CSH Alliance has terminated its glove factory project ambition with Howellcare Industries Sdn Bhd which was initially assigned as its turnkey contractor with a total contract value of RM39.6 million for 2 Nitrile Butadiene Rubber double former glove dipping production lines together with 4 lines of utility support system at the Group’s existing factories in Perak.
in Perak.
The group had decided on the termination after the management reassessed the glove market and realised that the glove average selling prices (ASPs) have been on a downtrend since mid and were in agreement for the nonviability of the project.
CSH has since announced its venture into Electric Vehicle distribution and has since signed an MOU with BYD Malaysia Sdn Bhd to jointly explore the potential of distributing electric commercial vehicles.
Through the collaboration, it aims to move ahead of the market on the potential expansion of EVs in the logistics industry are mostly large corporations eager to fulfill their ESG compliance. Future plans include EV charging stations, spare parts, 4S centres, and even solar panels.
China-based BYD is part of BYD Company Limited. a global leader in four major industries (ie: Electronics, Automobiles, New Energy and Rail Transit) developing affordable EVs, solar power, reliable energy storage, and electrified transportation.
At this juncture, CSH will be distributing and supplying the BYD T3 Model, a pure electric logistics vehicle with low energy consumption and high performance including but not limited to the after-sales service together with the spare parts and warranty packages.
Deloitte estimated in its global EV forecast that the industry will grow at a compound annual growth rate of 29 percent over the next 10 years, with total EV sales growing from 2.5 million in 2020 to 11.2 million in 2025, then reaching 31.1 million by 2030. It also estimated that EVs would secure approximately 32 percent of the total market share for new car sales in this period.
