South Korea's Kospi index extended its losses on Wednesday, dipping more than 1% as selling pressure persisted in the technology sector.
The decline marks the latest leg in a deepening rout that has seen the benchmark index fall nearly 8% over the past two trading sessions.
The sell-off was concentrated in major chip stocks, which have come under scrutiny amid growing investor concerns regarding the sustainability of artificial intelligence spending.
Seoul's tech-heavy market has been tracking an overnight slump in U.S. technology shares, with global risk-off sentiment amplifying local selling pressure.
The sharp correction follows a period of elevated volatility in Asian equities, where semiconductor valuations have faced headwinds from shifting growth expectations.
Traders are closely monitoring whether the decline will stabilize or deepen as the session progresses, particularly given the index's recent steep drawdown.