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.

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Yokohama Rubber reported record sales and profit for fiscal 2025, marking a fifth consecutive year of growth, as higher tyre volumes and a stronger product mix offset one-off costs linked to an acquisition.

Sales revenue rose 12.8 percent year on year to USD 8.2 billion. Business profit increased 24.0 percent to USD 1.11 billion, while operating profit advanced 28.3 percent to USD 1.02 billion. Profit attributable to owners of parent climbed 40.7 percent to USD 0.70 billion. The business profit margin reached a record 13.5 percent.

The company said the increase in consolidated business profit reflected strong performance in existing operations, which absorbed one-time costs related to the acquisition and consolidation of Goodyear’s OTR business. In tyres, profit rose on higher unit sales of consumer tyres and continued growth in high-value-added ADVAN, GEOLANDAR and winter tyres, alongside larger-diameter products. In the MB segment, cost reductions and structural reforms supported profitability.

For fiscal 2026, management targets sales revenue of USD 8.7 billion, business profit of USD 1.25 billion, operating profit of USD 1.15 billion and profit attributable to owners of parent of USD 0.60 billion, aiming for a sixth consecutive year of sales and profit growth.

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Hankook Tire played its role as the exclusive tyre supplier to the ABB FIA Formula E World Championship to perfection at the series’ recent visit to Saudi Arabia for a double-header event under the floodlights at the Jeddah Corniche Circuit. The company’s Hankook iON Race tyre was put to the test across two nights of intense racing, where driver precision and tyre durability were critical factors. In the first of the two rounds, Pascal Wehrlein of the Porsche Formula E Team claimed victory by combining consistent speed with clever positioning on the fast and challenging street circuit. The following evening, António Félix Da Costa of Jaguar TCS Racing took the win in a race that demanded careful attention to both energy consumption and tyre preservation until the very end.

The Jeddah circuit, measuring just over three kilometres and featuring 19 turns, is designed to complement Formula E’s unique braking and energy recovery systems. It offers a mix of long straights and demanding technical sections that place significant stress on tyres. Throughout both races, the Hankook iON Race tyre demonstrated its ability to maintain strong grip under heavy loads while managing heat effectively and supporting low rolling resistance. These characteristics are vital in a championship where tyre behaviour directly influences energy strategy and overall race outcomes.

In the days following the races, Formula E hosted its EVO Sessions 2 programme, inviting a group of international digital creators to experience the GEN3 Evo race car on the same circuit. The initiative, which first launched after last year’s Miami E-Prix, has generated substantial online engagement and provided additional visibility for Hankook’s tyre technology. Participants including Khaby Lame and Behzinga took part in driving sessions, while others assumed team principal roles for the event. The Hankook iON Race once again proved its capability by delivering strong traction and stability during these high-speed demonstrations.

Looking ahead, the championship will resume in Madrid on 21 March 2026 with a race at the Circuito de Madrid Jarama. This more compact and technically demanding permanent track will present a fresh challenge, with Hankook’s iON Race tyre continuing to serve as the foundation for competitive and sustainable racing.

Manfred Sandbichler, Senior Director, Hankook Motorsport, said, “Jeddah under the lights produced two demanding races with their own strategic patterns. Across both rounds, the iON Race demonstrated stable and consistent performance in conditions where track behaviour and tyre temperatures evolved through each session. Such tyre predictability is essential in helping teams execute their strategies on such a fast and technically complex circuit, and the data gathered here will feed directly into our ongoing iON development programme.”

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Two tyre service businesses with strong regional recognition in central Sweden and the Stockholm area, Västerås Däck and Arlandastad Däck, have been acquired by Citira, a Sweden-based company specialising in circular tyre management. These additions represent a significant step in Citira’s strategy to broaden its service network within the country.

Established in 2008 by Jalle Eriksson, Västerås Däck built a solid reputation for servicing both passenger cars and heavy vehicles, cultivating a dedicated customer base. This success led to the creation of Arlandastad Däck in 2020. The strategic placement of both facilities along the E4 and E18 corridors, combined with dedicated leadership and strong operational standards, positioned them for integration as vital service hubs within the expanding Citira network.

Daily operations at both locations will remain unchanged, with the existing staff continuing in their roles. The current management will stay on to run the businesses, now with access to Citira’s broader resources to foster future growth. As part of the agreement, Eriksson will transition into a co-ownership role within Citira, ensuring continuity and a shared vision for the businesses moving forward.

David Boman, CEO, Citira, said, “It is our privilege to welcome Jalle, Fredrik and Sofie to Citira, we look forward to working with them. The Eriksson family has made great achievements with both tyre shops and we are confident that adding these two service points will improve Citira’s service offering in both regions. We see great value in the experience that the Eriksson family brings and in the potential to operate these tyre shops alongside our current tyre shops in Västerås and Märsta.”

Eriksson said, “We are very impressed with what Citira has achieved so far. Their extensive network of tyre shops, broad service offering and industry experience will ensure that our service standards remain high going forward while enabling us to focus fully on serving our customers and exploring growth opportunities. We look forward to this partnership.”

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Dr Suttipong Angthong, Secretary-General of the Association of Natural Rubber Producing Countries (ANRPC), visited the Malaysian Rubber Glove Manufacturers Association (MARGMA) in Kuala Lumpur on 13 February 2026. The meeting brought together the ANRPC representative with MARGMA's Executive Director, Linda Tey and Dr Amir Hashim Md Yatim to discuss potential avenues for collaboration between their two organisations.

The dialogue was focused on strengthening ties across the natural rubber and glove value chain. Key topics included enhancing downstream value addition, promoting sustainable practices and navigating the challenges presented by evolving global market dynamics. The conversation underscored a shared interest in a closer partnership to build greater industry resilience.

Both parties expressed a firm commitment to working together to foster sustainable growth and to reinforce Malaysia's significant role within the global rubber ecosystem. The discussions highlighted a mutual dedication to forging a more integrated and competitive future for the natural rubber and products sector.

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