KUALA LUMPUR — Karex Bhd, the world’s largest manufacturer of condoms based in Malaysia, has announced plans to increase its product prices by approximately 30%, citing severe disruptions in global supply chains driven by escalating geopolitical tensions between the United States and Iran.
According to a statement from Chief Executive Officer Goh Miah Kiat, the decision comes after a sustained rise in raw material costs and logistical challenges affecting the production of condoms globally. He noted that key materials used in manufacturing, including petroleum-derived inputs such as ammonia and silicone-based compounds, have become increasingly expensive and difficult to source.
The situation has been worsened by instability in global shipping routes, particularly concerns surrounding the Strait of Hormuz, a critical maritime passage responsible for transporting nearly 20% of the world’s oil supply. Any disruption in this corridor has contributed to volatility in global oil prices, directly impacting industrial production costs.
Karex, which produces more than five billion condoms annually for global brands such as Durex and Trojan, said the company is also facing an unusual surge in demand, estimated at around 30%. The company attributes this rise to growing public uncertainty caused by geopolitical instability and economic pressure.
“We are seeing a dual pressure situation—rising input costs and increased demand. In uncertain times, consumer behavior shifts significantly,” said Goh Miah Kiat.
In addition to the condom industry, the broader global economy is experiencing ripple effects, with aviation and transport sectors reporting rising operational costs. International air ticket prices have reportedly increased by more than 24% compared to last year, reflecting widespread inflationary pressure across industries.
Source Attribution: Company statement by Karex Bhd CEO Goh Miah Kiat, as reported through international business and financial news coverage.
