What is the rubber industry?
Rubber Industry is a wide collection of manufacturers of synthetic rubber compounds who derive oil rubber as well as the production of natural rubber. Since 2005, almost 21 million tons of rubber have been produced worldwide, and almost half of them were natural rubber. The 2011 forecasts estimated that the global rubber market with synthetic chloroprene, one of the most widely used material varieties, would increase to 445,300 metric tons by 2017. Chlorroprene rubber is used in various automotive and electrical parts, adhesives and others. It is also used in car tires and increased production capacity of Asian and Latin American manufacturers of this basic product supports its growth. The thermoplastic elastomer compounds (TPE) also grow on the dominance in the rubber industry and replace traditional synthetic chloroprene products due to lower production costs and a wider range of use. TPE is made of products for industries as diverse as construction, aviation and forestry. The demand in this rubber region since 2011 has been increasing at 3% per year and is expected to continue this level at least until 2017. Global consumption in the rubber industry is generally dominated by tire production, which uses almost 60% of all rubber every year.
The natural rubber industry relies on rubber trees that can live for about 32 years, with 25 years of useful rubber production. The highest profitable trees in the latex industry produce about £ 4,409 (2,000 kilograms) per year dry rubber for every 2.5 hectares (10,000 square meters) of rubber trees on the plantation. While synthetic prices are rising and falling directly in response to global oil prices, the latex rubber market is also indirectly influenced by oil trading.
Most latex rubber is produced in the nations of Thailand, Indonesia and Malaysia. Production in Vietnam has also sharply grew since 2006, although the market share in the synthetic market in GUThe meter industry slowly plays natural latex. The supply of natural rubber in the global market is more cyclical due to weather conditions, but the cloning of rubber trees has led to greater stability at the level of output over time.