With Continuously Fluctuating Price of Rubber Raw Materials, the Industry to Build Rubber Stabilization Fund In 2016, the price of rubber raw materials showed a fluctuating and sluggish trend on the whole.

This paper discusses the emerging contradictions that may have serious implications for the sustainable growth and performance of China's rubber industry in the era of internal restructuring and global economic integration.The contradictions arise from the growing mismatch between shortage of resources (natural rubber and synthetic rubber) against the ever expanding rubber industry with thin regional spread of manufacturing base.While the dynamic growth of rubber industry in the pre-reforms era was achieved under a heavy import oriented trade policy regime,the sustenance of tbe same is fraught with serious challenges in the emerging global context affecting the economic performance of the rubber industry.Following a comprehensive analysis of development of rubber industry in retrospect,the paper suggests some important policy options for resolving the impasse and thereby sustaining the growth dynamism of the industry in the country in the era of market integration.

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