Yes, this how it works, that is why the glove sector is surging...

Yes, this how it works, that is why the glove sector is surging like madness. The order lead time for players like Top Glove is now 400+ days, which means if a customer orders now, they can only take delivery more than a year later.

You can refer to this older May Bank report on Top Glove.

"Though the sales are secured for the next 8-12 months, we highlight that the ASPs are not locked-in and the glove players can still adjust the ASPs 2-3 months prior to the deliveries. Additionally, the indicative ASPs on the purchase orders are based on the +5% m-o-m increase trend. Hence, the customers that gave orders to the glove players are agreeable to the higher ASPs in 1H21."

https://research.sginvestors.io/2020/05/top-glove-maybank-kim-eng-research-2020-05-29.html

ASP increase is now 10-15% monthly instead of the more conservative 5%.