AI Chip Industry Faces Risks with Heavy Reliance on One Helium Source for 30% Supply

Semiconductor Industry Faces Helium Supply Crisis

The semiconductor industry is experiencing a significant helium supply crisis due to a blockade of the Strait of Hormuz, which has halted operations at Qatar’s Ras Laffan facility, the world’s largest helium production site. This facility, crucial for semiconductor manufacturing, has been offline since March 2026, causing global helium supplies to dwindle as 30% of the world’s helium comes from Qatar.

As a result, South Korea, which obtained 64% of its helium from Qatar in 2025, faces severe production risks, particularly affecting major chip producers Samsung and SK Hynix. The semiconductor sector’s reliance on helium is critical; the material’s unique properties make it irreplaceable for processes such as extreme ultraviolet lithography and wafer cooling.

While companies are implementing helium recycling and redesigning tools for efficiency, these solutions provide only incremental improvements. New helium projects in Canada, Tanzania, and Minnesota are still years away from large-scale production, leaving the industry vulnerable until the situation is resolved.