KUALA LUMPUR: The Malaysian rubber glove industry is expected to grow at a quicker pace even after the coronavirus pandemic, albeit at lower than current levels, Malaysia’s glove-maker association said on Monday.
The Malaysian Rubber Glove Manufacturers Association (MARGMA) said it estimates output could grow at 17% annually post-pandemic, higher than the 12%-15% in pre-pandemic times due to expected demand.
This year, MARGMA has projected a 20% increase to about 220 billion units, around 67% of global market share.
Vice president Supramaniam Shanmugam said that while growth may not mirror current levels, but it would be better than before the pandemic.
“We cannot run our lives based on unusual occurrences, we have to run it on the norms of supply and demand. And the norms dictate that post-Covid is going to be higher than pre-Covid,” he said.
He also said the recent restrictions placed by the US on Top Glove Corp are not expected to weigh on industry growth projections.
Two Top Glove subsidiaries were barred last week by US Customs on forced labour concerns. However, the company said shipments to the US, if returned, would easily be taken up by other nations.
Top Glove, the largest medical glovemaker globally, said it is engaging the US authorities to find a resolution within a month.
Supramaniam said the association stood by Top Glove and is ready to show support if needed.
Malaysia exports 99.6% of gloves produced and the United States is its largest export market, at 36.3% of total export value in January-March.
Malaysian glove counters have continued to rally on Monday, with Top Glove taking the lead rising as much as 13.8%. – July 20, 2020, Reuters
