- The precipitous tariff hike announced by US authorities on China’s medical-grade gloves beginning 2026 is poised to revitalise investors’ sentiment on the Malaysian glove sector.
- While the sector’s recovery plot continues to thicken beyond post-pandemic eclipsing earnings and demand moderation, we anticipate domestic glovemakers to progressively reclaim market share from China, sustaining concrete ASP trajectories and future margin upticks.
- - Read this at SGinvestors.io -
US increasing tariff on China medical-grade gloves in 2026 amid escalating trade tension.
- Yesterday, US President Joe Biden unveiled steep tariff increases on an array of Chinese imports under Section 301 of the Trade Act of 1974. This includes a higher tariff of 25% (from current 7.5%) on China’s rubber medical and surgical gloves’ exports into the US beginning 2026.
Structural change likely altering nitrile gloves’ demand landscapes.
- - Read this at SGinvestors.io -
- While China players predominantly produces PVC vinyl and nitrile gloves (>85% of total sales in 2023), we see meaningful nitrile gloves demand flowing back to Malaysian manufacturers after the tariff hike is imposed.
US tariffs hike a cherry on the cake.
- Read more at SGinvestors.io.
