PETALING JAYA: The rubber glove sector is unlikely to see meaningful recovery despite improving utilisation rates, as persistent overcapacity and pricing pressure continue to weigh on the industry, says BIMB Research.
The research house also downplayed concerns that recent Nipah virus headlines could provide a demand catalyst for the sector.
It noted that the outbreak in India has been limited to two confirmed cases in January 2026 with no further transmission and therefore “do not constitute a structural demand catalyst”.
“Despite the virus’s high historical fatality rate of 40% to 75%, past outbreaks have been rare and contained, and there is no evidence of panic restocking or increased bulk orders,” BIMB Research noted.
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