Good returns seen for rubber glove sector

For 2020, UOB Kay Hian Research said the big-three producers have their expansion plans intact, foreseeing Hartalega Holdings Bhd and Kossan Rubber Industries Bhd to add capacity close to 10% and Top Glove Corp Bhd expanding capacity by 14%.

PETALING JAYA: The average selling price for the rubber glove sector has surged on the back of higher demand for protective personal equipment and a potential second wave of Covid-19 as delivery lead times lengthen.

UOB Kay Hian Research said the average selling prices have risen more than 10% from 3% to 5% previously, while the delivery lead times have extended to three to four months from the one to two months.