In the first half of November xxxx, Nitrile Butadiene Rubber (NBR) prices experienced a notable x.xx weekly increase across key exporting nations, including South Korea. This price surge, which was mirrored in importing countries like the United States, defied expectations that lower crude oil and butadiene prices would lead to a softening of NBR costs. Despite a global decline in crude oil prices, particularly Brent and other crude benchmarks, and a drop in feedstock butadiene costs, NBR prices have remained resilient, signaling a complex market dynamic.
Typically, falling crude oil prices would suggest a corresponding decrease in NBR prices, as NBR is derived from petroleum-based butadiene. However, the opposite trend has emerged, with NBR prices continuing to rise. Market participants attributed this counterintuitive price movement to two key factors- persistent strong demand from the automotive sector and rising key feedstock Acrylonitrile (ACN) prices in nations like South...
