🗞️ Global Market Watch
Stay informed with key developments shaping the global energy and tyre industry. This week, a cooldown in oil prices offered some relief on one front, while new regulatory pressures emerged on another.
Energy Market Shifts and Its Ripple Effect
The global oil market saw Brent crude futures correct slightly to around $68 per barrel, influenced by profit-taking and a surprise 2.5 million-barrel increase in U.S. crude inventories. While the market awaits the next OPEC+ meeting to maintain price stability, this slight dip in oil prices had an immediate ripple effect on the tyre industry’s supply chain.
Notably, the cost of Butadiene (a key component for synthetic rubber) edged lower, tracking the movement of crude oil. This offered some welcome cost relief for tyre manufacturers. Meanwhile, the natural rubber market (RSS3) saw prices stabilize due to improved weather in key growing regions, though a full recovery is still hampered by sluggish demand from China.
New Regulatory and Market Headwinds
Beyond raw materials, the European Commission launched a new anti-dumping investigation into truck and bus (TBR) tyres from several Southeast Asian countries, signaling potential supply chain disruptions in the months ahead.
Reflecting these complex market conditions, Michelin’s Q2 results painted a clear picture: while the replacement tyre market remains robust, sales to original equipment manufacturers (OEMs) have slowed, mirroring broader trends in the automotive sector.
Sources: For deeper analysis, explore insights from
Reuters,
the EIA,
and Rubber News.
📅 Week of 21–25 July 2025.
