PETALING JAYA: Analysts are maintaining their stance on the glove sector despite the finalisation of a 19% tariff on Malaysian glove imports by the United States.
In a report to clients, CIMB Research said it was maintaining its “neutral” stance on the rubber-glove sector, owing to ongoing headwinds, including persistently sluggish demand recovery due to cautious purchasing patterns, elevated costs stemming from the recent rise in Malaysia’s sales and service tax and the minimum wage, and weak average selling prices (ASPs) in an oversupplied market.
