The synthetic rubber market in Russia has shifted from stagnation to growth, which will continue until the end of 2024. This was reported by analysts at the Center for Economic Forecasting (CEF) of Gazprombank.
Experts expect that by the end of this year, rubber production will grow by 3–6%. According to Rosstat, from January to March inclusive, the output of synthetic rubber increased by 5.2% to 377,000 tons, compared to the first quarter of 2023. In March alone, Russian enterprises produced 136,000 tons of rubber.
Stagnation Since 2019
CEF analysts pointed out that the synthetic rubber production sector has been in decline since 2019. Rubber production fell by 18% between 2021 and 2023, to 1.41 million tons.
The main reason for the recovery of rubber production in Russia is demand in the domestic market. After foreign tire brands left the Russian Federation, demand for raw materials increased significantly. For example, in the first quarter of 2024, tire production increased by 34% to 11.1 million units compared to the same period in 2023.
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