THE RELOCATION OF THE NATURAL RUBBER PRODUCTION CENTER FROM BRAZIL INTO SINGAPORE AND THE MALAY PENINSULA DURING THE 19th CENTURY

Abstract

This article examines the reasons for shifting the hub of natural rubber production center from Brazil, the region that supplied Europe and the United States with the most natural rubber during the late 19th century. Later, at the beginning of the 20th century, the rubber production center was moved to Southeast Asia. This is because of six key factors: 1) Developments and advancements in post-industrial technology in Europe have caused the emergence of the automotive industry. Therefore, it is vital to use natural rubber to produce wheels for cars; 2) Natural rubber from Brazil is a raw material that must be sourced completely from the Amazon rainforest, making its supply unpredictable; 3) The automobile industry boom in Europe and the United States requires a large and sufficient supply of raw materials to meet the needs of the industrial manufacturing lines; 4) The rubber-growing environments in Brazil and Southeast Asia are located along the equatorial belt, which is appropriate for rubber growth; 5) The cost of producing and harvesting rubber from nature is higher than that of Southeast Asia; 6) In Southeast Asia, rubber tree plantations are typically staffed with inexpensive Chinese workers. This made English traders and businessmen see profitable opportunities; therefore, rubber timber was planted during Straits Settlements in Southeast Asia at the end of the 19th century. The rubber plantation industry grew during the early 20th century. South East Asia has become the world's largest producer of natural rubber raw materials, replacing Brazil as a natural rubber hub. In this study, this article applies the historical approach to study and analyze information from research and Literature Review.