Rubber Market Continues to Rise Amid Regional Gains
Kuala Lumpur’s rubber market closed higher on Thursday, tracking a surge in regional futures, driven by supply concerns in West Africa and adverse weather risks in Thailand, a trader told Bernama. The Standard Malaysian…
Source: Bernama · September 26, 2026 at 7:02 AM · AI-assisted report
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KUALA LUMPUR, 26 SEPTEMBER 2026 —
Kuala Lumpur’s rubber market closed higher on Thursday, tracking a surge in regional futures, driven by supply concerns in West Africa and adverse weather risks in Thailand, a trader told Bernama.
Market Impact
The Standard Malaysian Rubber 20 (SMR 20) index rose 29.5 sen to 1,036 sen per kilogram, while bulk latex increased by five sen to 730.5 sen per kilogram as of 3:00 pm.
The trader attributed the upward momentum to supply worries in Côte d’Ivoire, located on the southern coast of West Africa, and the threat of bad weather in Thailand. He noted that higher crude oil prices and the continued US-China trade ceasefire provided additional support to the market. However, he cautioned that the rally was capped by weaker global risk sentiment, stemming from rising bond prices and concerns over Japan’s slowing economic activity.
Japanese rubber futures jumped sharply on Thursday immediately after the market reopened, propelled by a combination of factors including the impact of El Niño, congestion at the Port of Abidjan in Ivory Coast, and a reduction in raw material supply. The trader highlighted that heavy rain forecasts for Thailand have raised fears of supply disruptions, with very heavy rain and flash flood risks predicted from September 23 to 27.
For Malaysia, a major rubber producer and exporter, these regional supply constraints and weather-related risks in key producing nations like Thailand and Côte d’Ivoire directly influence local price benchmarks.
The sustained strength in SMR 20 and latex prices reflects the market’s reaction to these tangible supply-side pressures, which may continue to support higher export revenues for Malaysian rubber farmers and processors in the near term, provided the weather conditions and port logistics in West Africa do not improve rapidly.