Months after first beginning their climb, natural rubber latex prices continue to hover near record levels set earlier this month closing at 742 sen/kg Thursday (Source: Malaysian Rubber Board). Despite improved production, supplies have been slow to reach the market in recent weeks as dealers hold stock in anticipation of higher prices.
Driving the higher prices:
- Weakened supplies due to lower winter season production
- Stronger than anticipated global economic recovery
- Increased demand from the Chinese automotive industry
- Rising crude oil prices
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