Rubber futures register ‘sharp falls’ on potential EUDR delay

Tokyo – Natural rubber (NR) futures witnessed sharp week-on-week declines as the market reacted to a potential delay in the implementation of the European Deforestation Regulation (EUDR). (ERJ report)

During the trading week ending 11 Oct, all major Far East exchanges fell sharply, triggered by the potential 12-month delay, which prompted “long liquidations and speculative selling."

In Osaka, Japan, OSE’s March-2025 rubber contract closed 3.4% lower compared to the week before, driven by strong overseas selling and weaker SHFE rubber futures prices, reported Japan Exchange Group (JPX) 14 Oct.

On China's SHFE and INE exchanges, meanwhile, NR futures prices respectively dropped 6.2% and 6.0% week-on-week, amid active trading.

Singapore’s SICOM active January-2025 contract dropped 1.1% week-on-week, as increased trading volume reflected ongoing long liquidation.

According to JPX, a recent announcement by the Chinese government allowing local governments to use special bonds to buy unsold homes has also contributed to NR price volatility.