The Import-Export Department (Ministry of Industry and Trade) cited statistics from the General Department of Customs, saying that in July 2023, Vietnam exported 219.63 thousand tons of rubber, worth 286.79 million USD, up 22.6% in volume and 20.6% in value compared to June 2023; compared to July 2022, it increased by 11.7% in volume but decreased by 10.2% in value. In July 2023, Vietnam's rubber exports reached the highest level since the beginning of 2023.

In July 2023, rubber exports reached the highest level since the beginning of 2023 until now.

In the first 7 months of 2023, rubber exports reached 986.49 thousand tons, worth 1.33 billion USD, up 0.3% in volume, but down 20.5% in value compared to the same period in 2022 due to continuous decline in rubber prices.

In July 2023, the average export price of rubber reached 1,306 USD/ton, down 1.6% compared to June 2023 and down 19.6% compared to July 2022.

Average rubber export price of Vietnam over months in the period 2021 - 2023 (Unit: USD/ton)

In July 2023, China remained Vietnam's largest rubber export market, accounting for 79.82% of the country's total rubber exports, reaching 175.3 thousand tons, worth 226.26 million USD, up 27.6% in volume and 26.4% in value compared to June 2023. Compared to July 2022, it increased by 25% in volume and 2.7% in value, making this the 6th consecutive month that rubber exports to China increased compared to the same period last year.

The average export price of rubber to the Chinese market was 1,291 USD/ton, down 0.9% compared to June 2023 and down 17.9% compared to July 2022. In the first 7 months of 2023, Vietnam exported 757.6 thousand tons of rubber to China, worth over 1 billion USD, up 12% in volume but down 10.1% in value compared to the same period in 2022.

China's gradually recovering demand for rubber is expected to be a supporting factor for Vietnam's rubber exports in the coming months.

In the first 7 months of 2023, rubber exports to most markets decreased compared to the same period last year, especially large markets such as: India, the United States, Germany, Taiwan, Indonesia, Türkiye...

However, rubber exports to key markets still grew well in volume compared to the same period in 2022 such as: China, Korea, Russia, the Netherlands...

Vietnam's 10 largest rubber export markets in July 2023

In the world market, from the beginning of August 2023 until now, rubber prices on key Asian exchanges have tended to decrease due to China's economic difficulties and the country's car sales decline.

China's passenger vehicle sales fell for a second consecutive month in July 2023, reaching 1.79 million units, down 2.6% year-on-year, according to the China Passenger Car Association (CPCA). In recent weeks, the Chinese government has rolled out a series of policies to support the economy as the country's post-pandemic recovery falters.

In the domestic market, from the beginning of August 2023 to now, the purchasing price in raw material areas has fluctuated from 240-280 VND/TSC. Specifically, the price of latex in Dak Lak province fluctuated from 240-245 VND/TSC; the price of latex in Binh Phuoc province was recorded from 245-280 VND/TSC; the price of latex in Dak Nong and Phu Yen fluctuated at 265-266 VND/TSC.

The purchase price of latex at rubber companies in early August 2023 was around VND264-270/TSC. Of which, Phu Rieng Rubber Company purchased at VND250-270/TSC; Phuoc Hoa Rubber Company purchased at VND265-267/TSC, an increase of VND3/TSC compared to the end of last month; Dong Phu Rubber Company kept the purchase price at VND270/TSC; Binh Long Rubber Company purchased at VND259-269/TSC.

Recently, the President of the Lao Rubber Association and the President of the Vietnam Rubber Association signed a memorandum of understanding (MOU) to help the rubber industry of both countries develop and achieve sustainable goals.

According to the MOU, the two rubber associations will share lessons learned from development experiences; support Vietnamese rubber companies operating in Laos to produce rubber on a sustainable basis, aiming to achieve sustainability certification, and enhance cooperation in agreed areas for mutual benefit.

The two sides also agreed that the Lao Rubber Association needs to increase support and attract more companies to process rubber latex according to standards, in order to meet export requirements for Vietnam and other countries.