
From Diet Coke To AI Chips: How The Iran War Is Causing Critical Global Shortages
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The Iran war is causing significant global supply chain disruptions, impacting everything from snack packaging to AI chips. Japan's largest snack maker, Kalby, will switch to black and white packaging due to a shortage of Napa, an ink ingredient imported from the Middle East. This is a consequence of the Strait of Hormuz closure, stemming from US and Israeli attacks on Iran.
In India, a lack of aluminum has led to Diet Coke scarcity, with the drink becoming a luxury item. Restaurants face closure due to cooking gas shortages, and ceramic factories have halted production due to natural gas issues. Qatar has stopped helium production, affecting MRI machines, AI chips, smartphones, and electric vehicles. Tungsten, crucial for AI chips and armor-piercing munitions used in the war, is also becoming scarce as US and Israeli stocks deplete. Furthermore, one-third of global nitrogen and phosphate shipments are impacted, threatening fertilizer supplies and potentially causing food prices to skyrocket.
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