THE CRUNCH
Pacific Quartz has received qualification for high-purity quartz to be used in semiconductor equipment and DRAM manufacturing. This approval allows Chinese companies to secure a domestic supply of the material, which is essential for chip production. Despite this progress, the company notes that it cannot yet break America's monopoly on the product, with Spruce Pine in the US still holding the dominant position in a
The qualification marks a step toward reducing China's reliance on foreign materials for its semiconductor industry. High-purity quartz is a critical component in the furnaces used to make silicon wafers, and having a domestic source helps insulate Chinese manufacturers from potential export restrictions. However, the industry remains highly concentrated, with Spruce Pine in North Carolina historically supplying the vast majority of the world's high-grade quartz. Pacific Quartz's success suggests that diversification is possible, but the US supplier still holds the crucible monopoly.