YTY has recently been made aware of allegations of certain instances of systemic forced labor at a supplier of ours, Mediceram Sdn. Bhd. (“Mediceram”), who is a manufacturer of ceramic formers, the type used in the production of single-use gloves...

Our relationship with Mediceram is a recently formed one, evidenced by our first commercial orders delivering in December 2024.  In 2024, Mediceram comprised less than 0.5% of our total supplier spend, making them a very small part of our supply chain.

Irrespective of the size of the relationship, every supplier is required to conform to YTY’s Supplier Code of Conduct... These standards include, identify, and extensively focus on forced labor risks.  Prior to our commercial engagement, Mediceram reviewed and voluntarily, but unequivocally, confirmed compliance with YTY’s Supplier Code of Conduct...

Our preliminary engagement with Mediceram after being made aware of the recent allegations suggests there have been instances of forced labor lapses, despite documentation provided to us at that time which indicated compliance.  While we are disappointed to learn of this, our focus at this time is to constructively engage with Mediceram to determine why these lapses occurred, and what the timeline and path to remediation will be.

YTY remains committed to ensuring we maintain long-term supply relations with partners who are fully able to meet the high professional standards we set for them, which are in line with those we set for ourselves.  At the same time, in situations like this, our preferred approach remains to engage with the supplier in question as they seek to regain compliance, rather than reactively cancelling current or future purchase contracts.  This ensures ongoing employment and continued compensation for the affected employees.  By the same token, if we do not see positive intent, and dedicated effort, on the part of the supplier to address forced labor concerns in a reasonable timeframe, we will not hesitate to conclude our relationship with them...