semiconductor: Russia-Ukraine conflict may affect supply chains of semiconductors: MoS IT

The supply chain of the global semiconductor industry, which was badly hit during the COVID-19 period, could see further disruption due to the Russia-Ukraine conflict, parliament was informed on Friday. Minister of State for Electronics and IT Rajiv Chandrasekhar said in a written reply that the conflict could have a significant impact on the supply of neon and hexafluorobutadiene gases which are essential for manufacturing semiconductor chips as they are used in lithography processes for chip production. . Rajya Sabha.

Ukraine and Russia are major sources of neon and hexafluorobutadiene gases.

“The Russia-Ukraine conflict has affected supply chains in many sectors, including the semiconductor industry,” the minister said.

He was responding to a question whether the ongoing war between Russia and Ukraine would have any adverse effect on the production of semiconductor chips and the automobile industry.

Chandrasekhar said, “The global semiconductor industry is already facing shortages due to supply chain disruptions during the COVID-19 period. The Russia-Ukraine conflict could create additional disruptions and affect the semiconductors supply chain, said Chandrashekhar.

Semiconductor chip shortages have affected many industries around the world, with the auto and electronics industries among the most affected. The shortage first emerged after the COVID-19 pandemic due to the lockdown and restrictions.

He stressed that the government is focusing a lot on strengthening the overall semiconductor ecosystem and ensuring that it catalyzes India’s rapidly growing electronics manufacturing and innovation ecosystem.

The government’s Rs 76,000 crore semiconductor program is focused on developing the chips and display manufacturing ecosystem in the country.

It aims to provide financial assistance to companies investing in semiconductors, showcase the manufacturing and design ecosystem and promote India’s growing presence in global electronics value chains.

Originally published at Pen 18