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Priyanshu Rajawat also crashed out in the men's singles opening round.
Playing his eighth tournament this season, Srikanth finally got some momentum as he made his first last-four appearance in 16 months.
The 28-year-old from Hyderabad will next face top seed Korean An Se Young, who has proved her nemesis.
The Indian duo had finished second best at the Malaysia Super 1000, and India Super 750 this year.
Anmol Kharb outplayed Pornpicha Choeikeewong 21-14, 21-9 in the decider.
World No. 23 pair of Treesa Jolly and Gayatri Gopichand, world No. 53 Ashmita Chaliha and the 17-year-old Anmol Kharb registered stunning wins in the first doubles and second and deciding singles to take India through to the summit clash.
With just two teams in Group W, India were assured of a knock-out round berth even before their opening match but the team made its mark in style with the shock win over the top-seeded Chinese side.
The 24-year-old Ashmita remained the only Indian in the fray after Mithun Manjunath lost his men's singles quarterfinals while the women's doubles pairs of Treesa Jolly and Gayatri Gopichand also exited from the Super 300 tournament in the last-eight stage.
Long jumper M Sreeshankar, who won the Arjuna Award, and kabaddi coach Edachery Bhaskaran, who was chosen for the Dronacharay Award, were the Keralites to gain recognition.
The awards will be conferred on the athletes by President Droupadi Murmu at the Rashtrapati Bhavan on January 9.