The Electronics Value Chain and Its Raw Materials: An Overview

Infinita Lab
6 min readFeb 19, 2024

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Electronics are everywhere in our modern world, from smartphones and laptops to cars and airplanes. They enable us to communicate, work, learn, entertain, and travel. But have you ever wondered what goes into making these devices and how they are connected to the natural resources of our planet? The internet itself relies on a worldwide network of cables crossing great distances and waters to transmit data. Our insatiable and increasingly digital lives depend upon planetary resources.

A Closer Look at the Electronics Value Chain

The electronics value chain is the process of transforming raw materials into finished products that are used in various applications and sectors. The process of electronic device manufacturing involves several key stages. Firstly, there’s the extraction and production of raw materials, which encompasses the mining, refining, and processing of essential minerals and metals such as silicon, copper, gold, silver, tin, tantalum, cobalt, lithium, and rare earth elements.

Following this, the cell component manufacturing phase comes into play. This step involves creating the fundamental building blocks of electronic devices, including semiconductors, capacitors, resistors, transistors, diodes, LEDs, and microchips. These components are crafted by depositing thin layers of materials onto silicon wafers, which are then cut into smaller units known as dies.

Subsequently, the cell assembly process takes center stage. Here, the individual components are assembled into functional units like integrated circuits, memory cards, batteries, displays, and sensors. These units are then mounted on printed circuit boards (PCBs), which serve as the structural backbone of electronic devices. PCBs are typically made from a combination of fiberglass, epoxy, and copper traces to connect the various components seamlessly.

Finally, the life cycle of electronic devices involves recycling. This crucial step focuses on recovering and reusing valuable materials from electronic waste (e-waste). E-waste is generated when electronic devices become obsolete or damaged. Recycling plays a pivotal role in mitigating the environmental impact of e-waste and conserving scarce resources for sustainable electronic production.

The Essential Role of Raw Materials in Electronics

Raw materials are the foundation of the electronics value chain, as they provide the physical and chemical properties that enable the functionality and performance of electronic devices. Let’s look at some examples below:

Silicon (Si)

Silicon, widely utilized in semiconductors, serves as a key element in microchips and integrated circuits. Its abundance, cost-effectiveness, and amenability to doping with other elements facilitate the creation of diverse transistors for switching, amplification, or signal storage.

Copper (Cu)

Copper (Cuprum), renowned for its conductivity, ductility, and corrosion resistance, takes center stage in manufacturing electrical wires and traces. These components play a vital role in connecting different elements and transmitting electrical currents.

Gold (Au)

Gold (Aurum) assumes a pivotal role in crafting electrical contacts and connectors, ensuring stable connections between components and printed circuit boards (PCBs) due to its conductivity, inert nature, and durability under various conditions.

Silver (Ag)

Silver (Argentum), with its reflective, efficient, and versatile properties, is widely used in creating LEDs, contributing to light production and image display.

Tin (Sn)

Tin (Stannum), prized for its low melting point, malleability, and compatibility with other metals, emerges as the preferred material for solder, facilitating robust bonding between components and PCBs.

Tantalum (Ta)

Tantalum finds its prominence in capacitor manufacturing, offering high capacitance, stability, and resistance to heat and corrosion. It excels in storing and releasing electrical charges within small dimensions.

Cobalt (Co)

Cobalt, electrochemically active and durable, plays a crucial role in crafting lithium-ion batteries, enhancing energy density, safety, and lifespan.

Lithium (Li)

Lithium, being light, reactive, and abundant, takes center stage in the electrolyte of lithium-ion batteries, enabling the flow of ions between electrodes and providing high voltage, capacity, and efficiency.

Rare Earth Elements

Rare earth elements, a group of 17 metals — Lanthanum (La), Cerium (Ce), Praseodymium (Pr), Neodymium (Nd), Promethium (Pm), Samarium (Sm), Europium (Eu), Gadolinium (Gd), Terbium (Tb), Dysprosium (Dy), Holmium (Ho), Erbium (Er), Thulium (Tm), Ytterbium (Yb), Lutetium (Lu), Scandium (Sc), and Yttrium — contribute to various electronic components like magnets, lasers, speakers, and cameras. With unique magnetic, optical, and catalytic properties, rare earth elements elevate electronic device performance, functionality, and miniaturization.

The Dual Landscape of Challenges and Opportunities in Electronic Manufacturing

The electronics value chain, along with its raw materials, grapples with various challenges and opportunities that span environmental, economic, and societal domains.

Environmental challenges arise from the extraction and production of raw materials, manifesting in adverse impacts such as land degradation, water pollution, greenhouse gas emissions, and biodiversity loss. Additionally, the disposal of e-waste poses risks like toxic leaching, soil contamination, and resource depletion. In response, adopting sustainable practices becomes imperative, involving the reduction of hazardous material use, increased resource utilization efficiency, and the promotion of a circular economy for electronics.

On the economic front, the electronics value chain and its raw materials present promising opportunities. They contribute to job creation, income generation, innovation, and competitiveness, positioning the electronics industry as a major global sector. This industry’s growth has far-reaching implications in fields like information and communication, health, education, and energy. Nurturing this development involves strategic investments in research and development, enhancing workforce skills, and ensuring the accessibility and affordability of electronic devices.

However, social challenges also permeate the electronics value chain. Issues such as human rights violations, labor exploitation, conflicts, and inequality may arise. The extraction and production of raw materials may involve practices like child labor, and forced labor, or involve armed groups, impacting the rights and dignity of workers and communities. Furthermore, the distribution and consumption of electronic devices can contribute to digital divides, exacerbating gaps between the rich and poor, urban and rural, and developed and developing regions. Addressing these social challenges necessitates a commitment to the social responsibility of the electronics value chain, including the adherence to human rights and labor standards, promotion of peace and security, and enhancement of digital inclusion and empowerment for all.

Closing Words

The electronics value chain and its raw materials are essential for modern society, as they enable us to enjoy the benefits of technology and innovation. However, they also pose significant challenges and opportunities for the environment, the economy, and society as a whole. Therefore, it is important to understand the electronics value chain and its raw materials and to take action to make it more sustainable, responsible, and inclusive. By doing so, we can ensure that the electronics value chain and its raw materials can contribute to the well-being of the planet and the people.

Businesses can employ green chemistry and more efficient production processes. Scientists can develop alternative materials and recycling innovations. Policymakers can implement extended producer responsibility and establish ethical supply chain standards worldwide. As businesses and consumers, we can advocate for corporate transparency, use durable and repairable electronics, and properly dispose of them when worn out. Pursuing sustainability across the entire electronics lifecycle — from raw materials to end-of-life — requires united action across industries, borders, and societies. With care and imagination, we can build an electronics ecosystem that delivers innovation while respecting our shared planet.

About Infinita Lab

Infinita Lab is a material testing lab with a vast network of accredited labs in the United States. We offer fully managed end-to-end testing services and are a material testing partner to Fortune 500 companies.

Our network of labs uses state-of-the-art equipment and our experienced team provides accurate and timely testing services to meet the unique needs of our clients.

Our services include Metrology, Materials Testing, and Product Testing. We have delivered over 20,000+ tests to more than 1500+ satisfied clients. For more information on how we can assist you, please reach us at hello@infinitalab.com.

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Infinita Lab

We are a material testing lab with a vast network of accredited labs across the US https://infinitalab.com/