Malaysia glove makers say virus curbs to hit global supplies
[KUALA LUMPUR] Malaysia's rubber glove makers appealed to the government to allow factories in Selangor state to still operate amid tighter movement curbs that took effect on Saturday to prevent a disruption in global supplies of the protective gear.
The Malaysian Rubber Glove Manufacturers Association is seeking a meeting with the trade ministry as 58 per cent of all gloves produced in the country are sourced from plants in Selangor, Margma President Supramaniam Shanmugam said in a statement on Sunday.
The government imposed stricter measures in Selangor, the most industrialised state, and in the capital Kuala Lumpur, which are among Malaysia's worst-affected regions despite a nationwide lockdown. Selangor contributed about half the new daily Covid cases on Saturday.
"Global customers of our manufacturers have been calling with great concern on the shortage of production and delivery of gloves to them," Mr Shanmugam said. The lockdown had stretched lead times on deliveries and the "enhanced movement control order will further hamper the supply situation," he said.
Shares of Top Glove Corp, the world's largest glove maker, fell as much as 1.5 per cent in the fourth day of losses. Supermax Corp. slid as much as 3 per cent, while Kossan Rubber Industries Ltd was little changed. The shares of all three companies are set for their lowest level since May last year.
Margma members collectively produce and export gloves to 195 countries, supplying 67 per cent of global consumption. Global demand for medical gloves this year is expected to remain at 420 billion pieces, and jump by 15 per cent-20 per cent in 2022, according to the statement.
A NEWSLETTER FOR YOU
Asean Business
Business insights centering on South-east Asia's fast-growing economies.
BLOOMBERG
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Consumer & Healthcare
Australia’s retail sales volumes fall 0.4% in Q1
Possible class action lawsuit against Cordlife by customers could take at least 2 years
Chinese tariffs could leave cognac makers with too much brandy
Holiday Inn owner IHG’s Q1 revenue up 2.6%, leisure travel demand remains strong
WSJ moves Asia headquarters from Hong Kong to Singapore
South Korea to slap fines on food suppliers for ‘shrinkflation’