No Protection From Gulf Shock: World’s Biggest Condom Maker Warns Of Price Hikes
The first-order effect of the U.S.-Iran conflict and the resulting shutdown of the Hormuz chokepoint was the disruption of global energy flows, from LNG to crude to refined products. The second-order effect was a spike in petrochemical prices and a widening shortage of key industrial inputs. Now the third-order effects are beginning to hit everyday goods, with Malaysia-based Karex, the world’s largest condom maker, warning that prices are about to explode.
Karex CEO Goh Miah Kiat spoke with Reuters in an exclusive interview about his plan to hike condom prices by 20% to 30%, and possibly more, as the war in Iran continues to disrupt supply chains and drive up critical input and shipping costs.
“The situation is definitely very fragile, prices are expensive… We have no choice but to transfer the costs right now to the customers,” Goh said.
He said costs have increased for everything from synthetic rubber and nitrile used in manufacturing condoms to packaging materials and lubricants such as aluminum foil and silicone oil.
Earlier this month, Goldman analyst Georgina Fraser warned clients about petrochemical shock worsening across Asia, with textile and packaging plants emerging as the first major downstream casualties.
“The supply shock is transmitting faster and at a greater magnitude than we had anticipated,” Fraser warned in the note.
Reuters noted, “The condom maker joins a growing list of companies, including medical glove makers, bracing for supply chain bottlenecks as the Iran war strains energy and petrochemical flows from the Middle East, disrupting procurement of raw materials.”
At the same time, Kiat said condom demand has surged 30% so far this year, with shipping disruptions further exacerbating shortages. He noted that shipping times to the U.S. and Europe are now two months, up from one month previously.
“We’re seeing a lot more condoms actually sitting on vessels that have not arrived at their destination but are highly required,” Goh added. He noted that many developing countries do not have large condom supplies.
Tyler Durden Tue, 04/21/2026 – 14:40
Source: https://freedombunker.com/2026/04/21/no-protection-from-gulf-shock-worlds-biggest-condom-maker-warns-of-price-hikes/
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