Malaysia’s High Glove Corp., the world’s largest maker of rubber gloves, stated Tuesday it expects a two-to-four-week delay in deliveries after greater than 2,000 staff at its factories had been contaminated by the coronavirus, elevating the potential of provide disruptions in the course of the pandemic.
High Glove stated it has quickly stopped manufacturing at 16 factories in Klang, a city exterior Kuala Lumpur, since Nov. 17 to display staff, with its remaining 12 services within the space working at a lot lowered capacities.
The federal government on Monday ordered 28 High Glove factories in Klang to close down in phases to permit staff to endure screening and necessary quarantine after 2,453 manufacturing unit staff examined optimistic for COVID-19.
The well being ministry reported 1,511 extra instances within the space on Tuesday, however did not say what number of had been manufacturing unit staff. The cluster contributed to a file day by day excessive of two,188 instances nationwide, bringing Malaysia’s complete instances to 58,847. The cluster within the Klang space is presently essentially the most lively within the nation with four,036 instances.
High Glove says it produces about 90 billion rubber gloves a yr, about one quarter of the world’s provide, and exports to 195 international locations. It has seen income soar amid rising demand for its merchandise as a result of pandemic.
“We anticipate delays in some deliveries by about two to 4 weeks, in addition to an extended lead time for orders, and estimate a potential three% influence on projected annual gross sales for monetary yr 2021,” High Glove stated in a press release.
“To reduce the influence on our clients, we’re allocating gross sales orders to unaffected factories and rescheduling deliveries the place potential,” it stated, with out elaborating.
It stated it’s working carefully with the authorities and implementing stringent well being measures, together with day by day disinfection of the employees’ dormitories and its factories. High Glove reportedly has about 13,000 staff at its 28 factories in Klang.
It employs a complete of 21,000 staff in its 41 factories in Malaysia and 6 others in Thailand, Vietnam and China.