Chinese and Thai players undercutting M’sian firms

CGS-CIMB Research said that domestic glove makers are still being undercut by US$3 to US$4 per 1,000 pieces, prolonging the challenges in passing on cost escalations.

PETALING JAYA: Malaysia has some of the world’s largest glove makers, but their pricing power has been diminishing due to competition from Chinese and Thai players who make cheaper gloves.

The regional competition is hurting the margins of local glove manufacturers and unfortunately, the situation may persist over the next 12 to 18 months.