Quingdao rubber inventory down by 3%

rubbershipRUBBER inventories in China’s bonded warehouses dropped close to 3% in the past weeks as commercial banks refuse lending money to tyre makers forcing the latter to cut down imports and buy domestic stocks instead.

Rubber at Qingdao has also been offered at a discount to prices in Southeast Asia this year after stocks hiked above the usual level of 250,000 tonnes, indicating ample supply.

Dealers and analysts estimated stocks at Qingdao to be around 341,900 tonnes, down from 350,700 tonnes in mid-June and 371,100 tonnes in late April.

In 2012, China imported 2.18 million tonnes of NR, which is an increase of 3.64% year-on-year. It mainly buys rubber from Thailand, Indonesia, Malaysia and Vietnam.