As an important raw material for semiconductor production, it is estimated that 45% to 54% of neon gas in the world is supplied by two Ukrainian companies, Ingas and Cryoin.
Now under the impact of the Russian-Ukrainian war, the two companies have been forced to suspend production, and chip manufacturers may face an unstable supply of neon gas.
Neon is an indispensable gas in the lithography or lithography steps of wafer production.
(ASML)
However, the chip industry does not seem to be too worried about the consequences of Ukraine's neon shutdown for the time being.
On the one hand, some industry players such as Japan's Renesas Electronics and ROHM Semiconductor (ROHM) emphasize that they can source from other markets such as China.
Analysts from South Korea's SK Securities pointed out that Samsung and SK Hynix both have factories in China, and there should be no difficulty in obtaining enough neon gas.
On the other hand, some industry players believe that considering that although neon gas is critical but not much used, as long as a supply can be found, even a rise in neon prices will have a limited impact.
Chen Zhina, managing director of Naxin Special Gas in Changzhou, Jiangsu, estimates that if foreign buyers turn to China to buy neon gas to maintain a stable supply, China's global neon gas market share can increase from 30% to 50%.
For details, please read the 310th issue of "Hong Kong 01" Electronic Weekly Newsletter (March 28, 2022) "
Breaking Neon" in the Russian-Ukrainian War, Will the Chip Shortage Make It Worse?
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