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World's biggest maker of condoms set to raise prices due to Iran war

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The boss of the world's biggest condom maker, Karex, says the firm will raise its prices by up to 30% or possibly more if the Iran war continues to disrupt supplies of the raw materials used in its products.

Karex's chief executive Goh Miah Kiat told media outlets that production costs have risen sharply since the start of the conflict.

The Malaysia-based firm produces more than five billion condoms a year and supplies leading global brands like Durex and Trojan, as well as state health systems like the UK's NHS.

Goh made the comments in interviews with Reuters and Bloomberg. The BBC has contacted the company.

Global oil supplies have been severely disrupted since Iran responded to US and Israeli airstrikes with threats to target vessels in the Strait of Hormuz.

That has effectively closed the waterway, causing huge disruptions to global supply chains.

Around a fifth of the world's crude oil and liquified natural gas (LNG) – as well as other petrochemicals – usually passes through the strait.

Karex relies on materials derived from oil, including ammonia – which is used to preserve latex – and silicone-based lubricants.

Demand for condoms has risen by about 30% this year, with higher freight costs and delays to shipping worsening shortages, Goh said.

"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," he told Bloomberg.

"If you have a baby right now, you'll have one more mouth to feed," he added.

The surge in condom prices underscores how the US-Israel war with Iran, which has already rocked the world's energy markets, is also pushing up prices of other goods for consumers.

The war has helped to trigger a surge in air fares, with the lowest-priced economy tickets costing 24% more on average than they did a year ago, according to new research.

Meanwhile, disruption to shipments through the Gulf has led to higher fertiliser prices and a shortage of helium, which is used to make computer chips.

The bottled water industry is also under pressure as manufacturers struggle to get hold of raw materials.

Earlier this month, the United Nations warned that sugar, dairy and fruit prices will climb due to the rising cost of transport.

The status of peace talks between the US and Iran remained unclear on Wednesday after President Donald Trump said he will extend a ceasefire between the two countries until negotiations have progressed.

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Trump buys time for Iran deal after frantic day of diplomacy

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Tuesday began as a frantic day of diplomacy in Washington, with Air Force Two ready to fly Vice President JD Vance to Islamabad for another round of peace talks between the US and Iran.

Several hours later, Air Force Two hadn't taken off and the negotiations were postponed. President Donald Trump announced that he would extend the ceasefire with Iran, set to expire on Wednesday evening, to allow the regime more time to create a "unified proposal" to end the war.

In between, Trump weighed his options as the world waited to see if the countries were any closer to ending the war. Trump's decision marked the second time in as many weeks that he has backed off a threat to escalate the war, buying himself more time to wind down a conflict as it approaches the two-month mark.

Vance never officially announced the Islamabad trip, leaving Washington guessing. And Iran never officially committed to attending the talks, leaving the White House in the difficult position of deciding whether or not to send Vance with no assurance that Tehran would even come to the table.

As the day wore on, signs of a postponement emerged. Special envoy Steve Witkoff and Trump's son-in-law Jared Kushner, senior members of the US negotiating team led by Vance, flew to Washington from Miami instead of heading straight to Islamabad. Soon after, Vance made his way to the White House for "policy meetings" as the president and his senior advisers debated what to do next.

In the end, Trump announced the ceasefire extension on Truth Social, his preferred means for war updates since it began in late February. The president said he made the decision at the request of Pakistan, which has mediated talks between Tehran and Washington.

"We have been asked to hold our Attack on the Country of Iran until such time as their leaders and representatives can come up with a unified proposal," Trump said.

Notably, Trump this time did not specify how long the ceasefire might last. Earlier this month, he set a two-week deadline for the first ceasefire. That came after conflicting comments in press interviews, during which he said the talks were going well but also warned that he would consider resuming the war if Iran refused to negotiate.

"There is no clear formula" for ending wars, James Jeffrey, a former US ambassador to Iraq and Turkey, told the BBC.

Trump isn't the first US president to "threaten significant military escalation," Jeffrey added, "while also putting a good deal on the table."

Trump's open-ended statement on Tuesday was more measured than his past social media attacks on Iran. That may signal Trump's desire to end a war that has roiled the global economy and is unpopular with anti-interventionist supporters in Trump's Maga base.

"This is a pragmatic decision based on what are quite obvious fractures in the current leadership of the Iranian government," said Brian Katulis, a senior fellow at the Middle East Institute.

But Katulis said Trump's decision also created more uncertainty about how long the war will last.

"This move begs the question though for Trump about how he can deal with the economic pain that Americans are experiencing and the political pain he's experiencing from his base," Katulis said. "He hasn't answered the questions that are still driving this crisis."

With the ceasefire extension, the US and Iran now have more time to make a durable peace deal. But major questions remain.

Iran has said that the US blockade of the Strait of Hormuz is an act of war. While Trump chose not to restart the war immediately, he gave no indication he would end the blockade, which the US hoped would pressure Tehran to back down. So far that hasn't happened, leaving Trump with fewer options other than ramping up the military campaign.

Iran, meanwhile, has not signaled interest in ending its nuclear program or support for proxy groups in the Middle East — two so-called "red lines" that Trump has demanded be included in any final peace deal.

Trump bought himself more time. But a quick resolution to the war, for now, seems as elusive as ever.

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The Papers: 'Starmer on the ropes' and 'Sobbin' Robbins spills the beans'

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Oil prices dip as Trump extends Iran war ceasefire

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Global oil prices edged lower in Asia on Wednesday after US President Donald Trump said he would extend a ceasefire with Iran until peace talks between the two countries have progressed.

He added that the US will continue to blockade Iran's ports until Tehran presents a "unified proposal".

After opening higher, Brent crude dipped by 0.3% to $98.20 (£72.68) a barrel, while West Texas Intermediate was down by 0.5% at $89.21.

Energy markets have been volatile since the US and Israel attacked Iran on 28 February and Tehran responded with threats to target vessels in the key Strait of Hormuz waterway.

The initial two-week ceasefire had been due to expire on Wednesday evening Washington time. Trump did not give a new deadline for the ceasefire extension.

Trump said on Truth Social that the Iranian government has been "seriously fractured" and that the US will hold off from launching new attacks after Pakistan called for more time for Tehran to agree a deal.

Vice President JD Vance, who is leading the US negotiations, had been expected to fly to Islamabad in Pakistan for talks on Tuesday. The White House has now said he will not be going.

Iran has also not decided whether to send a delegation to Pakistan for talks with the US, a foreign ministry spokesperson told the BBC.

Traders remain cautious about what wil happen next in the war, said associate professor Jiajia Yang from Australia's James Cook University.

"This is less about barrels [of oil] and more about expectations," Yang said.

The cost of crude has soared since the start of the conflict due to the Strait of Hormuz, through which a fifth of the world's energy usually passes, being effectively closed by Iran.

Earlier this month, the US also said it would intercept ships headed to or from Iranian ports.

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