# Malaysia’s Top Glove says U.S. lifts import ban over forced labour Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2021-09-10 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Top Glove Corp Allowed to Resume Sales to US After Forced Meta Description: Malaysia's Top Glove Corp can now sell to the US again as the ban over forced labour concerns has been lifted, boosting shares by 10%. URL: https://financedigest.com/malaysias-top-glove-says-u-s-lifts-import-ban-over-forced-labourhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2021-09-10t044254z3lynxmpeh89022rtroptp4malaysia-top-glove-1-1736837909282-compressed.jpg) By A. Ananthalakshmi and Rozanna Latiff KUALA LUMPUR (Reuters) -Malaysia’s Top Glove Corp said on Friday it has been allowed to resume sales to the United States, after customs authorities lifted a year-long ban imposed for alleged forced labour https://www.reuters.com/world/asia-pacific/us-seizes-shipment-malaysias-top-glove-over-forced-labour-concerns-2021-05-13 found at the world’s largest medical glove maker. The U.S. Customs and Border Protection (CBP) had banned gloves made by Top Glove in July 2020, [saying it had found abuses of migrant workers](https://www.financedigest.com/in-a-stadium-of-their-own-migrant-workers-say-their-sweat-made-world-cup-happen.html "In a stadium of their own, migrant workers say their sweat made World Cup happen"). In its latest statement, Top Glove said its disposable gloves would be admissible at all U.S. [ports as of Sept](https://www.financedigest.com/british-port-workers-plan-two-week-strike-from-sept-19.html "British port workers plan two-week strike from Sept. 19"). 10. Its shares, which have plunged about 40% since the ban, jumped as much as 10% on Friday. The company cited a CBP notice filed to the U.S. Federal Register, [saying the customs agency had determined upon additional information that Top](https://www.financedigest.com/anyone-can-write-assignment-need-people-able-apply-new-skills-workplace-says-top-investment-management-company.html "“Anyone can write an assignment, but we need people to be able to apply their new skills to the workplace,” says top investment management company") Glove’s products were no longer being produced by forced labour. The notice is available on the Federal Register website. The CBP was not available for comment outside U.S. [business hours](https://www.financedigest.com/survey-shows-10-of-small-business-owners-get-less-than-4-hours-sleep-every-night-worrying-about-business-risks.html "Survey shows 10% of small business owners get less than 4 hours sleep every night, worrying about business risks"). Top Glove has taken a hit to reputation and business from the ban, which came at a time when it was making [record profits as the COVID-19 pandemic boosted](https://www.financedigest.com/recruiter-hays-boosted-by-record-net-fees-but-cautious-on-outlook.html "Recruiter Hays boosted by record net fees, but cautious on outlook") demand for its gloves. Its glove production in Malaysia has dropped and a plan for a $1 billion [Hong Kong](https://www.financedigest.com/screening-of-winnie-the-pooh-horror-film-cancelled-in-hong-kong.html "Screening of ‘Winnie the Pooh’ horror film cancelled in Hong Kong") listing has been delayed https://www.reuters.com/article/us-top-glove-listing-hong-kong-idCAKCN2DD2AX since the ban. The North American market accounts for [22% of Top Glove’s total sales](https://www.financedigest.com/logitech-quarterly-sales-fall-22-as-slowdown-fears-bite.html "Logitech quarterly sales fall 22% as slowdown fears bite") volume, according to most recent data. [IMPROVEMENTS AT TOP](https://www.financedigest.com/vodafone-takes-first-steps-in-turnaround-with-top-line-improvement.html "Vodafone takes ‘first steps’ in turnaround with top-line improvement") GLOVE The CBP had prohibited imports of Top Glove products citing evidence of forced labour practices at the company, including debt bondage, excessive overtime, abusive [working and living conditions](https://www.financedigest.com/the-future-of-edtech-and-how-itll-only-work-in-these-conditions.html "The future of edtech and how it’ll only work in these conditions"), and retention of identity documents. While Top Glove said in April it had resolved all forced labour indicators, U.S. [Customs had two of the company’s](https://www.financedigest.com/swiss-insurance-company-helvetia-uses-squirro-to-deliver-better-search-results-to-its-five-million-customers.html "Swiss insurance company Helvetia uses Squirro to deliver better search results to its five million customers") shipments seized in May https://www.reuters.com/world/asia-pacific/us-seizes-shipment-malaysias-top-glove-over-forced-labour-concerns-2021-05-13/#:~:text=KUALA%20LUMPUR%2C%20May%2013%20(Reuters,labour%20allegations%2C%20U.S.%20customs%20said. Rights activist Andy Hall, who had urged the CBP to investigate Top Glove, said he welcomed the decision to lift the ban “in light of the considerable improvements in foreign [workers living and working](https://www.financedigest.com/apples-australian-workers-go-on-christmas-strike-demanding-better-wages-work-terms.html "Apple’s Australian workers go on Christmas strike demanding better wages, work terms") conditions” at Top Glove. Top Glove has upgraded hostel facilities for its migrant workers, who [account for a majority](https://www.financedigest.com/virtual-accounts-leading-payment-expert-calls-for-major-changes-in-wolfsberg-group-guidance-around-on-behalf-of-payments.html "Virtual Accounts: leading payment expert calls for major changes in Wolfsberg Group guidance around “On behalf of” payments") of its factory workforce, and promised to compensate them for the fee they paid to employment agents in their home countries. The fees result in debt bondage, labour activists say. Rivals Hartalega [Holdings and Kossan Rubber have also since said they would pay back](https://www.financedigest.com/fear-of-failure-holding-back-british-entrepreneurs-new-research-finds.html "Fear Of Failure Holding Back British Entrepreneurs, New Research Finds") the fees. Two other Malaysian firms have also been hit with U.S. bans in the [last year](https://www.financedigest.com/over-50-of-businesses-increased-their-cyber-security-budget-last-year-amid-attacks.html "Over 50% of businesses increased their cyber security budget last year amid attacks") – Sime Darby Plantation and FGV Holdings. The [palm oil](https://www.financedigest.com/explainer-why-malaysia-is-considering-a-ban-on-palm-oil-exports-to-the-european-union.html "Explainer-Why Malaysia is considering a ban on palm oil exports to the European Union") producers have both appointed auditors to evaluate their practices and said they would engage with CBP to address the concerns raised. (Reporting by A. Ananthalakshmi and Rozanna Latiff; Editing by Tom Hogue and Himani Sarkar) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---