China suddenly slammed the helium valve shut—global chip industry takes a heavy blow, while domestic helium production hits the accelerator.

By Wang Xinxǐ On July 10, the Ministry of Commerce’s official website posted a brief announcement—just over one hundred characters long, yet carrying enormous weight: helium gas is placed under temporary export prohibition, effective immediately upon publication. This ban does not target low-purity helium sold for a few yuan per bottle at roadside stalls; rather, it covers high-purity helium with minimum purity of 99.999%—and extends upward to ultra-high-purity electronic specialty gases rated at 6N or even 9N levels. This substance is the ‘industrial lifeblood’ of semiconductor manufacturing—the critical coolant for EUV lithography machines—and is nicknamed the ‘golden gas.’ Its strategic value rivals that of rare earths, tungsten, and germanium. China itself is among the world’s largest helium importers: in 2025, it imported 4,913 tons—over 80% of its domestic supply sourced externally. A pure buyer suddenly welding shut its export gate signals the most lucid self-defense amid an utterly fractured global supply chain. With two major global helium suppliers simultaneously going silent, China has no choice but to safeguard its own interests. Global helium production capacity is dominated by just four countries: the U.S. accounts for over 40%, Qatar over 30%, and Russia and Algeria each about 10%. The U.S. classifies helium as a critical mineral, incorporating it into its national defense stockpile framework and export control regime—including end-user and end-use verification. As a result, China’s direct helium imports from the U.S. have declined year-on-year, shifting procurement toward Qatar and Russia. At the end of February this year, the Strait of Hormuz was blocked due to U.S.-Iran tensions—halting Qatar’s helium shipments from the Persian Gulf. As one of the world’s top helium producers, Qatar’s production facilities also suffered damage. In March, Qatar’s largest helium production base was directly attacked and damaged. Qatar officially acknowledged that full restoration will take at least three to five years. Russia announced it would extend helium export controls through the end of 2027, slashing quotas to Asian markets—including China—to just 40% of last year’s level, citing surging domestic demand from its military-industrial and optical fiber sectors. The simultaneous disruption of these two major supply sources effectively cuts global helium supply by nearly 40%—a shortfall impossible to bridge in the short term. Helium is exclusively a byproduct of natural gas processing; building a new helium extraction facility takes at least three to five years—too slow to address urgent needs. The result? Prices skyrocketed. Overseas, semiconductor manufacturers in Japan, South Korea, and Europe scrambled desperately for supplies; headlines about critically depleted inventories surfaced repeatedly. China had no option but to act swiftly—imposing export controls on helium to prioritize domestic output and processed helium for its own semiconductor and other strategic industries. In the real world, helium is the ‘lifeblood’ of modern industry—especially of many cutting-edge sectors. In chip manufacturing—lithography, etching, ion implantation—it is indispensable. A single lithography machine costs hundreds of millions of RMB; helium cooling is essential for its operation. Without it, production lines grind to a halt. Helium is also used to pressurize rocket fuel tanks and purge storage vessels in aerospace applications. In hospitals, superconducting magnets inside MRI scanners must be cooled with liquid helium. For the optical fiber industry, helium cools and protects fibers during the drawing process. Calling it the ‘golden gas’ is no exaggeration. For such an unassuming yet strategically vital material, we must prepare for the worst-case scenario. Although China imports large volumes, it is also a key hub for helium purification, processing, and re-export. Some helium is imported, purified to 5N or 6N grade, then re-exported. The EU, Japan, South Korea, and even the U.S. all source helium via this channel.

The Ministry of Commerce and the General Administration of Customs have imposed temporary export prohibition measures on helium gas—what information deserves attention?

Everyone knows Qatar is a wealthy oil-rich nation—but its wealth stems not only from oil, but also from helium. Qatar’s North Field is the world’s largest natural gas field, and helium is precisely a byproduct extracted during natural gas production. Qatar’s helium production is concentrated in Ras Laffan Industrial City—a major industrial hub located about 80 km north of Doha—supplying approximately 25% to 30% of global helium demand. Helium extraction facilities operated by QatarEnergy consistently deliver billions of cubic feet of liquid helium annually to global markets. However, for well-known reasons, since March this year, two primary LNG production lines—and their associated helium extraction infrastructure—have been severely damaged by Iranian military strikes. According to assessments by multiple international energy agencies, this attack slashed Qatar’s helium production capacity by over 60%, abruptly cutting off roughly one-third of global helium supply. Now consider another major helium exporter—Russia. Russia holds the world’s second-largest helium reserves, concentrated mainly in the Chayandinskoye and Kovyktinskoye gas fields of Eastern Siberia. In 2021, Gazprom commissioned a large-scale helium extraction facility at its Amur Gas Processing Plant, designed for an annual capacity of 60 million cubic meters—once hailed globally as the ‘second pole’ of helium supply. Following the outbreak of the Russia-Ukraine war, Western sanctions gradually intensified. Though not explicitly targeting helium, restrictions on transportation, insurance, and financial settlement inevitably undermined helium exports. Moreover, as the war continues, Russia’s rocket launches, nuclear submarine maintenance, and military electronics manufacturing all require massive helium volumes—making prioritization for domestic defense use a logical, unsurprising decision. Although Russia has recently increased helium exports to Asian countries—including China—partially alleviating China’s helium shortage following Middle East tensions (and contributing to a modest price decline), it cannot compensate for the massive supply gap left by Qatar’s crippled output. Beyond that, other major helium-producing nations—including the U.S.—have also imposed export controls. Since 2018, U.S. helium exports abroad have declined year after year.

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