| Natural rubber is a kind of world large quantity industrial raw material, among which tire enterprises occupy the majority consumption of natural rubber. Due to automobile consumption in 2002-2003 years has become world bright economic point, which stimulates the fast development in tire industry, and make the demand of the rubber went up to a great extend. In 2003,the consumption of natural rubber is 1,800,000 ton in our country. However, the supply of the rubber is difficult to increase at short time, which promotes the rise in price of international rubber progressively – from RMB6700 /ton at the beginning of 2002 to RMB15200/ton in April of 2004.Rubber is the main material of tire production and occupies about 40% in the cost of tire production. The price of natural rubber goes up to a great extend, but the price of production is difficult to go up correspondingly because of intense competition, so it turns up the situation that is hard to maintain. The whole tire industry will sink into serious loss if the enterprises do not take effective measures, then it will affect the continuous and fast development of national economy. For the situation of rise in price of natural rubber at the moment, the enterprises, in order to maintain the profit, is mainly by the methods of adjusting production structure, strengthening production management, improving tires prescription, and increasing profitable production. The enterprises hardly take advantage of futures market to get market information and do hedging. Due to the consumption of natural rubber increasing year after year, output and imports quantity restricted by some objective conditions, and the contradiction of market supply & demand appeared, which bring the enterprises especially tire enterprises unexpected market risk. So such enterprises need hedging urgently in order to dodge price risk.This topic is point on the hedging of natural rubber, introducing the history and role of commodity futures, analyzing the situation of production and consumption of natural rubber, discussing the tactics of hedging, and inquiring into the risk control of hedging, providing tire producing enterprises new thinking and solved methods in dodging raw material's price risk, thereby ensuring he enterprises developed steady. |
