It is unfortunate for Supermax Corp Bhd after the United States (US) dropped restrictions on the import of rubber gloves produced by the company following allegations of forced labor practices.
In June, INTRADAY reported that U.S. authorities had investigated the glove -making company over the allegations, but were vehemently denied by Supermax.
However, in a recent statement on Wednesday, the U.S. Department of Customs and Border Protection (GST) has issued a ‘Withhold Release Order’ (WRO) order from Supermax Corp and its subsidiaries based on reasonable information showing they used forced labor in operations. manufacturing of the company.
Additionally, GST claims that it has identified 10 indicators of forced labor of the International Labor Organization during its investigation into Supermax.
GST Assistant Executive Commissioner AnnMarie Highsmith said, with 10 of the 11 indicators of forced labor identified during the investigation, they had plenty of evidence to conclude that the production of gloves from Supermax Corp. and its subsidiaries violated U.S. trade law.
Following the restriction, Supermax Corp Bhd shares plunged almost 10% in early trading today (Thursday), falling by 22 sen or 9.78% to RM2.03 around 9.08 this morning.
