Sri Trang Gloves Establishes Singapore Office as Launchpad for Regional Expansion

• Singapore office to also oversee R&D and innovation, and manage international distribution of latex gloves
• Plans to increase production capacity by [186%] to 100 billion pieces per annum over the next five years

Sri Trang Gloves (Thailand) Public Company Limited (“STGT” or the “Group”), one of the world’s top five rubber glove manufacturers, has established an office in Singapore in a meaningful step forward to realising the Group’s regional expansion aspirations. The Singapore office is the latest addition to STGT’s portfolio of subsidiaries in the United States, China and Thailand.

Sri Trang Gloves (Singapore) Pte Ltd (“STGS”) will oversee the distribution of latex gloves to the international markets and have direct oversight of the Group’s research & development and product innovation. The Group is also planning for increased marketing activities and production capacities in the ASEAN region, with the possibility of establishing additional branch offices in Vietnam, Indonesia and the Philippines for marketing and sales activities. These plans will enable STGT to quickly adapt its business to meet the evolving consumer needs and gain a competitive advantage in these markets.

Ms. Jarinya Jirojkul, Chief Executive Officer of STGT said, “Amid the Covid-19 pandemic, global demand for latex and nitrile gloves has been rising very rapidly and this trend is expected to continue in the years ahead. To meet the growing demand, we have plans to increase STGT’s production capacity by more than [186%] over the next five years. This will see us scaling up our glove production from about [35] billion pieces per year presently to 100 billion pieces a year by 2026.”

According to estimates by the Malaysian Rubber Gloves Manufacturers Association (“Margma”), global demand for gloves is expected to reach 500 billion in 2021, well ahead of the estimated supply of 420 billion gloves. Even as glovemakers rush to close the supply gap, the supply shortage could well persist until 2023 in view of the ongoing pandemic.

“Our strategy to grow our capabilities and overseas market presence will enable the Group to produce, market, distribute and deliver our products more quickly and efficiently. We expect our greatest value-add to be in the high-growth ASEAN markets on the back of increased consumption. Over the longer-term, ASEAN presents significant potential as its growth rate still lags consumption rates of European countries,” said Ms. Jarinya.