Iran crisis could disrupt semiconductor sector

The U.S.-Israel war with Iran could disrupt supplies of key semiconductor manufacturing materials, a South Korean ruling party lawmaker said, as the conflict ⁠in the Middle East entered its sixth day.



South Korea's chip industry, which supplies around two-thirds of global memory chips, is also concerned that a prolonged conflict in Iran will lead to higher energy costs and prices.



The warnings come as chipmakers grapple with severe supply bottlenecks due to surging chip demand from AI data centre operators that has tightened supplies to many other industries, including smartphones, laptops and automobiles.