Malaysia’s Karex Bhd, the world’s largest condom manufacturer, plans to raise prices by 20% to 30% as the ongoing Iran war disrupts global supply chains and pushes up production costs, its chief executive said.

The company, which produces more than 5 billion condoms annually and supplies major brands including Durex and Trojan as well as public health systems such as Britain’s NHS and United Nations aid programs, said it may raise prices further if conditions worsen.

Chief Executive Goh Miah Kiat told Reuters that the situation across the supply chain remains “very fragile,” with rising freight costs, shipping delays and raw material shortages all contributing to pressure on prices.

“We have no choice but to transfer the costs right now to the customers,” he said.

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Since the conflict began in late February, Karex has seen increased costs for key inputs including synthetic rubber, nitrile, and packaging materials such as aluminium foil and silicone oil. The company links these pressures to broader disruptions in energy and petrochemical flows from the Middle East.

The manufacturer also reported a surge in global demand of around 30% this year, driven in part by reduced stockpiles following cuts in foreign aid programs, including reductions by the U.S. Agency for International Development last year.

At the same time, logistics bottlenecks are compounding shortages. Karex said shipments to Europe and the United States are now taking nearly two months to arrive, compared with about 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 said, noting that many developing countries are also facing limited access due to delays in distribution.

Karex said it currently has sufficient supplies for the coming months and is working to increase production to meet rising global demand, but warned that ongoing disruption could continue to strain availability and pricing across the industry.