☕️ End of an era for Malaysia's rubber glove industry?

1. MARKET SUMMARY 📈

2. NUMBERS AT A GLANCE 🔢

The Regent of Johor appointed Singapore-based design firm RSP Architects, Planners and Engineers to develop a sprawling waterfront estate in Desaru, Johor. This project to develop a 27-hectare property into a private residence for the Johor royal family is expected to cost USD200 mil (RM841.3 mil) and take about four years to complete. Beyond the main villa, the estate will also feature guest houses, a kids’ club, sporting facilities, and an underground shooting range and armoury to accommodate up to 100 soldiers from the Regent’s security detail. The design firm, owned by billionaire Peter Lim, was selected to develop the property due to the “close family relationship” the Regent shared with Peter Lim and his son, Kiat, who is also the current chairman of RSP.

The health ministry has been covering almost the entire cost of dialysis treatment for underprivileged patients through subsidies of up to RM1,640.50 per person per month. According to the Deputy Health Minister, the subsidy applied to haemodialysis treatments conducted at 138 NGO dialysis centres recognised by the ministry, where patients only needed to pay RM10 monthly. However, the increasing prevalence of chronic kidney disease has upped the cost burden of dialysis treatments, leading to the Health Ministry implementing a comprehensive approach encompassing prevention, early detection, and disease management at the community level. As of 2024, there were 55,237 dialysis patients.

Japan reported a record high of citizens aged 100 or older, with the government announcing that there were 99,763 centenarians in Japan as of September, marking the 55th year in a row that Japan has set a new record. Additionally, it was reported that 88% of the centenarians were women. Now, the oldest person in Japan is 114-year-old Shigeko Kagawa from Nara, while the oldest man is Kiyotaka Mizuno, 111, from Iwata. These record-breaking numbers were a far cry from Japan’s population in the 1960s, when it had the lowest proportion of people aged over 100 of any G7 country. Not sure which is more impressive, the number of centenarians or the fact that Japan holds the record for 55 years in a row.

3. IN MALAYSIA 🇲🇾

China’s expansion in ASEAN threatens Malaysia’s glove exports
Chinese-owned factories in Indonesia and Vietnam are set to pressure Malaysia’s glove industry, RHB Research warned. The new plants could add up to 10 bil pieces a year, or 6% of the top five Malaysian producers’ output, keeping the global glut alive and prices lower. In July, Malaysia’s glove exports to the US dropped to 45% from 75% in June, while imports slipped to 57%. Shipments from the new factories could begin in five to eight months, with prices USD1–2 cheaper per 1,000 pieces than Malaysia’s. RHB maintained its “underweight” call, saying the sector faces structural headwinds despite seemingly low valuations. End of an era.

GX Bank introduces “Jaguh Niaga” to boost MSMEs
GX Bank Bhd, Malaysia’s first digital bank, has launched its Jaguh Niaga initiative with the goal of empowering 10,000 micro, small and medium enterprises (MSMEs), a section that makes up over 95% of the nation’s economy. The programme offers the GX Biz Account, which pays daily interest, has no monthly fees, no minimum balance, and 24/7 support. It also offers a GX Biz FlexiLoan, giving businesses quick access to up to RM150,000 with flexible repayment and no hidden charges. The bank is reimagining banking by leveraging technology to remove barriers, cut costs and save entrepreneurs’ time, ultimately helping businesses become champions in their fields. May this be a wake-up call to the bigger boys to make their business banking more UI/UX friendly.

Btw, if you are thinking which digital banks to sign up, here’s a comparison:

Homeowners affected as Penang redraws township boundaries
Nearly 400,000 property owners in Penang will face higher quit and parcel rent from 2027 after the state redrew 10 town boundaries and gazetted 25 rapidly developed areas as townships. Gazetted on Sept 4, the move affects 210,000 land titles and 184,000 strata titles, the biggest reclassification since 1966. To ease the impact, new parcel tax rates for over 300,000 strata parcels will be deferred until 2027, while other properties see changes from next year. The update reflects Penang’s shift from agrarian roots to urban centres, ensuring communities that already benefit from modern infrastructure contribute fairly, while strengthening district planning and revenue management ahead of 2030.
Learn: What is quit rent?

