Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(1)

Capital transactions between foreigners and local residents

Any person intending to perform capital transaction s shall submit a report on such capital tran sactio ns to the M inister of Strategy and Finance pu rsuant to the Enfo rcement D ecree of the Foreign Exchange Transactions Act. In case of trivial or standardized capital transaction prescribed and an nounced by the M in ister of Strategy and Finance, how ever, no report may be made.

O Fo r capital tran saction s w h erein th e sub m ission of a rep ort is ex clu d ed and d etails to be repo rted , see A rticle 7 (C ap ital Tran sactio ns) of th e F or eign Ex ch an g e T ransactio n s R egu latio n .

N ote, ho w ev er, th at fo reig n in v estm ent p u rsu an t to A rticle 2 (1 )4 of the F oreig n Inv estm ent Pro m o tio n A ct shall be rep orted , an d p erm ission sh all be o b tained un d er th e Fo reig n In v estmen t Pr om o tio n A ct.

- A ny f oreig n er in ten ding to perfo rm f oreig n in v estm ent b y acq u irin g to -b e- issu ed o r already issu ed stock s by a co m p any ru n b y K or ean co rp o ratio ns o r n atio nals o f the R ep u b lic o f K o rea sh all su bm it a co rrespo n ding rep or t to th e M in ister o f K no w led g e E co n om y .

- A n y fo reign er in ten d ing to p erfo rm fo reign inv estm ent eq u iv alent to th e loan o w ed for m ore th an 5 years sh all su bm it a corr esp o nd in g repo rt to the M in ister o f K n ow led g e E con o m y.

- A n y fo reig ner in tend in g to p er form fo reig n in v estm en t v ia su b scrip tio n to no n -pr ofit research corp o ratio ns th at m eet the criteria as p rescrib ed in th e En fo rcem en t D ecree o f th e F o reig n In v estm en t P ro mo tion A ct o r an y other no n -pr ofit co rp oration au th o rized by th e Fo reig n In v estm en t C o m m issio n sh all sub m it a co rresp on d in g rep ort to th e M in ister o f K n ow led g e E con o m y.

A rticle 1 8 o f th e F oreig n E x ch an ge Tr an sactio ns A ct

A rticles 5 -2 of the F oreig n

In v estm ent P ro mo tion

A ct

M in istr y o f S trateg y an d F in ance

M in istr y o f K n o w led ge E con o m y

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(2) Restrictions and

procedures related to a foreigner's acquisition and disposal, etc., of securities

F o r e ig n I n v e s to r s s h a l l a c q u i r e th e d o m e s ti c s e c u r it ie s d e n o m in a te d in W o n c u r r e n c y in a c c o r d a n c e w ith A r tic l e s 7 - 3 6 a n d 7 - 3 7 o f th e F o r e ig n E x c h a n g e T r a n s a c tio n s R e g u la ti o n s .

I f a f o r e ig n e r ( p e r s o n w it h d o m ic i le o r r e s id e n c e in th e R e p u b l ic o f K o r e a f o r l e s s th a n s ix m o n th s ) o r a f o r e ig n c o r p o r a ti o n i n t e n d s to a c q u ir e s e c u r iti e s o r e x c h a n g e - tr a d e d d e r iv a tiv e s , t h e F in a n c ia l S e r v ic e s C o m m is s i o n m a y p r e s c r ib e a n d p u b li c l y a n n o u n c e t h e l im i ts o n th e a c q u is iti o n o f s e c u r i ti e s o r e x c h a n g e - t r a d e d d e r iv a ti v e s b y ty p e o f b u s in e s s , ty p e o r is s u e , a n d it e m o f s e c u r it ie s .

A n y fo re ig n er o r f o r eig n c o r p o r atio n , etc., in te n d in g to tr ad e liste d se cu ritie s o r e x c h a n g e- tra d e d d e riv ativ es s h a ll o b s er v e th e fo llo w in g g u id e lin e s:

1 . W h e n tr a d i n g l is te d s e c u r i ti e s :

( a ) E x c e p t a s p r e s c r ib e d a n d p u b l ic ly a n n o u n c e d b y th e F i n a n c ia l

S e r v ic e s C o m m is s io n , tr a d e th r o u g h s e c u r iti e s e x c h a n g e .

( b ) S a t is f y t h e g u i d e l in e s p r e s c r ib e d a n d p u b l ic ly a n n o u n c e d b y th e F in a n c ia l S e r v ic e s C o m m is s io n c o n c e r n i n g th e o p e n in g o f tr a d in g a c c o u n t s , s a f e k e e p in g o f p u r c h a s e d s e c u r itie s , a p p o in tm e n t o f a

d o m e s tic a g e n t, r e p o r ti n g o n d e ta ils o f tr a d in g , a n d o th e r m a tte r s .

