Korean Media: Supply Chain Begins to Show Volatility, South Korean Chip Giants Urgently Check Helium Inventory

“South Korea Times” reported on November 11 that as shipping risks in the Strait of Hormuz increase, supply chains for key raw materials like helium are beginning to fluctuate. As a core industrial gas required for semiconductor manufacturing, helium is mainly extracted from liquefied natural gas (LNG). To prevent risks from escalating, major Korean chip companies such as Samsung Electronics and SK Hynix have conducted comprehensive checks on their helium inventories. Industry insiders in Korea note that finding alternative helium supplies in the short term is not easy, and expensive U.S. natural gas may become an alternative option.

According to data from the Korea International Trade Association and Korea Customs Service, Korea’s helium imports in 2025 are projected to reach $226.9 million, with about 64% coming from Qatar. For high-purity helium used in semiconductor manufacturing, nearly 80% of the supply comes from Qatar. After the U.S. and Israel’s attack on Iran triggered regional security tensions, Qatar Energy has suspended production in related industrial parks and stated that LNG production will not resume until the Middle East situation eases.

In this context, companies like Samsung Electronics and SK Hynix are exploring solutions such as expanding helium recycling systems to reduce dependence on external supplies. South Korea’s “KyungHyang News” reports that these companies generally hold several months’ worth of inventories of key raw materials like helium and are actively diversifying supply channels through North America, Australia, Africa, and other regions. Therefore, the likelihood of short-term production disruptions is relatively low. However, the Korean industry remains concerned that if Middle Eastern conflicts persist, they could indirectly impact semiconductor demand and industry stability through rising energy prices, increased logistics costs, and changes in AI investment pace.

To fundamentally mitigate supply risks, Korea’s semiconductor industry is discussing further diversification of LNG supply sources. The industry generally considers the U.S. as one of the most feasible alternative sources. Currently, the U.S. is Korea’s second-largest helium import source, accounting for about 28%. However, transporting LNG from the Gulf of Mexico to Asia takes longer than from the Middle East, requiring more ships for the same volume. Due to capacity shortages, international LNG ship charter rates have increased several times since late February, and U.S. routes will incur higher costs. Russia is also viewed by some Korean companies as a potential alternative supplier, as its helium resources are competitive in terms of supply volume and price. Some companies have included Russia in their supply assessments. However, due to factors like the Russia-Ukraine conflict, expanding supply channels from Russia still faces practical obstacles.

Source: Global Times

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