Glove makers still in bearish market

Glove makers like Top Glove Corp Bhd have moved to control output by lowering plant utilisation rates to about 50% of capacity and put on hold or delayed the commissioning of new plants, says RHB Research.

PETALING JAYA: Glove makers continue to face headwinds as the industry’s bearish demand-supply fundamentals are not expected to change till mid-2023, before anticipated restocking activities by buyers enable improvement in average selling prices (ASPs).

RHB Research, which remains “underweight” on the sector, said rubber glove industry players are still unable to ascertain the timing of inventory normalisation from the glove distributors’ point of view.