U.S. Isoprene Rubber (IR) prices were unchanged in mid-December 2025, supported by ample import supply, stable demand from the automotive sector, and sufficient inventories, cautious buying by downstream, and neutral feedstock conditions limited price fluctuation.
A lingering trend for isoprene rubber is stability in the U.S. for the week ending December 19, 2025. This constancy was the result of the market being well balanced with no particular activity in any of the downstream products that would have potentially an influence on prices. It was reported that there had been no hard bargaining on the price of Isoprene rubber.
Supply-side factors for Isoprene rubber in December were dominated by import shipments via sea for both CFR and DDP contracts. Spot market supplies from local units were unchanged but mainly surplus, with their primary focus on keeping up with contractual commitments. Russian and Japanese Isoprene rubber suppliers maintained their delivery routes unchanged while enjoying easy logistics conditions, with no extreme congestion points observed at major ports like Houston and Los Angeles. Lead times were near their usual levels, with distributor stocks keeping near-average levels.
Fundamentals related to feedstock also helped to maintain stability for Isoprene rubber. There was no shortage of isoprene monomers due to stable C5 raffinate production of U.S. steam crackers. There were no major changes in operating rates in Asia, thereby avoiding the possibility of shortages of Isoprene rubber exports.
Demanding Side: Macroeconomic incentives remained mixed this week. The US business sector expanded in December, although this expansion was the weakest in six months. Both manufacturing and service sectors grew at a slower pace—with orders for goods posting the first fall in a year—while service sector inflows dropped to a 20-month low.
Despite these challenging conditions, base demand in the downstream isoprene rubber market has shown stability. The assembly of light vehicles in the North American market continued its steady revival—which helped support the demand for radial passenger tyre compounds—the largest application market. Automotive sales in the U.S. reached 1.27 million vehicles in November, which saw a modest increase of 0.2% from the previous month, marking a stable industry environment. Tyre manufacturers have also shown mixed demand, with Michelin registering a sales decrease of around 10% in the North American market, which was attributed to lower sales in the truck and agricultural tyres segments, as well as a weakened replacement market.
Other downstream categories, such as medical gloves and vibration isolators, recorded normal volumes, except for avoiding forward buying because of comfortable levels and balance-sheet discipline at year-end. Replacement tires experienced modest benefits from holiday-related travel, but there were no extra contract pull-throughs for Isoprene rubber.
Looking forward, while caution is still required, the outlook remains constructive for Isoprene rubber. Positive revisions to North American-light vehicle output forecasts in 2025 and 2026, recovery strategies of the top automakers, the trend of Asian automaker importation, and a likely revocation of US emission standards on ICE vehicles might be supportive of isoprene rubber in the early part of 2026. Presently, fundamentals are being pegged in a tight range.
