Top Glove maintains 30pc global market share target this year

SHAH ALAM, April 16 — The world’s largest rubber glove producer Top Glove Corporation Bhd has maintained a 30 per cent global market share target this year despite the setback due to disputes with the United States’ Customs and Border Protection (US CBP) involving forced labour issue, managing director Datuk Lee Kim Meow said.

Currently, Top Glove’s market share stood at 26 per cent.

“As we work towards remedying the indicators, we are confident that we will be able to catch up very quickly.

“We have our shortcoming in the past but we have put it behind us and we like to move strong moving forward, to be a good model and good example for the industry,” he told selected media during an exclusive walkabout of Top Glove’s workers’ accommodation and question and answer session here today.

He said last year, the company had been challenged by the outbreak of Covid-19, labour shortage and lack of raw materials but as a company that has been in the industry for 30 years, it managed to cope well.

“We have also explained our situation to some of the ministries and they understood that sometimes things happen in a way that we are constrained by various challenges.

“But we’ll continue to do well and we’ll continue to contribute to the Malaysian economy and the export sector,” he said.

He said the company has also maintained its target to be listed on the Hong Kong Stock Exchange this year.

Lee is also confident that the company would achieve its target of becoming a Fortune Global 500 company in 2030.

“We are confident that we will get there. After being in the business for over 30 years, we have seen the cycle (and) we are still confident that this is a good industry that has done well and will continue to do well because there is no replacement and no substitute product like rubber gloves,” he said.

Top Glove is currently in the third stage of the US CBP Withhold Release Order (WRO) modification process to remediate the remaining five forced labour indicators that are pending verification by Impactt, a United Kingdom-based ethical trade consultant firm.

Of the 11 International Labour Organisation’s indicators of best practice, Top Glove was verified by Impactt to achieve six As and five Bs and the five Bs need to be converted into As for the US CBP to lift the WRO on the company.

It was also reported previously that Top Glove’s primary dual-listing in Hong Kong would happen by May or June this year and is expected to raise up to RM7.7 billion.

At the close of Bursa Malaysia trading today, Top Glove shares went up 2.39 per cent to RM5.57 with 62.3 million shares transacted. — Bernama