2 . W h e n t r a d in g e x c h a n g e - t r a d e d d e r iv a t iv e s , s a t is f y t h e g u i d e l in e s p r e s c r ib e d a n d p u b lic l y a n n o u n c e d b y t h e F in a n c i a l S e r v ic e C o m m is s i o n c o n c e r n in g th e o p e n in g o f tr a d in g a c c o u n t s , r e p o r tin g o n d e t a ils o f tr a d i n g , a n d o t h e r m a t te r s .

O N o t e , h o w e v e r , t h a t ( 1 ) t h e a c q u i s i ti o n o f s to c k s f o ll o w i n g d i r e c t i n v e s t m e n t o r t h e d is p o s a l o f s u c h s t o c k s in a c c o r d a n c e w it h th e F o r e ig n I n v e s t m e n t P r o m o ti o n A c t; ( 2 ) th e a c q u is i ti o n o f s t o c k s b y a n y o w n e r o f f o r e ig n s e c u r i ti e s t h r o u g h h i s /h e r e x e r c is e o f r i g h t s ; ( 3 ) th e a c q u i s i t io n o f s t o c k s f o l l o w in g a s h a r e h o l d e r 's e x e r c is e o f r ig h t s ; ( 4 ) th e t r a d e t r a n s a c ti o n s o f s e c u r i t ie s i n a p u b l ic te n d e r f o r u n s p e c if i e d in d i v i d u a l s a t h o m e , a n d ; ( 5 ) t h e a c q u i s it i o n o f s e c u r i ti e s f o l lo w in g t h e e x e r c i s e o f r i g h t s b y E q u i ty - L i n k e d W a r r a n t m a y b e d o n e n o t th r o u g h t h e K o r e a n S t o c k E x c h a n g e o r K O S D A Q .

A n y f o r e ig n e r i n te n d i n g t o in v e s t i n l is te d s e c u r iti e s o r s e c u r it ie s t o b e li s t e d , in c lu d in g th e s e c u r iti e s s u b j e c t t o a p u b l ic o f f e r in g o r s e c o n d a r y d is tr i b u tio n f o r th e l is ti n g o n th e s e c u r it ie s m a r k e t s h a ll r e g is t e r h is /h e r p e r s o n a l d a ta , e t c . , t o t h e G o v e r n o r o f th e F in a n c ia l S u p e r v i s o r y S e r v ic e .

O N o te , h o w e v er , th at a n y fo reig n er in te n d in g to a cq u ir e o r d is p o s e o f sto ck s in r elatio n to d ir ect in v e stm en t n e ed n o t r eg ister h is/h er in v e stm en t.

Articles 7-36 and 7-37 of the Foreign Exchange Transactions Regulations

Article 187(2) of the Enforcement Decree of the Financial

Investment Services and

Capital Markets Act

Article 188(2) of the Enforcement Decree of the Financial

Investment Services and

Capital Markets Act

Article 6-7 of the Financial Investment Services Regulations

Article 6-10 of the Financial Investment Services Regulations

Ministry of Strategy and Finance

Financial Services Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(2) Restrictions and

procedures related to a

foreigner's acquisition and disposal, etc., of securities

Any foreigner intending to open an account to trade securities with any broker or dealer for the purpose of investment in securities shall open the account categorized by the securities of kind to be invested.

The following are the only cases wherein a foreigner may dispose of or use any fund deposited in any broker or dealer: (1) purchase of securities according to the kind of account to be opened for the transaction of securities; (2) payment of subscription money, miscellaneous taxes, and fees in relation to the acquired securities; (3) transfer to any non-resident account in Korean currency in the name of the person in question, any designated broker, or dealer as prescribed in the Foreign Exchange Transactions Regulations; (4) purchase of any foreign currency from any broker or dealer, and/or; (5) transfer to any other account to trade securities in the name of the person in question opened with any broker or dealer.

Any broker or dealer shall not extend credit to foreigners by means of lending securities from among the credit extension methods set forth in Article 72 of the Financial Investment Services and Capital Markets Act in relation to the equity securities issued by public corporations.

A foreigner shall maintain any and all acquired securities (excluding any and all securities registered and issued without issuing the stocks and securities listed on any foreign stock market) in the Korea Securities Depository, a foreign exchange bank, a broker/dealer, or a collective investor in accordance with the Foreign Exchange Transactions Act or a foreign storage institution in accordance with Article 4-15(2) of the Financial Investment Services Regulations.

O If necessary for the exercise of right of securities or due diligence for the identification of actual securities, etc., this provision shall not apply.

