The Iran war beauty industry cost impact is becoming increasingly visible, as rising oil prices and disrupted trade routes push up expenses across the global cosmetics sector.
From plastic jars and lipstick tubes to transportation, companies are facing mounting pressure due to supply chain disruptions linked to the ongoing conflict. Industry leaders say the crisis is affecting raw materials, packaging, and logistics simultaneously.
At a major cosmetics trade fair in Bologna, executives highlighted growing concerns about cost increases driven by energy price inflation and delivery delays. Simone Dominici, CEO of Italian cosmetics brand Kiko, estimated additional logistics costs of around 1.5 million euros over the year.
“With so many containers stuck in the Middle East, goods are not being moved efficiently,” he said.
The blockade of the Strait of Hormuz has created major shipping bottlenecks, reducing container availability and extending delivery times.
What previously took eight weeks can now take up to 12 to 14 weeks, according to industry executives. Companies are also reporting congestion at ports and difficulties securing transport routes. To manage delays, some businesses are rerouting shipments or switching to air freight and rail transport, adding further costs.
Yonwoo, a packaging supplier for major beauty brands, said it is struggling to secure plastic resin needed for production. Manufacturers such as Intercos and Ancorotti Group also reported rising raw material prices and longer lead times.
Beyond operational challenges, companies warn that inflation could reduce consumer purchasing power. As costs rise, some businesses may be forced to pass price increases on to customers. “It’s the perfect storm,” Dominica said, referring to the combination of higher costs and potential demand slowdown.
The situation underscores how even everyday products like cosmetics depend on fragile global trade networks. Industry experts say disruptions in key routes, such as those through the Middle East, can have ripple effects across sectors worldwide.
