An IC fabrication machine (+ cleanroom around it) doesn't get more efficient if you heap 100 of 'm together. Sure there's economies of scale. But @ some point

An IC fabrication machine (+ cleanroom around it) doesn't get more efficient if you heap 100 of 'm together. Sure there's economies of scale. But @ some point you get diminishing returns, where many-billion $ investment is needed to eek out another few % of margin. And if latest tech is too high a bar: older process nodes are simpler / cheaper. No reason a country of 10M+ can't have a few of their own to manufacture uC, automotive chips, jellybean stuff like opamps, etc. And don't forget supply line issues like shipping IC's across the world just to package them. Just wasteful. Having only the very latest tech made elsewhere, would be a good start. Agree with 2/3/4 of OP. Not always possible, but should be tried.