Triangle Tyre’s environmental commitments and technological developments alongside community initiatives nationwide. The tyre manufacturer will benefit from matchday branding at the Gtech Community Stadium, player and ambassador content opportunities and exclusive hospitality access during home fixtures.

Fran Jones, Commercial Director, Brentford, said, "It's very exciting to welcome another challenger brand like Triangle to our partnership family. When you share that mindset, the understanding of what the partnership can achieve is clear from the start. Triangle's innovation and sustainable commitments really impressed us too, so I have full faith that this is the beginning of a strong, impactful relationship."

Corrado Moglia, General Manager – Europe, Triangle Tyre, said, “We are extremely pleased to begin this partnership with Brentford Football Club. Brentford is a club with a strong identity, an ambitious approach and a reputation for competing successfully through intelligence, organisation and determination. Triangle and Brentford share a challenger mindset and believe that data, technology and efficiency can deliver outstanding results. This partnership is an important step in strengthening Triangle’s brand visibility across Europe while providing a powerful global platform to communicate our innovation, sustainability and corporate responsibility.”

Andy Fern, Managing Director, Stapleton’s Tyre Services, said, “We are delighted to support this exciting partnership. As the UK’s largest tyre distribution business, we have worked with Triangle for many years to bring its passenger car tyres to market, and have seen first-hand the brand’s commitment to innovation, quality and sustainable development. Brentford’s progressive approach and strong community connection make them an excellent partner. We look forward to bringing the partnership to life and creating meaningful opportunities to engage our customers, and, ultimately, drivers across the country.”

Michelin Secures Exclusive FIA WEC Hypercar Tyre Supply Deal Through 2032

Michelin Secures Exclusive FIA WEC Hypercar Tyre Supply Deal Through 2032

Michelin has secured a landmark contract extension with the Fédération Internationale de l’Automobile (FIA) and the Automobile Club de l’Ouest, cementing its role as the exclusive tyre supplier for the Hypercar class in the FIA World Endurance Championship. The renewed agreement, which emerged from a formal tender process, will now remain in effect through the conclusion of the 2032 season, adding three additional years to the existing deal that was originally set to expire in 2029.

The French tyre manufacturer has maintained an uninterrupted presence in elite endurance racing since 1998 and was instrumental in the championship’s revival in 2012. Currently, Michelin supplies every competitor within the Hypercar field, a category that showcases premier global automotive brands. Within this highly competitive environment, tyre performance directly influences speed, strategic decision-making, safety protocols and overall ecological footprint.

Endurance racing continues to function as a critical testing ground for Michelin’s technological advancements, with extreme track conditions, varied weather and sustained high-speed loads driving rapid innovation. These rigorous demands facilitate the transfer of cutting-edge developments to everyday road tyres. Furthermore, the company has leveraged motorsport to advance sustainable mobility, as evidenced by the new 2026 MICHELIN Pilot Sport Endurance range, whose slick compounds now feature 50 percent renewable and recycled materials.

This extended partnership ensures Michelin will maintain its development platform alongside the FIA, the ACO and all Hypercar manufacturers. The collaboration underscores racing’s capacity to produce tangible, resource-conscious solutions that uphold performance standards while addressing environmental considerations across the entire tire lifecycle.

Matthieu Bonardel, Director, Michelin Motorsport, said, “We are particularly proud of the renewed confidence shown in Michelin by the Fédération Internationale de l’Automobile and the Automobile Club de l’Ouest. I would like to sincerely thank both organisations for the quality of our discussions throughout this tender process. This contract extension is a strong recognition of the quality of the tyres and services we provide, as well as our ability to continuously innovate. It is also excellent news for our teams and for all our manufacturer partners, with whom we share the same ambition: to push the boundaries of performance while accelerating the transition towards increasingly sustainable mobility.”