Worldwide Natural Rubber Market 2020- Strategy Resources, Manufacturers, Supply

Posted by monica on November 11th, 2020

Natural Rubber Market To Reach USD 33.87 Billion By 2027

• Demand for natural in automotive tire production is one of the significant factors influencing the market growth.

• Market Size – USD 28.65 billion in 2019

• Market Growth - CAGR of 2.1%

• Market Trends – Growing demand for natural rubber in emerging economies

Global natural rubber market is expected to reach USD 33.87 Billion by 2027, according to a new report by Reports and Data. The growth of the market is attributed to the growing demand for natural rubber from end-use applications.

Increasing demand for natural rubber in tire production is one of the significant factors influencing the market growth. The benefits of natural rubber comprises abrasion resistance and adhesion to metals, thereby making it suitable in making of seals, gaskets, and other products. Also, certain features of natural rubber, which gives it an advantage over synthetic rubber, comprise vibration dampening and tear resistance, making natural rubber irreplaceable in end-uses like tires for large construction vehicles and airplane tires. Moreover, the advancement in production technology has transformed the automobile industry, which is expected to experience increased sales in the upcoming years, thus creating an increase in the demand for tires, and in turn, would drive the growth of the market.

Growing demand for natural rubber from the footwear industry is fuelling the market demand. The footwear industry using a wide variety of materials that are used to make footwear ranging from casual footwear to technical products, including protective and safety footwear. Natural rubber possesses several physical characteristics appropriate for producing shoe sole; specifically, abrasion resistance, durability, slip resistance, oil resistance, tensile resistance, tear strength resistance, and the capacity to be molded in different shades.

Further key findings from the report suggest

• Ribbed Smoked Sheets (RSS) are coagulated rubber sheets processed from fresh field latex sourced from well-managed rubber plantations adopting modern processing methods. Domestically produced RSS rubber grades are in good demand for tires and other product manufacture, indicating their quality and market acceptability.

• By distribution channel, the online distribution channel is projected to grow at a faster rate of 4.5% in the period 2020-2027, as this mode of distribution has the advantage of providing a broader exposure to the product produced by the manufacturers, especially with the proliferation of smart devices and internet connectivity.

• By application, footwear held a substantial market size in 2019 and is likely to grow at a rate of 2.4% in the forecast period

• The market in the Asia Pacific region dominated the market in 2019 and is projected to grow at a rate of 2.9% in the forecast period. The market dominance of the APAC region is attributed to the rapid urbanization, rise in the level of disposable income, and growth of the end-use industries, particularly the automotive and footwear industry.

• Key participants include Bridgestone, Michelin, Sinochem Group, Sri Trang Agro-Industry, Von Bundit, Halcyon Agri, Southland Rubber, Thaitex, Apcotex Industries Ltd., and Firestone Natural Rubber Company, among others.