Top Glove resumes expansion projects as order flow improves

Shah Alam, Malaysia – Top Glove is set to resume the installation of advanced production lines at its new factories, which had been temporarily halted due to oversupply.

“As recovery for the glove industry continues to gain traction, the group anticipates continual improvement in sales orders,” said Top Glove 10 Oct.

Moreover, Top Glove said sales to the US had been increasing “exponentially” and are expected to receive an additional boost with the US impending tariff increases for Chinese medical gloves.

Announced earlier in May, tariffs are set to increase from the current 7.5% to 50% in January next year, and to 100% by January 2026.

“To ensure the group is well positioned to meet the rapidly returning glove demand, installation of advanced production lines… will resume at Top Glove’s newer factories,” the group said.

However, the group said it maintained “a cautiously optimistic approach” for capacity expansion plans in light of “the volatile business environment which can be affected by geopolitical factors.”

Over the long-term, Top Glove said it was optimistic about the future of the gloves industry, as the products remain “an essential, single use item in the healthcare industry, for which there is no viable replacement to date.”