Samsung Electronics and SK hynix have signed new long-term contracts to secure a stable supply of helium from the United States, a decisive move to protect their semiconductor production lines.
This all started in early March 2026, when Iranian strikes hit Qatar's Ras Laffan industrial city. This facility is not just crucial for natural gas; it's the world's single largest hub for helium production. The attack immediately knocked about one-third of the global helium supply offline. Helium is indispensable in chip manufacturing for cooling, etching, and creating inert environments. The sudden shortage sent shockwaves through the industry.
For South Korea, the situation was particularly alarming. In 2025, the country imported nearly 65% of its helium from Qatar, making its world-leading memory chip industry highly vulnerable. The disruption meant that without a new source, fabs could face shutdowns, impacting everything from smartphones to data centers globally.
First, Korean authorities and companies implemented short-term measures. They confirmed having enough inventory to last until June and secured an emergency four-month supply from the U.S. and other sources. This created a crucial window to find a more permanent solution.
That solution came in the form of these new long-term agreements with industrial gas giants Linde and Air Products. By anchoring their supply to U.S. feedstock, Samsung and SK hynix have effectively shifted their dependency away from the volatile Middle East. This move not only hedges against geopolitical risk but also provides volume certainty, albeit reportedly at a higher price. For suppliers like Linde and Air Products, this crisis has translated into greater market power and long-term revenue streams.
- Force Majeure: A legal clause in contracts that frees parties from liability when an extraordinary event or circumstance beyond their control prevents them from fulfilling their obligations.
- Cryogenic Boil-off: The process where a cryogenic liquid, like helium, slowly evaporates or "boils off" back into its gaseous state, even when stored in insulated containers. This makes long-distance transport and storage complex.
- Ras Laffan: A major industrial city in Qatar that is the world's largest site for liquefied natural gas (LNG) production and a primary source of global helium supply.