Cross-Border Tourism Shift
Langkawi vs Thailand ?
Langkawi’s tourism industry is reportedly feeling the pinch as more Malaysians head to southern Thailand for holidays. Official data points to a sharp drop of between 30% to 39%, compared with 2024. Destinations like Hatyai attract travellers with its lower costs and better facilities, while Langkawi continues to struggle with long ferry waits and high airfares. An estimate of 100,000 Malaysians crossed the border over the Sept 13 –16 weekend, spending an average of RM600 each, resulting in an outflow of more than RM130 mil that could have boosted the domestic economy. An economic analyst said that, without urgent improvements to affordability and infrastructure, Malaysia risks losing even more tourism revenue to its neighbours.

Strong holiday crowds despite concerns in Langkawi
Still, the island drew strong numbers during the Malaysia Day school break. Ferry Line Ventures added 118 extra trips to meet demand, while terminals at Kuala Kedah and Kuala Perlis ran near capacity with over 100,000 passengers expected. The Malaysian Association of Hotels dismissed early claims of weak occupancy, stating improved bookings closer to the holidays. The Homestay Association also reported steady demand, while police confirmed heightened arrivals and stepped-up patrols. Official figures show over 2 mil arrivals up to August, a 2.64% increase year-on-year, with September registering double-digit growth in ferry, domestic and international air traffic.

Here’s a comparison on some prices between Langkawi and Thailand:

All-women Malaysia Airlines crew makes aviation history
Malaysia Airlines (MAS) made history when Flight MH2610 from Kuala Lumpur to Kota Kinabalu took off with an all-women crew from check-in and ground staff to engineers, security officers, cabin crew, and pilots all showcasing the skill and leadership of women across aviation. With women now making up 36% of Malaysia Aviation Group’s workforce, surpassing IATA’s 25by2025 target, MAS hailed the milestone as proof that “the sky has no limits” and expressed hope that the flight would inspire colleagues and future aviators to dream bigger and break barriers.

4. AROUND THE WORLD 🌎

Nations on defence
Saudi Arabia inks mutual defence pact with Pakistan
Saudi Arabia and Pakistan have formed an official mutual defence pact that significantly strengthens the decades-long security partnership between both nations. A joint statement said that the agreement “reflects the shared commitment of both nations to enhance their security and to achieving security and peace in the region and the world”, and states that “any aggression against either country shall be considered an aggression against both”.

Saudi Arabia says that the agreement is a culmination of years of discussions, and is not a response to specific countries or specific events but an “institutionalisation of longstanding and deep cooperation between our two countries”. Nevertheless, it did come two days after an extraordinary joint session between the Arab League and the Organisation of Islamic Cooperation (OIC) was called, in the wake of Israel’s attack on the Qatari capital of Doha on September 9. Pakistan and Saudi Arabia have enjoyed close trade and military ties going back decades. Since 1967, Pakistan has trained more than 8,200 Saudi armed forces personnel, and the two sides have also held several joint military exercises. Btw, Pakistan is one of the 9 countries with nuclear weapons.

Denmark to buy ‘long-range’ weapons for the first time
Fearing threats from Russia, Denmark has decided to acquire long-range, high-precision weapons for the first time, with PM Mette Frederiksen saying that Russia would constitute a threat to Denmark for “years to come”, even if there is no imminent danger of an attack. The announcement came after Denmark’s largest arms purchase ever last week, amounting to DKK58 bil (USD9.2 bil), of European-made air defence systems. In February, Frederiksen urged the military to “buy, buy, buy” when moving ahead with a DKK50 bil (USD7.9 bil) expansion of military spending over the next two years – a dramatic reversal after decades of cuts. Besides being wary about Russia, Frederiksen has also been outspoken about US President Donald Trump’s repeated assertions that he wants to acquire Greenland, a semi-autonomous Danish territory. Can’t really blame a nation for overthinking its defensive strategies these days.

