KUALA LUMPUR (April 8): Top Glove Corp Bhd, who has been prohibited from exporting its goods from Malaysia to the US following allegations of forced labour, said today that its gloves produced from factories outside Malaysia can still be shipped to the US.
On March 29, the US Customs and Border Protection (CBP) issued an order directing all US ports of entry to seize disposable gloves produced in Malaysia by Top Glove, based on its finding that the glove maker used forced labour in the manufacturing of its products. The finding expands upon a Withhold Release Order (WRO) that CBP issued on gloves manufactured by Top Glove in July 2020.
Subsequently, the CBP on April 5 instructed Top Glove to carry out additional rectification works in its efforts to address the issue.
In a virtual briefing today, Top Glove executive chairman Tan Sri Lim Wee Chai said the gloves manufactured from its factories located in China, Vietnam and Thailand can continue to be shipped to the US. “[Only] production in Malaysia is somehow temporarily affected by a certain percentage,” Lim said.
According to the company’s website, the company has 50 factories — 43 in Malaysia, five in Thailand, and one each in Vietnam and China.
Nevertheless, Lim hopes that the detention order or WRO issued by the CBP to the group’s two subsidiaries since July last year, will be lifted as soon as possible, as the group is working very hard to resolve this issue, together with CBP.
“I think it is a good lesson for us to learn and to improve. As a growing company and industry, I think we have to learn quickly and improve quickly because we have been in business for 30 years. There are things we know and things we do not know. So, we need to learn quickly, things we do not know.
“Together with other glove players, and through our glove association — the Malaysian Rubber Glove Manufacturers Association (MARGMA) — things have improved alot compared to the past and we are constantly improving… The glove industry will become a better industry,” he added.
Top Glove shares were among the top gainers on the local bourse today, rising along with its peers.
The counter share price closed up 49 sen or 9.98% at RM5.40 today, giving it a market capitalisation of RM42.13 billion. There were 82.27 million shares traded.
(More to come)
Read also:
US CBP tells Top Glove to do more to rectify labour issues
No new additional issue on forced labour discovered, says Top Glove
Top Glove unable to ascertain impact of US seize order over forced labour claims
