Glove sector faces strain but growth expected

Phillip Capital Research said local glovemakers saw some cost relief as raw material and natural gas prices have eased and are showing signs of stabilising.

PETALING JAYA: Phillip Capital Research has turned neutral on the glove sector, as persistent pricing pressure, particularly from Chinese players aggressively expanding into non-United States markets.

It downgraded its call on the sector to “neutral” from “overweight” as it foresees the volatile demand outlook continues to cloud near-term recovery prospects through 2026.