2022-03-07 12:02:39
Russia-Ukraine crisis puts pressure on microchip supply chain
The already-stretched semiconductor industry is expected to suffer more interruptions from the current conflict in Eastern Europe, as Ukraine and Russia provide the bulk of the world’s supplies of neon and palladium, vital for the production of microchips.
Neon, critical for the lasers used to make chips, is a by-product of Russian steel manufacturing. It is then purified in Ukraine. Palladium is used in sensors and memory, among other applications.
The current global chip shortage will worsen if the standoff persists as more than 40% of the world’s supply of palladium comes from Russia, while Ukraine produces 70% of the global supply of neon, according to Moody’s Analytics.
https://www.rt.com/business/551219-russia-ukraine-semiconductors-crisis/
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