Gloves (Neutral). Considering Vietnam now enjoys a lower tariff rate, it enhances its
cost competitiveness vs Malaysia. Notably, Intco is set to expand its manufacturing
footprint in Vietnam, with new capacity expected to come online by end-2025. Overall,
we think sentiment on the glove sector will take a hit given more uncertainty in supply-
demand dynamics heading to 2026. We stay cautious on the sector and we have a
sole BUY on KOSSAN (TP: RM2.30) for its differentiated strategies in product
customisation and automation, coupled with its robust balance sheet.