Tech
Meta announces first Ray-Ban smart glasses…and then fails
Meta has released three new pairs of AI smart glasses, including a Ray-Bans that has a screen on the inside of the lens to translate conversations, display information on landmarks, and give directions. The design adopts a Wayfarer-like styling, to avoid looking like you are wearing a device, while still having a camera, speakers, and microphone. The glasses require a Bluetooth connection to an Android or iPhone and support messaging and video calling through texts and Meta’s various apps, including WhatsApp, Messenger, and Instagram. It comes with a water-resistant bracelet called the “Neural Band” that would receive electrical impulses in the forearm to control the interface in the glasses. Meta CEO Mark Zuckerberg excitedly presented the smart glasses during an event on Wednesday, but suffered a hiccup during the Live Demo that was quite embarrassing. They blamed it on the Wi-Fi. Nevertheless, the Meta Ray-Ban Display glasses will be available in the US from September 30 starting at USD799 - check out the review here.

Watch the live demo blunder here:

Nvidia x Intel
Nvidia announced a USD5 bil investment in Intel, sending Intel stock soaring in pre-market trading by 29%. The investment marked a historic collaboration between chipmaker giants. The companies would jointly develop custom products, with Nvidia integrating custom Intel CPUs into its AI infrastructure for data centres, and Intel integrating Nvidia's graphics processors into the chip systems it sells to PC customers. Analysts say that the deal is a game-changer for Intel as it now brings them front and centre into the AI game, boosted by the Trump administration’s commitment to invest USD8.9 bil in the company. Intel's market value was USD116 bil at Wednesday's close, meaning that, if Nvidia's USD5 bil investment is approved by regulators, it's likely to become one of Intel's largest shareholders.

Shorts:

1. Japan still not recognising the Palestinian state
   Japanese newspaper Asahi reported that Japan will not be recognising the Palestine state for now, a decision that is likely taken to maintain its relations with the US and also to avoid the hardening of Israel’s attitude. However, Japan was among 142 nations that voted in favour of a declaration outlining “tangible, time-bound, and irreversible steps” towards a two-state solution between Israel and the Palestinians. Japan also expressed a “grave sense of crisis” over the Israeli ground assault on Gaza City, saying “the very foundations of a two-state solution could be collapsing”.

2. Hang in there, I am taking a nap
   An Air Corsica flight from Paris Orly airport to Ajaccio was forced to fly around in circles above the Mediterranean Sea for 18 minutes, after the air traffic controller fell asleep during his shift. The airport fire department had to intervene in the control room and that’s when they found out about the controller. The flight safely landed at its destination, and as for the controller, he tested negative for alcohol and might face possible sanctions.

3. Protesters not happy with Trump in the UK
   Around 5,000 people gathered in London to protest Trump’s unprecedented second state visit to the UK, carrying signs and placards expressing disdain over Trump and his policies. A group called the Stop Trump Coalition organised the demonstration, with a broad alliance of organisations sponsoring it, including Amnesty International UK, Black Lives Matter UK, Palestine Solidarity Campaign, and Greenpeace. While the royals welcomed Trump with the red-carpet treatment at Windsor Castle, Trump remains deeply unpopular in Britain, with new polling yesterday showing almost half of respondents thought it was wrong to invite him for a second state visit. Only a quarter believed it will improve UK-US relations, according to a YouGov/Sky survey.

5. FOR YOUR EYES 📺

1. Nigel Ng (popularly known as Uncle Roger) got hitched in Portugal, and his wedding celebration got covered by Vogue. Wedding photos here. Now the best part, Uncle Roger roasting Nigel on his wedding:

2. Weekend here. Looking for real-life inspired drama to watch? Here you go.

3. Paradoxes to reflect on this weekend.

One of the best series of long weekends is coming to an end so enjoy it! Have a blast! Checking out with the dance below.

thesmartlocalth

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