Supermax invests US$350m to build a manufacturing facility in the US

by TMR / pic credit:

SUPERMAX Corporation Bhd’s US-based subsidiary Maxter Healthcare Inc. is planning a major manufacturing facility located on 215 acres in Brazoria County, Texas, United States.

In a Bursa Malaysia today the glove maker said the new manufacturing facility is planning to increase production across four phases of build out with phase one beginning in the first quarter of 2022 and having production by the fourth quarter of 2022.

Each phase is expected to produce 400 million gloves per month for each phase.

“When all the four phases are completed, the total installed production capacity would be a whopping 1.6 billion gloves per month or 19.2 billion gloves per annum. Supermax board of directors had previously approved a total CAPEX of US$ 550mil for this investment,” said Supermax.

The total investment identified for phase one of this facility is US$ 350mil and will consist of the Group’s North America Manufacturing Headquarter, a Research & Development centre, a training centre and a full-fledged employee facility centre. 

Buildings at this headquarter will consist of an engineering building, maintenance building and a distribution warehouse for other PPE products.

This project will be Supermax’s 18th manufacturing facility worldwide and the first one in the United States.

“This manufacturing capacity will aid the U.S. in its ability to respond to the current pandemic and help safeguard the U.S. in the future.

“In addition, through the establishment of our research and development center and collaborations with the local and regional education institutions we will be developing innovative new products and technologies,” Founder and Executive Chairman Datuk Seri Stanley Thai.

This manufacturing facility, when operational, will strengthen the U.S. Personal Protective Equipment (PPE) Supply Chain by building capacities, said CK Tan, CEO of Supermax Healthcare Inc, another subsidiary of Supermax Group who is based in the US.

“We will be capable of catering to at least 10% to 15% of the total annual medical glove imports into the United States over the next two to four years.

Over the next four to six years, as our capacity increases, we will be able to provide 20% to 25% of the demand and consumption in the United States,” said Tan.