Global Condom Giant Karex Plans Price Hike as Iran War Disrupts Supply Chain

Global Condom Giant Karex Plans Price Hike as Iran War Disrupts Supply Chain

The world’s largest condom manufacturer, Karex Berhad, has announced plans to increase prices by up to 30 per cent following supply chain disruptions linked to the ongoing conflict involving Iran.

The Malaysia-based company, which produces more than five billion condoms annually, supplies major brands such as Durex and Trojan, as well as public health programmes across the world, including those run by the United Nations and Britain’s National Health Service.

Chief Executive Officer, Goh Miah Kiat, said the company has been grappling with rising costs of raw materials and logistics since the conflict escalated in late February.

According to him, key inputs such as synthetic rubber, nitrile, aluminium foil used in packaging, and silicone oil have all recorded sharp price increases, putting pressure on production costs.

“The situation is very fragile at the moment, and prices are rising across the board. We have no choice but to pass some of these costs on to customers,” he said.

Kiat added that shipping delays have further complicated operations, with delivery timelines to Europe and the United States stretching to nearly two months, compared to about one month previously.

He noted that increased freight costs and delays have also triggered a spike in demand, as buyers rush to replenish dwindling inventories.

“We’re seeing more shipments still at sea that are urgently needed at their destinations,” he said, warning that some developing countries are already facing supply gaps due to slower delivery times.

Despite the challenges, the company said it currently has sufficient stock to meet short-term demand and is exploring ways to increase production capacity.

Karex joins a growing list of manufacturers, including medical glove producers, affected by supply chain bottlenecks tied to the Iran conflict, which has disrupted access to essential raw materials and increased global shipping costs.

Industry observers say the price adjustment could have wider implications for public health programmes and access to contraceptives, particularly in low-income countries that rely on subsidised supplies.

Karex Berhad price increase, condom price hike, Iran war, supply chain impact, Durex Global Condom Giant Karex Plans Price Hike as Iran War Disrupts Supply Chain

The world’s largest condom manufacturer, Karex Berhad, has announced plans to increase prices by up to 30 per cent following supply chain disruptions linked to the ongoing conflict involving Iran.

The Malaysia-based company, which produces more than five billion condoms annually, supplies major brands such as Durex and Trojan, as well as public health programmes across the world, including those run by the United Nations and Britain’s National Health Service.

Chief Executive Officer, Goh Miah Kiat, said the company has been grappling with rising costs of raw materials and logistics since the conflict escalated in late February.

According to him, key inputs such as synthetic rubber, nitrile, aluminium foil used in packaging, and silicone oil have all recorded sharp price increases, putting pressure on production costs.

“The situation is very fragile at the moment, and prices are rising across the board. We have no choice but to pass some of these costs on to customers,” he said.

Kiat added that shipping delays have further complicated operations, with delivery timelines to Europe and the United States stretching to nearly two months, compared to about one month previously.

He noted that increased freight costs and delays have also triggered a spike in demand, as buyers rush to replenish dwindling inventories.

“We’re seeing more shipments still at sea that are urgently needed at their destinations,” he said, warning that some developing countries are already facing supply gaps due to slower delivery times.

Despite the challenges, the company said it currently has sufficient stock to meet short-term demand and is exploring ways to increase production capacity.

Karex joins a growing list of manufacturers, including medical glove producers, affected by supply chain bottlenecks tied to the Iran conflict, which has disrupted access to essential raw materials and increased global shipping costs.

Industry observers say the price adjustment could have wider implications for public health programmes and access to contraceptives, particularly in low-income countries that rely on subsidised supplies.