Malaysia’s five richest rubber glove tycoons, whose fortunes soared as the Covid-19 pandemic spawned a rush for protective clothing, lost a collective $5.7bn in the past year as their businesses were hit by allegations of forced labour and rising rates of vaccination against the virus.
Forbes’ “Malaysia’s 50 Richest” list for 2022 showed that Kuan Kam Hon of Hartalega Holdings lost the most of the tycoons, with a drop in wealth of $1.9bn.
Top Glove’s Lim Wee Chai lost $1.4bn after his company’s products were hit by a US Customs and Border Protection ban over allegations of forced labour. CBP later revoked the ban, saying Top Glove had taken action to address its concern. Lim’s fortune had swollen almost threefold in the 12 months to April last year as Top Glove’s shares soared off the back of pandemic demand.
Malaysia is the world’s top producer of surgical rubber gloves, but the industry came under greater scrutiny after its pandemic-induced boom and was later marred by a series of scandals over the alleged exploitation of migrant workers and several bans issued by US customs officials.
Stanley Thai and Cheryl Tan, whose glove manufacturing company Supermax was also hit by a CBP ban in October, saw their wealth shrink by more than two thirds to $340mn, the biggest percentage drop in wealth on this year’s list, Forbes said. Supermax said in January it had taken steps to improve labour conditions.
Overall, Malaysia’s richest 50 lost 10 per cent, or $80.5bn of their wealth over the past 12 months, dragged down by a 6 per cent depreciation in the ringgit. Robert Kuok, founder of the Shangri-La hotel chain, retained the top spot, though his wealth declined to $11bn from $12.1bn the year prior.
