North Caroline produces most of the vital material needed to make semiconductors
of ConsumerAffairs
The aftermath of Hurricane Helene has struck a blow to the semiconductor industry. The massive flooding that devastated Asheville, N.C., also hit the small town of Spruce Pine, about an hour away.
Spruce Pine, N.C., just happens to be the worlds biggest source of a material known as ultrapure quartz. Its a vital component in the manufacturing of crucibles, which are used to manufacture computer chips.
Ultrapure quartz is needed to produce expensive consumer tech products. Its durability makes it an important component that is in high demand. Its part of the $500 billion microchip industry and is used around the world.
The small North Carolina community produces about 70% of the natural ultrapure quartz that is used in high-tech industries and thats the problem. Two companies operating from Spruce Pine, Quartz Corp and Unimim, produce most of the vital material.
Because of the massive flooding, at least one of the firms has suspended operations, telling Wired that it is working to resume operations as quickly as possible, but things came to a standstill last week and theres no timetable for getting back to work.
Industry experts say the issue is not limited to damage at the production plants. They note the devastation to vital infrastructure in the region could limit the transport of the materials.
Just as with the longshoremens strike against East Coast and Gulf Coast ports, even fairly brief delays in transportation can snarl supply chains and raise prices.
What about the current stockpiles of the materials? A large supply would be helpful and mitigate inflationary pressure, but its not clear how much ultrapure quartz tech companies have on hand.
Photo Credit: Consumer Affairs News Department Images
Posted: 2024-10-02 02:00:18
