ICT Supply Chain: Market Insights & 2025 Outlook
In today’s rapidly evolving ICT landscape, OEMs and manufacturers face unprecedented challenges and unprecedented opportunities. Geopolitical tensions, technological breakthroughs, and shifting production models are redefining where and how ICT products are designed, manufactured, and delivered.
5G technology is at the core of this transformation. Valued at $20.13 billion in 2023, the global 5G market is projected to surpass $2.80 trillion by 2036, with a compound annual growth rate (CAGR) of 46.2%. This explosive growth is driving new demand for semiconductors, components, and network equipment, while accelerating the relocation of the supply chain from China to emerging New Southbound countries.
The chart below highlights the Export Forecast of ICT Products to Key New Southbound Countries—illustrating how Vietnam, Malaysia, and India are rapidly becoming the next engines of ICT manufacturing growth.
Key Insights
The "China+1" strategy has reshaped global manufacturing, with Vietnam emerging as the world's fourth-largest communications equipment manufacturing center.
5G technology is driving critical market opportunities across semiconductor chips, key components, terminal devices, and network equipment.
Digital manufacturing platforms are revolutionizing procurement by reducing transaction costs and increasing supply chain transparency.
Hybrid manufacturing models, combining regional advantages such as Taiwan's technical expertise with Vietnam's cost structure, provide optimal resilience and efficiency.
Supply chain optimization delivers measurable benefits in customer satisfaction, operational agility, business resilience, profitability, and sustainability.
Who Should Read This Report
Procurement Directors and Supply Chain Executives seeking strategies to mitigate geopolitical risks while optimizing costs.
Product Development Leaders navigating the complex landscape of 5G component sourcing and DFM optimization.
Manufacturing Strategists evaluating local production versus outsourced manufacturing models.
C-Suite Executives responsible for long-term supply chain resilience and digital transformation.
Why This Report Matters
As global supply chains transform in response to trade tensions, technology shifts, and changing consumer demands, organizations must develop more resilient, efficient, and sustainable procurement strategies. This report delivers market forecasts and strategic opportunities to help you navigate 2025 and beyond.
FAQ
Q1. What ICT components are driving the fastest export growth in Southeast Asia?
The strongest demand is in semiconductor chips, RF antennas, power modules, and thermal management components. These ICT products are essential for 5G networks, smartphones, and IoT devices, and are forecasted to see the highest export growth toward 2030.
Q2. How will 5G devices impact ICT product sourcing strategies?
The rollout of 5G devices and network equipment creates surging demand for high-frequency components and advanced design-for-manufacturing (DFM) optimization. Sourcing strategies must diversify across Vietnam, Malaysia, and Taiwan to balance cost efficiency and supply chain resilience.
Q3. Why is semiconductor supply chain diversification essential for ICT manufacturers?
Semiconductors remain the backbone of ICT manufacturing, but geographic concentration exposes companies to geopolitical and logistics risks. Diversifying the semiconductor supply chain through New Southbound countries helps ensure stable access to critical ICT components while leveraging regional incentives.
Q4. How does the China+1 strategy affect ICT product exports?
The China+1 strategy is accelerating ICT supply chain relocation. Vietnam has already become the world’s 4th-largest communications equipment exporter, while Malaysia and India are capturing more ICT product assembly and testing. This shift creates new opportunities for OEMs and component suppliers.
Q5. What advantages do hybrid manufacturing models bring to ICT companies?
Hybrid models—combining Taiwan’s technical expertise with Vietnam’s scalable production—deliver agility, cost efficiency, and improved supply chain resilience. For ICT products such as enclosures, PCBs, and power modules, this approach enables both quality assurance and competitive pricing.
Q6. How can digital manufacturing platforms optimize ICT procurement?
Platforms streamline ICT procurement by reducing transaction costs, improving supplier transparency, and shortening RFQ-to-delivery cycles. For ICT components like heat sinks, casings, or PCBs, digital platforms make it easier to evaluate multiple suppliers and track real-time progress.
Q7. How can I access the full ICT Supply Chain Outlook Report?
Simply fill out the form below, and you’ll receive instant access to the full report. The report includes export forecasts, market insights, and practical KPI templates designed to help ICT manufacturers and procurement leaders prepare for 2025 and beyond