KUALA LUMPUR: The Malaysian Rubber Glove Manufacturers Association (MARGMA) has urged the government to introduce temporary relief measures to address a severe shortage of Nitrile Butadiene Rubber latex (NBR), triggered by the ongoing blockade of the Strait of Hormuz.
The blockade has significantly disrupted global shipping routes and pushed Brent crude oil prices above US$100 per barrel, said MARGMA in a statement today.
As NBR is manufactured from petroleum derivatives and is the primary raw material for nitrile gloves, the crisis has directly affected both its availability and cost.
MARGMA president Oon Kim Hung said the association hopes the government will engage with relevant ministries, commissions, and gas suppliers to provide support to the industry.
He said this includes temporarily suspending take-or-pay (TOP) obligations, offering flexibility in minimum gas offtake requirements or granting waivers, downward adjustments, or rebates on contracted volumes until NBR supply stabilises.
"This relief would help manufacturers manage operational costs and avoid additional financial strain during this period of unprecedented global supply chain disruption,” said Oon.
According to the association, Malaysia is a major supplier of rubber gloves to the global market, fulfilling approximately 45 per cent of global demand, and the NBR disruption could significantly affect supply and damage the country’s reputation as a leading supplier of essential personal protective equipment (PPE) to global healthcare systems.
Oon said that Malaysia’s rubber glove industry is a strategic, high-value export sector that is critical to global healthcare systems, and MARGMA has been fully supportive of the government’s directive requiring 100 per cent local manufacturing for glove exports.
"However, to uphold this standard and prevent trade diversion, our manufacturers need temporary relief to withstand this external supply shock and navigate the current supply-driven challenges,” he said.
MARGMA also called on the government to engage with Malaysian NBR suppliers to temporarily prioritise domestic supply to local nitrile glove manufacturers over overseas buyers.
"This is a critical period to ensure consistent domestic NBR supply, maintain national production capacity, and enable manufacturers to fulfil commitments to hospitals and healthcare distributors worldwide, while safeguarding Malaysia’s position as a trusted and reliable global supplier,” said Oon.
Malaysian rubber glove manufacturers export to over 195 countries, serving hospitals, laboratories, manufacturers and essential industries around the world.
The rubber glove industry recorded a total export value of RM14 billion in 2025 and accounts for approximately 64 per cent of the nation’s total rubber product exports. - Bernama
