Optimising Industry Linkages and Supply Chain Networks for Semiconductor Growth in ASEAN and East Asia

The semiconductor industry has emerged as a strategic pillar of the global economy, driven by the rapid growth of digital technologies, artificial intelligence, electric vehicles, and advanced manufacturing. At the same time, recent geopolitical tensions and supply chain disruptions have exposed the vulnerabilities of highly concentrated semiconductor production networks, prompting renewed efforts to diversify and regionalise global supply chains.

In this evolving landscape, ASEAN is increasingly positioned as an important emerging hub within the global semiconductor ecosystem. This book examines the expanding role of ASEAN Member States across the semiconductor value chain, ranging from raw materials supply and assembly, testing, and packaging to chip design, fabrication, and innovation-driven activities. It analyses the region’s key competitive advantages, including its strategic geographic location, growing industrial capabilities, skilled workforce, and abundant critical mineral resources, while also identifying the structural and technological constraints that continue to limit progress into higher-value segments of the industry.

The book further introduces the ASEAN Framework for Integrated Semiconductor Supply Chains (AFISS) as a strategic regional initiative aimed at strengthening supply chain resilience, deepening industrial integration, promoting innovation, and supporting ASEAN’s long-term transformation into a globally competitive semiconductor hub.