Karex, the world’s largest producer of condoms, has announced a 30% increase in prices, citing rising global costs linked to ongoing tensions between Iran and the United States.
The company manufactures more than five billion condoms each year, making it a key supplier worldwide. However, it says the current geopolitical situation is driving up production costs and disrupting access to essential materials.
The conflict between Iran and the United States has had widespread economic effects, particularly on oil-related products. Restrictions and instability in key shipping routes have caused prices of petroleum-based goods to rise globally.
According to Karex CEO Goh Miah Kiat, the company is now facing serious challenges in sourcing critical raw materials. Among the most affected is ammonia, a key chemical used in the production and processing of condoms.
One of the biggest issues is the disruption of trade through the Strait of Hormuz, a vital global shipping route. The waterway has been affected by escalating tensions, with Iran at times closing it and the United States responding with restrictions that limit maritime movement.
These developments have significantly slowed the transportation of goods, making it more expensive and difficult for manufacturers like Karex to maintain supply chains.
As a result, consumers around the world may soon feel the impact, as the cost of condoms rises due to factors far beyond the control of manufacturers.
KIGALI TIMES