Will US-driven tailwind for Malaysia gloves be curbed by Trump?
Competition from China in non-US markets may also drown out sales for Top Glove and its country peers
MALAYSIAN glovemakers were poised to capture the United States market, after Chinese gloves were slapped with higher tariffs, but the return of a Donald Trump presidency could pose a stumbling block in 2025.
This is as Trump signalled that he aims to raise global tariffs once he is inaugurated as US president on Jan 20, regardless of the origin of the goods.
In addition, Chinese brands who have pivoted away from the US are now zeroing in on other markets in Europe and Asia, adding another hurdle for Malaysian glove manufacturers, analysts noted.
The glove companies’ financial results have generally improved since the start of 2024, as customers looked to replenish their inventories after depleting their stockpiles from the Covid-19 pandemic.
Top Glove Corporation, listed in both Singapore and Malaysia, narrowed its audited losses for the full year ended Aug 31, 2024, to RM64.9 million (S$19.7 million), from RM925.2 million a year ago.
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