Rubber is one of the export items that brings high value to Vietnam. For now, the Vietnamese rubber industry ranks fifth in area and third in natural rubber production in the world.
In October 2024, Vietnam’s rubber exports reached 224.95 thousand tons, worth 429.01 million USD. Compared to October 2023, the volume increased by 3% and the value increased by 46%. This is the second consecutive month that rubber exports have increased compared to the same period last year. The average export price of rubber reached 1,907 USD/ton, up 41.7% against October 2023.
In the first 10 months of 2024, rubber exports reached 1.54 million tons, worth over 2.52 billion USD. This is a decrease of 4.9% in volume but an increase of 16.4% in value compared to the same period in 2023. The average export price of rubber reached 1,638 USD/ton, up 22.4% compared to last year.
China is the largest rubber export partner of Vietnam.
China remains the largest rubber export market for Vietnam in the past 10 months, accounting for 78.7% of the country’s total rubber exports. The export volume to this market reached 1.06 million tons, worth 1.7 billion USD. This was a decrease of 16.8% in volume but an increase of 1.5% in value compared to the same period in 2023.
While rubber exports to China, South Korea, the Netherlands, and Argentina decreased compared to the same period in 2023, there was an increase in exports in many other markets such as India, the US, Germany, Taiwan, and others. Among them, Malaysia is the most outstanding.
Specifically, in October, Vietnam exported 7,260 tons of rubber to Malaysia, worth 11.47 million USD. This was an increase of 22.2% in volume and 47.8% in value against September 2024. Compared to October 2023, volume and value increased 861% and 1,240%, respectively. This is the month with the highest production and turnover since the beginning of the year.
Malaysia has spent 35.17 million USD to import 24.8 thousand tons of rubber from Vietnam in 10 months. It was an increase of 349% in volume and 405% in value compared to the same period in 2023. This has helped Malaysia rank second in volume and third in value among the importing markets of Vietnamese rubber.
According to the Vietnam Rubber Association (VRA), Vietnam currently has an area of about 930,000 hectares of rubber with a latex production of 1.3 million tons per year. Although Vietnam’s rubber export volume has significantly decreased this year, the export turnover has still increased due to high export prices. With these results, the export turnover of rubber in 2024 is forecast to reach 3-3.5 billion USD, an increase of 200-400 million USD compared to 2023.
Since early November 2024, rubber prices on Asian exchanges have risen slightly compared to the end of the last month. Optimistic economic prospects in China and the anticipated tariffs from the newly elected U.S. administration have pushed the prices to go up.
However, the increase in rubber prices is somewhat limited due to the impact of the EU imposing tariffs on Chinese electric vehicles. The EU’s move comes after the US and Canada imposed a 100% tax on Chinese electric vehicle models. This could affect the sales and production activities of China’s automobile industry, including the use of tires made from rubber. China is currently the largest rubber export partner of Vietnam, so any fluctuations in this market significantly impact Vietnam’s rubber industry.