Extreme Weather Conditions in Asia

Update on the Flood Situation in Asia and Its Impact on Latex Products

Table of Contents

• Sri Lanka
• Malaysia
• Indonesia
• Vietnam
• Outlook

Sri Lanka

Sri Lanka remains the most severely affected region. Although rainfall has decreased, many areas are still cut off due to damaged or flooded road infrastructure. This significantly impacts logistics and leads to longer transport times.

The production facilities have resumed operations and did not suffer major damage. However, delays in workers returning to the factories have affected production schedules. Additionally, water and energy supplies are currently prioritised for the population, which may lead to temporary production limits.

Malaysia

Malaysia currently shows the most stable situation. Thanks to its strong infrastructure, no production disruptions are expected at this time. The factories continue operating without notable delays.

Minor shipping disruptions in the Strait of Malacca may still affect transport times to Europe.

Indonesia

Many roads in Indonesia remain flooded, causing considerable challenges for transporting goods from factories to ports. The production facilities—particularly in Sumatra—are intact, and most workers have returned to their duties.

Water and energy supplies remain regulated, which could cause production issues if the situation deteriorates. The humanitarian impact is severe, with more than 400 fatalities reported in Sumatra.

As Indonesia is a key production location for latex gloves, delays here may have noticeable effects on global supply chains.

Vietnam

Conditions in Vietnam have stabilised. In the Hue/Da Nang region, some roads are still affected by flooding, but the factories continue operating normally. Water and energy supplies are stable, and workers can access facilities without major obstacles.

Outlook

Overall, only minor delays are expected at this time. However, the latex sector may experience temporary bottlenecks, especially when combined with seasonal challenges such as Chinese New Year.

The situation is expected to gradually improve. Developments will continue to be monitored closely and communicated when necessary.