The supply area for rare gases for semiconductors is extremely limited due to the war between Russia and Ukraine and the disruption of logistics between the United States and China, and there are significant difficulties in procuring them. Considering the inventory situation, June is expected to be a significant turning point. In particular, the introduction price is skyrocketing, and since it is difficult to raise prices due to long-term contracts, the burden of costs is also being shouldered by companies, and it is reported that the scale of operating losses related to rare gases is also increasing significantly.

According to the semiconductor specialty gas industry, it is reported that procuring rare gases that are essential in semiconductor processes is quite difficult.

Helium (He), neon (Ne), xenon (Xe), and krypton (Kr), which are rare semiconductor gases, are produced in the United States, Qatar, South Africa, Russia, Ukraine, and China. However, due to the war between Russia and Ukraine earlier this year, supply lines to Russia and Ukraine were interrupted, and in the case of the United States, procurement is difficult due to the logistics disruption caused by COVID-19.

Meanwhile, China recently locked down Shanghai due to COVID-19, and even the supply of rare gas imported from China was cut off.

According to foreign media, it has been reported that over 500 ships are waiting in the major ports of Shanghai, China, and that not only logistics coming out of Shanghai, but also logistics entering China through Shanghai from within the country have been halted.

It has been reported that the supply of Chinese rare and special gases imported into Korea has been halted, and that the special gas supply route to Xi'an via Shanghai has also been blocked.

Industry insiders also predict that Samsung Electronics in Xi'an will face significant difficulties in supplying materials.

In this situation, the routes available for domestic procurement are limited to Qatar, South Africa, etc., but in the case of Qatar, orders are skyrocketing, and it is known that the period for domestic introduction is significantly longer due to the transit route, and in the case of South Africa, the raw material gas is transported to Europe, including France, and then refined and exported, so the period is known to be longer than Qatar.

In particular, even this is not available in Korea.It is reported that the gas suppliers are stamping their feet.

Accordingly, the inventory levels of semiconductor specialty gas companies are also rapidly decreasing, and it is expected that significant difficulties will increase starting in June.

The introduction prices here are also skyrocketing.

The introduction price has reportedly soared by 6 to 17 times depending on the item, and in the case of some Chinese products, by up to 20 times.

In particular, there is absolutely no room for price negotiation, and despite the high price, it is known that stock disappears as soon as it is released, making it difficult to secure stock.

Furthermore, since these rare gases are subject to long-term contracts, it is known that they are unable to reflect price increases when supplying them to semiconductor manufacturers, and thus are unable to raise prices to compensate for the increase in raw material prices.

According to industry sources, demand has been steadily increasing recently due to the increase in demand for semiconductor materials, but the rare gas sector is suffering significant operating losses as it is shouldering the burden of higher prices.

In particular, as semiconductor processes have become increasingly miniaturized, the demand for rare gases continues to increase. However, since Korea consumes more than 90% of the world's rare gas production for semiconductors, it is analyzed that Korea is experiencing significant difficulties due to a shortage of rare gases.

In the case of a special gas company that recently experienced an explosion, considerable confusion is expected if operations are halted for the purpose of investigating the accident, as the company accounts for a significant portion of the supply of rare gases for semiconductors in Korea.

It is currently known that the accident site is a storage facility and not a refining facility or supply facility, so it is operating without interruption.

In the meantime, helium is used not only for semiconductors but also for medical purposes, so it has a great impact not only on the semiconductor industry but also on people's lives.It is expected to give off a scent.

Helium is used to maintain the superconducting properties of magnets in medical MRIs, and the industry predicts that if there is a disruption in the semiconductor supply after June, there will inevitably be a disruption in the medical supply as well.

If medical supplies are interrupted, it could escalate into a national problem, so it is urgent to prepare countermeasures.

An industry insider in the semiconductor specialty gas industry said that there is currently no way out, and that the only way is for logistics to open up as the war between Russia and Ukraine quickly ends and COVID-19 comes to an end.