SMT007 Magazine

SMT007-May2022

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12 SMT007 MAGAZINE I MAY 2022 of the world's neon supply comes from Russia and Ukraine. Although neon gas is a small frac- tion of semiconductor manufacturing in dol- lar value, a close-knit operation cannot toler- ate any missing link in the chain. Other metals, such as titanium (Ti) that is crucial for manufacturing jet airplanes and military aircra, has been heavily sourced from Russia. By its high strength, light weight and corrosion-resistance, titanium is a unique metal and cannot be readily substituted. Even though some materials may not risk the direct exposure, indirect impact is expected to trickle down throughout the global supply chain. ere is a slight bright side. Reportedly, semiconductor manufacturers may not experi- ence the immediate threat resulting from the Russian invasion of Ukraine. e major man- ufacturers have been compelled to shore up inventory on key supplies by reassessing their supply chains and to improve the way to man- age logistics during the coronavirus pandemic to minimize the uncertainties and shortage of supplies. e escalated vulnerability and uncertain- ties of essential and critical metals, minerals, and materials may potentially exasperate the adverse impact on the assurance of the nation's economy and national security. Accordingly, what are the specific metals, minerals, and materials that should be deemed critical to a robust economy and impeccable national security? What should constitute the key strategic tenets? What are effective, logi- cal tactics and, more importantly, the decisive actions to be taken? Critical Metals and Elements Criticality of elements, materials, and miner- als goes to those that the U.S. has little control of, such as those lacking or absent of domes- tic natural resources, and those import-cen- tric. Additionally, criticality also goes to those required for mission-critical end-uses. I have spared no effort to not put the Peri- odic Table here. Essentially, three of the top groups of elements on my list include: • Essential elements, such as, Ti, W, Mo, Co, Ni, Cu • Minor metals and precious metals, such as Ga, In, Te, Li, Pd • Rare earth elements (REE), particularly the light rare earth elements among the 17 REE Taking the rare-earths group into exami- nation, the 17-element group valued for their magnetic and conductive intrinsic proper- ties, serves critical functions in a wide range of technologies and applications as the basic materials for making components in smart- phones, electric cars, and missile defense sys- tems. It is estimated that China mines a major- ity of the world's rare earths minerals, which ranges from 55–90%, varying with the source and methodology of estimates. e rare earths' refining process is also dominated by China. Recently, China further enhanced its position by merging rare-earths assets in the nation; this tactic further strengthens its pricing power and avoids infighting among domestic compa- nies. 1 Strategic Considerations e essence of the U.S. strategy should focus on the end-game, i.e., how to become less vul- nerable, more self-controlled, increasingly self- reliant, and to be positioned for ready access and competitive cost structure to ensure a Other metals, such as titanium (Ti) that is crucial for manufacturing jet airplanes and military aircraft, has been heavily sourced from Russia.

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