In the global market the Neoprene Rubber price witnessed a notable fall in June 2025. This decrease in the Neoprene Rubber price is majorly attributed to the decline in the price of the feedstock majorly Butadiene and the lower demand from the overseas market further dampened the consumption of the Neoprene Rubber thereby suppliers reduced their exquotation price to stay competitive in the market.
Neoprene Rubber prices in Japan witnessed a 7.02% decline in June 2025 from a month ago, as market suppliers adjusted offers downward in response to sustained bearish sentiment. The continued downtrend in Butadiene feedstock prices offered producers little cost pressure, encouraging softer offers in the domestic market. Despite the automotive sector showing signs of recovery—with June vehicle sales surging 21.32% month-on-month and 5.2% year-on-year—this momentum was insufficient to offset the broader market drag.
Neoprene Rubber demand from the construction sector remained tepid, as housing starts fell 34.4% year-on-year in May, with severe declines in built-for-sale units. While non-residential construction orders by top firms posted a 14% rise, it wasn’t enough to bolster overall sentiment. Market participants pointed to supplier pricing strategies influenced by a need to move volumes amidst sluggish downstream uptake, particularly from infrastructure-related applications.
Distributors refrained from aggressive restocking, wary of oversupply, while buyers leveraged lower Neoprene Rubber offers in anticipation of further drops. With inventory levels perceived as comfortable, suppliers preferred to maintain competitiveness, resulting in softening prices. The outlook for Neoprene Rubber remains cautious, with construction headwinds outweighing automotive gains, pushing suppliers to realign Neoprene Rubber prices accordingly.
Neoprene Rubber prices in the U.S. dropped by 3.68% in June, as the market shifted gears amid changing supplier strategies and easing cost pressures. With demand from the automotive sector losing steam—vehicle sales falling 14.27% from May and 5.6% year-on-year—suppliers were quick to adjust their pricing to stay in the game. Adding to the pressure, cheaper imports from Japan weighed on domestic offers. The ongoing slide in Butadiene, a key raw material, further dampened sentiment, prompting sellers to offload inventory in a quieter market. With stockpiles growing and end-user activity limited, suppliers focused more on moving product than protecting margins, aiming to steady their order books in an increasingly cautious environment.
As per ChemAnalyst anticipation the price of the Neoprene Rubber is expected to showcase marginal bullishness in the upcoming sessions. This anticipation of bullishness in the Neoprene Rubber price is primarily align with an expectation of marking natural retracement or price correction from the market participants in the current downward price trend with no major expectation of aggressive positivity in the demand.
