Thai Eastern Group Holdings Public Company Limited, or TEGH, disclosed that it began stockpiling raw materials in advance since August 2026 to cope with heavy rainfall in the eastern and northeastern regions, which is expected to prevent rubber tapping at least through early October. The reserve volume is sufficient for production through the end of this year and also maintains continuity in delivering products to customers. Managing Director Sineenuch Kokanutaporn stated that the trend for the third quarter of 2026 is expected to improve compared with the second quarter of 2026, driven by weather conditions and rainfall levels, as well as clarity on the EUDR regulation, with orders currently coming in continuously. EUDR rubber sales this year are expected to exceed 30 percent before rising to 40 to 50 percent in 2027, in line with demand from leading global tire makers. Meanwhile, high selling prices will begin to be significantly reflected in earnings from late in the fourth quarter of 2026 through the first quarter of 2027. The energy and clean energy business continues to set new record highs, while the palm oil business is in a recovery phase amid prices holding at high levels, even though boiler installation has been delayed by legal procedures related to the Clean Air Act.
Thai Eastern Group Holdings PCLEUDR rubber orders keep coming in, expected to exceed 30% of sales this year and rise to 40-50% in 2027 on tire-maker demand.
Heavy rain is expected to prevent rubber tapping through early October, tightening raw natural rubber supply.