Article 6-14 of the Financial Investment Services Regulations

Article 6-16 of the Financial Investment Services Regulations

Article 6-20 of the Financial Investment Services Regulations

Article 6-21 of the Financial Investment Services Regulations

Financial Services Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(3) Restrictions and

procedures related to a

foreigner's acquisition and disposal, etc., of domestic real estate

Any non-resident acquiring any domestic property or the relevant right due to the income carried with him/her or the fund transferred from a foreign country or a lien acquired following a transaction deemed conducted with any resident shall report such to the head of a foreign exchange bank by attaching the document proving the relevant transaction of real estate or any other instrument to demonstrate such acquisition of security.

O Cases other than those falling under Articles 7-45(1) and (2) of the Foreign Exchange

Transactions Regulations shall be reported to the Governor of the Bank of Korea.

Any foreigner, foreign government, or international organization ("foreigner, etc.") concluding a contract for land acquisition in the territory of the Republic of Korea ("contract for land acquisition") shall submit a report of the land acquisition to the head of Si/Gun/Gu within 60 days of the date of conclusion of the contract. Note, however, that the same shall not apply to cases wherein a report of transactions of real estate has been made in accordance with Article 27 of the Business Affairs of Licensed Real Estate Agents and Report of Real Estate Transactions Act or a report of transactions of a house has been made in accordance with Article 80(2) of the Housing Act.

Article 18 of the Foreign Exchange Transactions Act and Article 9-42 of the Foreign Exchange Transactions Regulations

Article 4(1) of the Foreigner's Land Acquisition Act

Ministry of Strategy and Finance

Ministry of Land Transportation and Maritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(3) Restrictions and

procedures related to a

foreigner's acquisition and disposal, etc., of domestic real estate

Any foreigner intending to acquire land located in districts or areas falling under any of the following subparagraphs shall obtain permission from the head of Si/Gun/Gu for such acquisition (note, however, that the same shall not apply in cases wherein the foreigner has obtained permission for the contract for land acquisition in accordance with Article 118 of the National Land Planning and Utilization Act):

1. Military bases and reservations for military installations under Subparagraph 6, Article

2 of the Protection of Military Bases and Installations Act, or other areas as may be necessary especially to limit land acquisition by a foreigner, etc., for the purpose of national defense as prescribed by the Presidential Decree

2. Designated cultural assets under Article 2(2) of the Cultural Heritage Protection Act and protected and reservation lands under the same Act

3. Ecological and Scenic Conservation areas under Subparagraph 12, Article 2 of the

National Environment Conservation Act

4. Special reservations for wild animals and plants under Article 27 of the Protection of

Wild Fauna and Flora Protection Act

Any foreigner acquiring land in the territory of the Republic of Korea by means of inheritance, auction, or causes other than through a contract as prescribed by the Enforcement Decree of the Foreigner's Land Acquisition Act shall submit a report to the head of Si/Gun/Gu within six months of the date of land acquisition.

In case a national of the Republic of Korea or a juridical person or organization established in accordance with the Acts and statutes of the Republic of Korea possessing land in the territory of the Republic of Korea has changed nationality but still intends to possess the relevant land continuously, such foreigner shall submit a report to the head of Si/Gun/Gu within six months of the date of changing nationality.

Article 4(2) of the Foreigner's Land Acquisition Act

Article 5 of the Foreigner's Land Acquisition Act

Article 6 of the Foreigner's Land Acquisition Act

Ministry of Land Transportation and Maritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(1) Commencement of

foreign firm's operation

A foreign company intending to engage in business in the Republic of Korea shall appoint a representative in the Republic of Korea and establish a business office.

O With respect to the establishment of its business office, the foreign company shall effect the same registration as that of a branch office of a company incorporated in the Republic of Korea either of the same kind or of the kind it most closely resembles.

O For the registration, the foreign company shall register the governing law under which it

was incorporated and the name and address of its representative in the Republic of Korea.

Article 614 of the

Commercial Act

Ministry of

Justice

(2)

Closing order for

foreign firm's business office

In case a foreign company has established its business office, the court may order such business office to be closed upon the application of any interested person or public prosecutor for any of the following reasons:

1. The objective of establishment of such business office is illegal.

2. Such business office has -- without justifiable reasons -- failed to commence business within one year of registration of establishment thereof, discontinued business for a period of not less than one year, or suspended payment without justifiable reasons.

3. The representative of such foreign company or any other person managing the affairs

thereof has violated Acts and subordinate statutes or good morals and other social orders.

Article 619 of the

Commercial Act

Ministry of

Justice

(3) Regulations on the

installation of foreign firm's domestic branch and the remittance

A foreign company intending to install a local branch (branch or office) shall report such to the head of the transaction-designated foreign exchange bank.

