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War: Neon collapse is unfolding, Taiwanese manufacturers try to hide it
  • The two largest Ukrainian factories, which synthesize about half of the world's neon, have suspended production amid recent events. We are talking about the Krioin and Ingas enterprises, which on a global scale supplied from 45 to 54% of neon, the gas necessary for the production of microcircuits. Neon supply problems are expected to exacerbate the already difficult situation with the global shortage of semiconductor products.

    Stopping the production of neon can have an extremely negative impact on the global semiconductor industry. Representatives of Krioin and Ingaz noted that the suspension of neon supplies is associated with an intensification of the crisis, as well as the destruction of key infrastructure facilities.

    This news is unlikely to add optimism to the semiconductor industry, which is already experiencing a serious shortage since the start of the coronavirus pandemic. Although chipmakers have a certain supply of neon, they may not be enough if what is happening in Ukraine drags on.

    Mariupol-based Ingaz produced between 15,000 and 20,000 cubic meters of neon per month, supplying it to various customers in Taiwan, South Korea, China, the US and Germany. Moreover, about 75% of the shipped neon went to the production of microcircuits. As for the Krion plant based in Odessa, it monthly synthesized from 10 to 15 thousand cubic meters of neon per month. Production at this plant was stopped on 24 February.

    Ukrainian neon is reportedly a by-product of steel production in Russia. In Ukraine, it was purified and prepared for further use.

    So, you can't just make new factories out of nothing, you also need huge steel industry. And all Chinese neon is already used by industry.

    Price already increased 4x and expected to rise another 7 to 10 times.

  • 5 Replies sorted by
  • This is bad news

  • @endotoxic just the beginning of bad news. Millions will die of hunger this year.

    How much of the world's wheat does Ukraine produce? Data from the International Trade Centre shows Russia and Ukraine combined produce about 26 percent of the world's wheat exports.Mar 1, 2022

    No planting this year in Ukraine.

    “Conflict is a main driver of hunger and food insecurity in the world,” said the UN’s World Food Programme (WFP) executive director David Beasley in a statement. “We now have 283 million people marching towards starvation with 45 million knocking on famine’s door. The world cannot afford to let another conflict drive the numbers of hungry people even higher.

    “The Black Sea basin is one of the world’s most important areas for grain and agricultural production, and the food security impact of the conflict will likely be felt beyond Ukraine’s border, especially on the poorest of the poor.”

    “We get 50% of our grains out of the Ukraine-Russia area; it is going have a dramatic impact on food costs, shipping costs, oil and fuel,” said Beasley in a social media video posted from Yemen.

    “Just when you think it couldn’t get worse, it gets worse. This is a catastrophe on top of catastrophe here in Yemen.”

  • @radikalfilm

    No planting this year in Ukraine.

    This is simply not true. Still there is winter, so this pessimistic view is to early to project.

    For areas inside the occupied zones there is no front fights so basically agriculture should be able to operate at some level.

    The same for most of the rest of the country as the most heavy fighting is concentrated around mayor cities, airfields and military compounds.

    Sure, seeds, fertiliser and diesel for tractors is probably going to be problematic at some level, but certainly not a total black out across the whole Ukraine.

  • @EspenB

    In areas freed from Nazis preparation are in full swing with fuel and fertilizers being provided almost for free now.

    But on still occupied territories situation is bad, as 90% of all fuel tanks are destroyed, same is true for many fertilizers storage places (as some of them can be used as explosives). And it is very dangerous to travel on roads or do any work now. As Ukraine is now ruled by big crime gangs who got lot of uncontrolled guns.