Russia limits export of Neon and Helium gases vital for semiconductor chip manufacturing

[SBFNews]

Russia limits export of Neon and Helium gases vital for semiconductor chip manufacturing

Sanctions-hit Russia has limited exports of noble gases such as neon, a key ingredient for making chips, until the end of 2022 to strengthen its market position, its trade ministry said on Thursday.

Russia's export curbs could worsen the supply crunch in the global chips market. Ukraine was one of the world's largest suppliers of noble gases until it suspended production at its plants in the cities of Mariupol and Odesa in March.

Exports of noble gases, which Russia used to supply to Japan and other countries, will be allowed only with special state permission until Dec. 31, the Russian government said on May 30.

The move will provide an opportunity to "rearrange those chains that have now been broken and build new ones," Deputy Trade Minister Vasily Shpak told Reuters via the ministry's press service on Thursday.

Russia accounts for 30% of the global supply of noble gases, according to the ministry's estimate.

Taiwan, the world's leading producer of chips, imposed curbs on exports of this product to Russia after Moscow sent thousands of troops to Ukraine on Feb. 24.

"We plan to increase our production capacity (of noble gases) in the near future. We believe that we will have an opportunity to be heard in this global chain, and this will give us some competitive advantage if it is necessary to build mutually beneficial negotiations with our colleagues," Shpak said.

 

[A Singaporean]

Don't fuck with Putin.

 

[mudhatter]

what's the bottleneck?

availability of resources like neon gas? extraction?

 

[Willamshakespear]

Neon is a by-product of steel production, its production made cheaper being part of the process to produce steel. However, it is not impossible to produce Neon gas on its own. It only needs cryogenic air separation manufacturing plants for its production.

Most nations did not go into the production of neon as there was little demand for it, until chip making went into full production. Deep ultraviolet light by neon is used in the photolithographic process - the patterns on semi conductor chips.

As there is a shortage of neon & the cost today is high, a rethink by other nations to go into neon production will meet that shortage, an opportunity to earn revenue for those particular countries - supply & demand rules of a Free Market.

Neon is not rare, but everywhere as it lays within our Earth's atmosphere. It only needs to be extracted. The costs were high in the past to produce, but now, like oil, the high costs of neon extraction today will justify the investments made to earn profits, seize market share & never to be held hostage by any single country for such or any other products again.

 

[mudhatter]

looks like russkies will get pwned again and again
not bad

for failing to side with Muslims and Islam, russkies zionist terrorists anglo yankee kuffar can all go to hell.

 

[Willamshakespear]

For commercially viable stand alone cryogenic air separation manufacturing, it will need huge tracts of land, to extract neon gas, as well as the tremendous costs to build - the permits, the regulations, safety protocols, & will take a few years, time which may not be able to meet the shortages for chip manufacturers.

However, none knows when RUS invasion in UKR, which produces 70% of neon gas supply, will end. It will be over now if President Putin realizes the futility of the unwinnable war in UKR, as USSR did with its invasion in Afghanistan in the 80s, & Humankind's knowledge now that the invasion was only a side show. The bigger picture is economic strangulation & disruption of World's trade in order to dominate World trade for its own rise. Unfortunately, with only control of 30% of world trade thru some of its commodities, RUS had under-estimated the ingenuity & resourceful of Humankind to find alternatives, & if the war continues on, it will only impoverished RUS & it will lose whatever market share it had once held, as none will want to be held hostage by economic enchainment.

The RUS invasion into UKR may last for years, as it did in the USSR invasion into Afghanistan. RUS today is like USSR, & is prideful & stubborn, will not want to admit it had already lost even before it began.

Thus, rather than for chip makers & evolution of Humankind to wait for the resumption of neon gas supplies, it would be better to look into investing in neon gas production & not to pay today's high price of neon gas, which will only mean less profits to chip makers or even bankrupt them. While commercially viable neon gas production will take time, nations that produce semi-conductor chips may consider building smaller modular units even within their backyard, as neon gas is readily available everywhere, as well as the blue prints to build such.

The amount extracted will be small, may not be enough for export, but it will be enough for its own production of chips, and let govts plan the long term production & export of neon gas to replace UKR, as mentioned-none knows when the war will end & the years required to rebuild the production plants destroyed during the conflict.

 

[syed putra]

For commercially viable stand alone cryogenic air separation manufacturing, it will need huge tracts of land, to extract neon gas, as well as the tremendous costs to build - the permits, the regulations, safety protocols, & will take a few years, time which may not be able to meet the shortages for chip manufacturers.

Why would you need huge tracts of land? The air is everywhere.

However, none knows when RUS invasion in UKR, which produces 70% of neon gas supply, will end. It will be over now if President Putin realizes the futility of the unwinnable war in UKR, as USSR did with its invasion in Afghanistan in the 80s, & Humankind's knowledge now that the invasion was only a side show.

Unlike afghsnistan, Ukraine is 50% russian speakers. Once the russian enclave is secured, russia may stop the war.
These enclave will not be part of russia but newly independent states, like bosnia, Croatia, macedonia.