Helium Crisis and Prices Soaring 50%, Samsung, SK Hynix Hoard Supplies

2026-03-30

The rapidly deteriorating situation in the Middle East poses a severe threat to the global semiconductor industry. According to TrendForce, following Iranian attacks on Qatari energy facilities, alarm bells are ringing throughout the semiconductor supply chain, with spot helium prices skyrocketing by over 50%. South Korean chip manufacturers are closely monitoring developments, concerned that supply disruptions could destabilize the availability of critical raw materials including helium, diluents, ethanol, and isopropyl alcohol (IPA).

Qatar, which supplies approximately one-third of the world's helium, has seen its Ras Laffan Industrial City suffer multiple attacks, severely damaging liquefied natural gas (LNG) infrastructure. Saad al-Kaabi, CEO of QatarEnergy, revealed that the conflict has impacted approximately 17% of the country's LNG export capacity, with repairs potentially requiring 3 to 5 years.

Helium: A Critical Raw Material for Semiconductor Manufacturing

Helium plays an irreplaceable and vital role in semiconductor manufacturing processes. This inert gas is primarily used for wafer backside cooling, plasma etching, deposition processes, and lithography—serving as a core material for ensuring chip yield and performance. To date, no effective substitute for helium exists in semiconductor manufacturing.

As helium is a byproduct of LNG production, its supply is highly dependent on natural gas-producing nations. Data from the Korea International Trade Association shows that in 2025, 64.7% of South Korea's helium imports originated from Qatar. This highly concentrated supply structure has placed South Korean chipmakers at the forefront of this crisis.

Korean Manufacturers: Securing Inventory at Any Cost

Helium Crisis and Prices Soaring 50%, Samsung, SK Hynix Hoard Supplies

Facing the supply crisis, South Korean semiconductor manufacturers including Samsung Electronics, SK Hynix, and DB HiTek are implementing emergency response measures. Procurement departments at these companies have activated daily monitoring mechanisms to track supply conditions and price fluctuations of critical materials, prioritizing the securing of adequate inventory at current market prices. Supply stability has now surpassed cost control as the primary consideration.

Industry insiders note that even if peace negotiations succeed, reconstruction of Ras Laffan Industrial City could take several years, making supply shortages and price volatility medium to long-term risks. While Samsung and SK Hynix claim to have several months of helium inventory reserves, industry officials warn that if the conflict persists, risks will escalate dramatically once stockpiles are depleted-helium recovery systems can only cover approximately 20% of total demand, and the equipment is energy-intensive.

Ripple Effects Across the Industry

Beyond helium, petrochemical-derived materials such as diluents, ethanol, and IPA have also been affected. Photoresist solvent suppliers have announced approximately 20% price increases for April shipments. Bank of America analysis indicates that if supply disruptions continue for two to three months, helium prices could rise an additional 25% to 50%.

In contrast, TSMC and UMC have significantly reduced their dependence on imported helium through helium recovery rates of 60% to 75%. However, fabs must still replenish approximately 25% of daily helium losses, and recovery systems consume substantial electricity—if LNG supply disruptions trigger regional power rationing, recovery efficiency will be severely compromised.

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