Semiconductor manufacturers fear noble gas shortages

Semiconductor companies are worried about a problem they may face in the near future. It’s about a shortage of noble gases, which are necessary in the production of chips. The main supplier of neon was Ukraine. The termination of deliveries from this country will stop the process of recovery of the semiconductor industry. Manufacturers expect shortages not only of neon, but also of krypton and xenon. These gases are used as working fluids for the laser. In recent months, their prices have been rising due to problems in the supply chains. However, now the situation has worsened even more due to the sharp aggravation of the geopolitical situation and the inability of Ukraine to supply noble gases in the same volumes. Deutsche Bank analysts note that semiconductor manufacturers typically have stocks of neon, xenon and krypton for about two to three weeks. If the situation does not change in the near future or new suppliers are not found, then production may be suspended.


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Arseny Kudrin

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