SINGAPORE—The global demand for natural and synthetic rubbers is set to grow by over 2 percent year-on-year in 2023, according to a recent report by the International Rubber Study Group.
The growth will follow a marginal contraction in demand in 2022 to 29.82 million metric tons for the overall consumption of both natural and synthetic rubbers, said IRSG in its latest issue of World Rubber Industry Outlook (WRIO).
"With the ease of supply chain issues and supply chain restructuring, global rubber demand is forecast to recover modestly to 2.2 percent in 2023," according to the report.
The global NR demand increased by 1.7 percent in 2022, reaching 14.31 million tons. Driven by the tire sector growth in China, Asia Pacific and Americas, the report predicted that demand for NR will increase 1.7 percent during this year, too.
Risk factors, however, will include the uncertain economic environment and the rising inflation and fuel prices that have led to a drop in passenger car tire production and rubber demand.
According to IRSG, SR consumption declined by 1.6 percent in 2022, primarily driven by a reduction in rubber usage in the tire sector. For this year, however, the organization expects SR consumption to increase by 2.6 percent year-on-year.