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Eversafe Stabilises Local Market Position as Precursor to Export Expansion
The last time we visited Malaysian tread rubber manufacturer, Eversafe, the world was a very - safe was installing new equipment in its factory and was looking at expanding its presence in markets such as Europe and South America. On his recent visit to Malaysia, Richard Wilson was able to drop by the com- pany’s headquarters in Ipoh where he spoke to Sales Manager Eu Hong Lim about how Eversafe had nav- igated the pandemic, and what its aims were in the post-pandemic environment.
Regular observers of the Malaysian market will be retreading sector particularly heavily, a situation which, at present, has not completely been resolved. For that reason, Eversafe’s current aim continues to be to stabi- lise and strengthen its position in the local market.
“Even during the pandemic, one of our key aims was always to make sure that our customers couldn’t run out of stock,” explained Eu. “During this period, Malay- permit from the government to keep our factory open, - tomers in all countries. So, this what we are doing. Sta- bilising and delivering for our existing customers is key.”
- ies to Europe. “Before the pandemic it took three weeks to ship our product from Malaysia to Europe. Now it is four weeks, a month and a half, two months. It is 100% more, and the price is higher too. Everything is double. More recently, we have seen delivery times coming down a bit, as have prices, but it is still not like it was before.”
Over the years, Eversafe has developed a position in a num- ber of markets in Europe and is now looking for opportunities in countries such as Spain, Portugal, Germany. “We don’t currently have much business in these countries,” admitted Eu, “but we are trying to get our product to the customer and for them to try it in order for people to get to know Eversafe. We send them our catalogues and meet them at events. Then, at any time, they can try and test the product. You need time, though, to develop positions in new markets.”
At the time of our visit, Malaysia was in the middle of the lead up to a General Election, and so the local market had been in a state of stagnation for several months, waiting for the result of
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the election to provide impetus to the market. In particular, there had been a lack of construction projects to give the transport sector a boost, although Eu admitted that transport movements had improved somewhat since Malaysia’s borders opened for tourists in May.
“Things are improving,” said Eu, “but compared to other is less too. There should be more business in 2023, though, because this year we have just recovered from the pandemic. We foresee growth during the second half of 2023 once the - rency costs, we foresee a better picture in the second half of too much.”
In terms of Eversafe’s plans for the Malaysian market, Eu is une- quivocal. “Among the retreaders in Malaysia, most people know Eversafe already,” he said. “We will maintain our market share in Malaysia and continue to supply extensively to local retread-
