* Bridgestone buys SIR20 at 105.75-106.50 cents/lb
* SMR20 done at $2.465/kg, RSS3 at $2.575/kg
* Prices track TOCOM rubber lower
By Lewa Pardomuan
SINGAPORE, Oct 23 Bridgestone Corp
bought Indonesian rubber for nearby shipments and Malaysian tyre
grade was sold among trading houses, but China stayed on the
sidelines wating for bargins, dealers said on Wednesday.
Top consumer China imported 1,666,815 tonnes of natural
rubber in January to September this year, up 5.5 percent from
the same period last year. It mainly buys rubber from Thailand,
Malaysia, Indonesia and Vietnam.
Prices of tyre grades in Southeast Asia have fallen in the
past week after benchmark rubber futures on Tokyo Commodity
Exchange fell from a 3-week high hit last week because
of a firmer yen and weaker oil.
Indonesia's SIR20 was sold to Bridgestone, the world's
largest tyre maker, at 105.75 U.S. cents a pound for December
delivery ($2.33 a kg) and at 106.50 cents for January ($2.34 a
kg) in a series of overnight deals, versus 108.25 cents for
February and at 108.50 cents for March/April reported last week.
Singapore dealers also bought SIR20 late on Tuesday 106.50
to 107.25 cents for December and January shipments, down from
107.50 cents last week. Malaysia's SMR20 was traded at $2.465 a
kg for December delivery, down from $2.47 last week.
"People are complaining how come Bridgestone managed to get
Indonesian rubber so cheaply," said a dealer in Singapore.
"China has been quiet in the past few days, but we heard
some Chinese buyers are keen to buy RSS3 for stockpiling."
Thai RSS3 rubber was sold late on Tuesday at $2.575 a kg for
December shipment, down from $2.62 last week, but there were no
details on the buyers. There were no reports of deals for
another Thai grade, STR20.
China, which accounts for 35 percent of global consumption,
announced last year it would buy up to 200,000 tonnes of rubber
from the domestic market to support prices but dealers said only
a fraction was purchased by the end of 2012. (Full Story)
Some dealers speculated China would aim to stockpile that
same amount of rubber this year, probably buying about 50,000
tonnes from the overseas market and the rest locally.
"I heard Chinese traders had bought some stocks from
Thailand, and it also seems Thai shippers were glad to sell
RSS3," said an analyst in Tokyo, who gave no further details.
China has often been a bright spot in the volatile rubber
market, where prices of tyre grades fell to multi-year lows
mid-year because of concerns over global economic growth.
WEEK AHEAD, TOCOM
Tyre grades are likely to track movements in the Tokyo
market, while waiting for more news on China's stockpiling plan.
The most active March contract on TOCOM hit a low of
261.50 a kg on Wednesday, its weakest since Oct. 11.
"I guess the market will be waiting for more economic data
from China. I think 275 yen will be the resistance level," said
the analyst in Tokyo.
(Editing by Richard Pullin)