Global Condom Prices Surge Up to 30% as War Disrupts Supply Chains
The ripple effects of the ongoing Middle East conflict have now reached an unexpected sector: personal protection. Karex Bhd., the Malaysian company responsible for manufacturing one out of every five condoms globally, is preparing to implement significant price increases of up to 30% in the coming months.
Production Costs Skyrocket
Chief Executive Goh Miah Kiat revealed in an exclusive interview that production costs for the world's largest condom maker have escalated dramatically, climbing between 25% and 30% since the war began. "This is definitely one of the biggest price adjustments we've done in a very long time," Goh stated, noting the company is currently in negotiations with most of its customers.
The price surge stems from severe supply chain disruptions that have increased expenses for essential materials. Key petrochemical-derived components—including ammonia for latex preservation, ethanol for packaging and printing, and silicone oil for lubrication—have all become substantially more expensive. Silicone oil prices alone have jumped approximately 30%, while nitrile latex costs have doubled, and natural rubber prices have increased by one-third since January.
Supply Chain Vulnerabilities Exposed
Karex, which produces about five billion condoms annually for major brands like Durex as well as its own labels including ONE Condoms and Carex, currently maintains enough raw materials to continue production for the next two to three months. Beyond that timeframe, the outlook becomes uncertain if the conflict persists.
"We cannot confirm in the future there will be no longer any more pricing adjustment," Goh cautioned, leaving the door open for additional increases. The company's challenges are compounded by strict regulatory requirements for medical products like condoms, which limit options for finding substitute materials.
Broader Market Implications
The condom price hike illustrates how the Middle East war, which has already disrupted energy markets and driven up costs for food and fertilizers, is now affecting virtually every aspect of consumer life. Rival producers in regions like India are reportedly facing even more severe supply chain disruptions.
Adding to market pressures, the pullback of USAID donor support for health agencies purchasing condoms has forced organizations to turn to commercial markets, creating additional buyers and further straining supply.
Resilient Demand Despite Higher Prices
Despite the substantial price increases, Goh expressed confidence that demand will remain strong. "For now, higher prices aren't expected to dent demand because the market for condoms is virtually inflation-proof," he explained.
The executive offered a compelling rationale for this resilience: "In bad times, the need to use condoms is even more because you're uncertain with your future, whether you'd still have a job next year. If you have a baby right now, you'll have one more mouth to feed."
Karex's diverse product lineup—which includes glow-in-the-dark and nasi lemak-flavored condoms—and its ownership of United Kingdom-based Pasante Healthcare Ltd., which supplies condoms to the National Health Service and retailers including Tesco PLC and Boots, position the company as a bellwether for the global personal protection market.
Investors responded positively to the news, with Karex shares trading in Kuala Lumpur surging 14% on Wednesday, marking the biggest intraday advance since October 2025 before paring gains.
