The Korean truckers strike is beginning to have a negative
Hardware

The Korean truckers’ strike is beginning to have a negative impact on Samsung’s operations in China

Rising fuel prices have threatened the jobs of truck drivers in South Korea, which is why they have been on strike for a week demanding higher wages. Korean industry has already lost more than $1.2 billion to the strike, and Samsung memory chip production in China has also been affected.

    Image source: Reuters, Byungwook Kim

Image source: Reuters, Byungwook Kim

As explained Reuters, a Korean driver’s strike is preventing a steady supply of isopropyl alcohol, which is used to clean the silicon wafers used by Samsung’s Chinese firm to make solid-state memory chips. The lag is measured by as little as a week of alcohol intake, which can disrupt solid-state memory production. Located in Xian, China, the company has two NAND chip production lines, supplying up to 43% of the production of these Samsung products, accounting for 15% of the world market globally.

Earlier this year, Samsung’s Chinese operations were disrupted by lockdowns imposed by local authorities to combat the spread of the coronavirus infection. The decline in memory production caused prices to rise. It’s possible that the drivers’ strike in South Korea will be a negative contributor to further increases in memory prices, although accelerating inflation is already contributing.

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Dylan Harris

Dylan Harris is fascinated by tests and reviews of computer hardware.

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