New visa system aims to rejuvenate local industries, schools

Local authorities aim to rejuvenate their industries and schools by attracting foreign workers and students under a new visa system introduced to fit their needs.

The Ministry of Justice approved a proposal by the Busan city government last week to allow 1,000 additional foreign students over the next two years to study semiconductors, electric vehicle batteries and other areas related to “car parts of future” at colleges and universities in Busan.

Previously, those who wished to apply for student visas in the city were required to demonstrate their financial capacity ― a bank statement showing at least 16 million won ($11,000). Under the new system, that condition has been eased to 8 million won. Moreover, students who majored in one of these areas will be allowed to work as interns during their final semester, such as the fourth semester for two-year college students.

City officials aim to help students find employment in key industries that they consider vital for the future of Busan's economy.

Last year, city officials designated Busan's Gijang and Gangseo districts ― a total of 1.89 million square meters ― under its economic strategy to develop the areas as industrial hubs for semiconductors and green cars. The visa plan is interrelated with that economic vision, according to Busan Mayor Park Heong-joon.

With the introduction of the new visa system, the central government aims to assist city and provincial offices. For years, local authorities had voiced concerns that the centralized visa policy was insufficient to meet their unique needs. In response, the government eventually allowed them to create a new, more effective system tailored to their requirements.

After collecting proposals for three months from December 2024, the government approved 14 of them. These proposals are expected to attract over 5,500 foreign students and workers, helping to boost local economies amid the outflow of young people seeking opportunities in Seoul as well as Korea's shrinking population.

In Daegu, the authorities are focusing on attracting technology experts.

Under the visa system, they aim to attract and assist around 100 experts in securing jobs in Daegu by relaxing academic and career requirements for foreign nationals to obtain E-7 visas. These visas will allow them to work in fields such as data analysis, robotics engineering, bioscience, semiconductors, and future mechanical engineering.

For example, a master’s degree in robotics engineering is no longer required for those who wish to work in that field if they have a bachelor’s degree and a year of relevant experience.

“In an era of global competition for talent, attracting talented workers and integrating them into society is now key to regional development,” said Park Ki-hwan, director general of the city government’s financial department.

Meanwhile, international students attending schools at Incheon’s Songdo, home to Incheon Global Campus, can now renew their visas every two years instead of one, thanks to a rule change approved under the new visa system. SUNY Korea, George Mason University Korea, Ghent University Global Campus and the University of Utah Asia Campus are among the schools situated there.

As part of its broader efforts to attract more talented workers from overseas, the Ministry of Justice also launched its top-tier visa program. Under the system, those who have eight years of experience in certain industrial fields can obtain an F-2 visa, which permits them to work in Korea for three years before becoming eligible to apply for permanent residency.

Potential candidates must have advanced degrees from one of the top 100 schools and at least eight years of work experience ― including at least three years at one of the top 500 companies. Universities and companies in Korea, such as KAIST, Samsung Electronics and Hyundai Motor, also count.

The government hopes that all these visa programs will help Korean firms stay competitive in the global marketplace and secure a sufficient workforce to operate what is necessary to keep the economy growing, especially for non-capital regions where the demographic crisis is felt more acutely.

According to a report recently released by the state-funded Korea Employment Information Service, the size of Korea’s economically active population is predicted to start declining in five years, and the country will face a shortage of 820,000 workers by 2033 due to a lack of newborns.

Acting Justice Minister Kim Seok-soo said he would continue to develop the new visa system led by local officials as one of the key immigration policies, adding that more collaboration and cooperation with them would be required to make it a success.