Neon gas used in chip production began to reduce its price.

CTOnews.com, January 4 (Xinhua) the price of neon gas used in wafer manufacturing or semiconductor production began to decline, but it is still three times the price before the conflict between Russia and Ukraine.

The price of the precious gas in the excimer laser gas used for lithography by Pexels has soared 20 times last year. This is due to the impact of the conflict between Russia and Ukraine on the supply chain, and customers began to buy in large quantities to accumulate inventory. At one point, the price of neon gas from South Korean chipmakers reached 3000 won (about 162000 yuan) per 47 liters.

The current price is 5 million won (about 27050 yuan) per 47 liters. The price drop may be due to South Korean chipmakers' increasing use of gas from Chinese and local suppliers.

CTOnews.com has learned that factories at Samsung and SK Hynix have reduced operating rates due to falling demand for chips, which means demand for the gas is also falling.

Industry insiders say chipmakers expect neon prices to return to those before the conflict between Russia and Ukraine.