The Tokyo Commodity Exchange, Inc. (TOCOM) has announced that it has scheduled the listing of Technically Specified Rubber (TSR) futures contracts for October 9, 2018, pending regulatory approval from the Minister of Agriculture, Forestry and Fisheries and the Minister of Economy, Trade and Industry.
TSR is a class of natural rubber and, along with Ribbed Smoked Sheet (RSS), are key components in automobile tire production. In recent years, TSR has exceeded RSS in both production and consumption. RSS has traded at TOCOM for many decades.
Adding TOCOM TSR futures to trade alongside RSS is a response to changing market demand. The Exchange continually looks to improve its Rubber market and expand its presence around the world.
TSR Futures Contract Specifications (tentative)
|Type of Trade||Physically Delivered Futures Transaction|
|Standard||STR20 (Standard Thai Rubber 20), which is TSR20 manufactured at TOCOM approved factories in a TOCOM designated country of production, Thailand, in conformity to its standards|
|Contract Months||Consecutive – six months|
|Contract Unit||5,000kg / contract|
|Delivery Unit||20,000 kg / contract （Equivalent of 4 contract units）|
|Price Increment||JPY 0.1 per kg|
|Trading Hours||Day Session: 8:45 a.m. – 3:15 p.m. (JST)
Night Session: 4:30 p.m. – 7:00 p.m. (JST)
|Last Trading Day of the Current Contract Month||The last business day of the month prior to the current contract month|
|The shipment shall be executed between the tenth business day of the current contract month and the fifteenth day of the following month, and delivery shall be conducted until the ninth business day of the shipment.|
|Delivery Points||Buyer-designated vessel in the ports of Bangkok, Laem Chabang (Thailand) or Penang (Malaysia)|
|Delivery Method||FOB (Free on Board) on a buyer-designated vessel|