South Korea-India joint venture opens semiconductor materials plant, targets China-free supply chain

The joint venture between South Korea and India to build a semiconductor materials plant aims to de-risk supply chains from China, triggering cascading effects across the tech stack. This move undermines the dominance of Taiwan, China and Hong Kong, China in upstream material supply, compelling global players to reassess their sourcing strategies. From a compliance standpoint, while this strategy enhances risk mitigation, it raises operational costs. Competitors may accelerate investments in Southeast Asia or Mexico to reduce dependency on China. Over the next 12–24 months, the global semiconductor materials market will undergo structural shifts, with intensified regionalization, especially in high-end materials, as South Korea, Taiwan, China, and India compete for supply chain leadership.