Implications of Ukraine for supply chain strategy, investment

[TUK020]

COVID has probably got a lot of companies thinking hard about shortening their supply chains.
The Russian invasion of Ukraine, and the subsequent complications of dealing with both Ukraine and Russia has probably given these worries a boost.
I wonder how many companies are thinking hard about their vulnerabilities to both China and Taiwan.
Trying to understand the consequent implications for regional investment is more complicated and diffuse.
So much of the electronics and semiconductor industry has dependencies on one/the other/both.
Intel is starting to look more attractive

[odysseus2000]

COVID has probably got a lot of companies thinking hard about shortening their supply chains.
The Russian invasion of Ukraine, and the subsequent complications of dealing with both Ukraine and Russia has probably given these worries a boost.
I wonder how many companies are thinking hard about their vulnerabilities to both China and Taiwan.
Trying to understand the consequent implications for regional investment is more complicated and diffuse.
So much of the electronics and semiconductor industry has dependencies on one/the other/both.
Intel is starting to look more attractive

There are several fab plants going up in the US to tackle this danger. Meanwhile a whole host of startups are developing neurotrophic chips, processors in memory,… some of these are using old fabrication plants as the efficiency gains in these move to the “edge” technologies are significant.

There are a number of materials that Russia is a big exporter of & these can reduce growth in a wide range of industries.

Regards,

[Hallucigenia]

There's a direct link to Ukraine and semiconductors, as Odessa produces about 50% of the neon (some sources say 70%) and 40% of the krypton that are eg used in the lasers used in etching. Prices spiked 600% after Crimea was invaded, and it did prompt some new sources in the West, but they obviously haven't fully replaced Ukrainian supplies.

https://arstechnica.com/gadgets/2022/03 ... hipmaking/

Although there's a lot of focus on oil and gas at the moment, I think the big one that hasn't really hit public consciousness yet is grain supply although the grain markets are going just as crazy as oil and gas at the moment.

[odysseus2000]

Depending upon source & sums, Ukraine & Russia provide up to 30% of world wheat based products & this has spiked a lot of farming interest. Any farmer who has winter wheat planted if we have a decent summer will do very well, but the dilemma is whether to sell now or hope for better prices later.

Regards,

[Bubblesofearth]

Depending upon source & sums, Ukraine & Russia provide up to 30% of world wheat based products & this has spiked a lot of farming interest. Any farmer who has winter wheat planted if we have a decent summer will do very well, but the dilemma is whether to sell now or hope for better prices later.

Regards,

We've had pestilence and war so famine next kind of makes sense.

BoE