KUALA LUMPUR (April 25): The Ministry of Plantation and Commodities announced on Friday that all licensed exporting companies under the Malaysian Rubber Board (MRB) are only permitted to export gloves sourced from local manufacturing facilities, with immediate effect.

According to the ministry, this instruction, which falls under the MRB’s Licensing and Permit Regulations 2014, is intended to maintain product quality standards and prevent Malaysia from becoming a destination for trade diversion from other countries.

“This measure is taken to ensure product quality and the sustainability of the nation’s rubber glove industry,” the ministry said in a statement.

The move comes amid escalating trade tensions globally, particularly between the US and China. 

The US announced far-reaching tariffs on several dozen trade partners on April 2, including Malaysia, which will face a 24% levy. A week later, a 90-day pause on these tariffs was announced for affected countries to negotiate the rates with the US, while a blanket 10% tariff was put in place in the interim — with the exception of China, which was hit with a steep 125% tariff increase on top of an existing 20% rate. In response, China on April 12 slapped a similar rate of tariff on US exports.

The situation has the potential to cause an increase in rubber glove imports to Malaysia that can undermine the competitiveness of the domestic rubber industry, the ministry said in its statement.

To safeguard Malaysia's reputation as a primary source of high-quality rubber products, MRB is collaborating with enforcement agencies to conduct a comprehensive operation aimed at strengthening monitoring and enforcement across the sector, it said.

Malaysia remains a leading global producer and exporter of rubber and rubber-based products, with export values reaching RM33.7 billion in 2024. The rubber glove sector alone contributed RM15.41 billion, or 45.8% of the total, according to the ministry.

“The ministry and MRB will continue to closely monitor global trade developments and remain ready to implement proactive measures to protect the overall interests of the national rubber industry, including all rubber products,” it added.