Vietnam rubber exports hit $1.7B in 8 months
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Vietnam exported 1.12 million tons of rubber worth US$1.76 billion in the first eight months of 2024, customs data show.
This marked a 7.2% year-on-year decline in volume but a 8.4% growth in value from the same period last year, according to the General Department of Customs.
Vietnam shipped out 209,726 tons of rubber worth nearly $345 million in August alone, up 12.7% in volume and 12% in value from the previous month.
The average export price was $1,637 per ton, a 1.1% month-on-month decrease but up 26.8% from a year ago.
Rubber exports are forecast to reach $3-3.5 billion this year, a $200-400 million increase from 2023.
The country currently has a latex output of 1.3 million tons per year from 910,000 hectares of rubber plantations, according to the Vietnam Rubber Association.
Every year, more than 300,000 tons of rubber are used in processing and manufacturing, leaving a large amount of raw material for export. This has opened up considerable export potential for the local industry, especially in the context of potential global supply shortages in the 2024 – 2025 period.
Questions & Answers
Q.Why has the value of rubber exports increased despite a fall in volume?
Why has the value of rubber exports increased despite a fall in volume?
The average export price for rubber has risen significantly compared to last year. It was up 26.8% from a year ago, reaching $1,637 per ton in August.
Q.What is the forecast for Vietnam's total rubber export value for this year?
What is the forecast for Vietnam's total rubber export value for this year?
Rubber exports are predicted to reach between $3 billion and $3.5 billion for the entire year. This represents an increase of $200-400 million compared to 2023.
Q.How much rubber does Vietnam produce domestically and how much is available for export?
How much rubber does Vietnam produce domestically and how much is available for export?
Vietnam produces 1.3 million tons of latex annually from its plantations. Over 300,000 tons are used domestically, leaving a significant amount of raw material available for export.
Q.What are the export prospects for the Vietnamese rubber industry in the near future?
What are the export prospects for the Vietnamese rubber industry in the near future?
The industry has considerable export potential, especially with anticipated global supply shortages between 2024 and 2025. This situation could further boost demand for Vietnamese rubber.
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