O Note, however, that the installation of a local branch for the purpose of performing financial affairs other than banking -- including financing, facilitation of foreign finance, and credit card-related business, etc. -- shall be reported to the Minister of Strategy and Finance.

If a local branch draws any operating fund from the headquarters located in a foreign country, such fund shall be remitted to the local branch through the transaction-designated foreign exchange bank.

If a local branch intends to remit the settled net profits or the reduced operating fund to a foreign country, such remittance shall be carried out through the transaction-designated foreign exchange bank.

Article 9-33 of the Foreign Exchange Transactions Regulations

Article 9-34 of the Foreign Exchange Transactions Regulations

Articles 9-35 and

9-36 of the Foreign

Exchange Transactions Regulations

Ministry of Strategy and Finance

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(1) Restrictions on public-purpose

corporation's acquisition of stocks

A foreigner or a foreign corporation, etc., may not acquire equity securities issued by a public-purpose corporation (Korea Electric Power Crop.) on his/her own account in excess of the following limits on acquisition, regardless of in whose name they are held:

O Limit on acquisition by a foreigner, a foreign corporation, etc., per item: Limit stipulated in the articles of incorporation of the relevant public-purpose corporation

O Overall limit on acquisition by foreigners, foreign corporations, etc., per item: 40/100 of the total number of equity securities of the relevant item

A person who has acquired stocks in violation of any of the foregoing paragraphs shall not exercise voting rights for such stocks, and the Financial Services Commission may order any person who has acquired stocks in violation of any of the foregoing paragraphs to take corrective measures.

Article 168(2) of the Capital Market and Financial Investment Business Act and Article

187(1) of its

Enforcement Decree

Article 168(3) of the Capital Market and Financial Investment Business Act

Financial Services Commission

(2) Restrictions on

public enterprise's

ownership of stocks

The acquisition of stocks of any public enterprise by a foreigner or a foreign corporation may be restricted as prescribed in the articles of association of such public enterprise.

Article 19 of the Act on the Improvement of Managerial Structure and Privatization of Public Enterprises

Ministry of Strategy and Finance

Division

Restrictions o n Foreign Investo rs and/or Foreign-Invested Firms

Applicable law

(Pro vision)

Co mpetent

A uthority

(3) Restrictions on

ownership of stocks

of financial institutions

A person meeting the requirements to possess excessive number of stocks pursuant to the relevant law s and obtaining approval from the Financial Services Commission may hold stocks of a financial instit ution up to 10% in excess of the limit.

O The requiremen ts for a foreign en tity to hold stocks beyond the limit are as follows:

- A company to operate a financial business in a foreign country (including a holding company)

- Appropriate for international business activities; maintains high international credibility in light of its t otal assets and business scale, etc.

- Has not been ordered to take measures to suspend its business by any foreign financial watchdog for the recent three years

- Subject to the requirements prescribed by the Financial Services Commission including its BIS ratio o f more than 8% for the recent three years

A rticle 15(3) o f the

Banking Act

A rticle 15(5) o f the Banking Act A rticle 5 of th e

Enforcemen t Decree

of the B anking A ct

Financial

Services

Commission

(4) Installation of

foreign bank's local

branch

A foreign financial institution (entity established under foreign laws, performing banking services in foreign countries) intending to set up newly or close a local branch or an agency or an office for the purpose of performing banking services in the territory of the Republic of Korea shall be authorized by the Financial Services Commission.

O Th e Financial Services Commission may attach a cond ition to the foregoing authorization.

A local branch or an agency of a foreign bank shall possess assets equivalent to the operating fund in the territory of the Republic of Korea.

O In case a local branch or an agency of a foreign bank is liquidated o r declared ban krup t, its assets, capital, reserves, and other su rplus fun ds shall be preferentially used to pay off any deb t pay able to natio nals of the R epublic of Korea and any other foreigner with domicile or residence w ithin the nation.

A rticle 58(1) o f the

Banking Act

A rticle 58(2) o f the

Banking Act

A rticle 62(1) o f the

Banking Act

A rticle 62(2) o f the

Banking Act

Financial Services Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(5) Licensing of

common carrier and restrictions on stock acquisition

A p er s o n f a llin g u n d e r a n y o f th e f o llo w in g s u b p a r ag r a p h s s h all n o t b e lice n s ed f o r co m m o n ca r r ier b u sin e ss a s sp e c if ie d u n d e r th e p r o v isio n o f A r tic le 5 o f th e T e lec o m m u n ic a tio n s B u sin e s s A ct:

1 . N ation al or local g overnments

2 . Fo reign gov ernments o r fo reign juristic p ersons

3 . Juristic perso ns wh ose stocks are ow ned by fo reign go vernm ents o r fo reigners beyon d the stockho lding limits referred to in Article 6(1) of the Telecom mun icatio ns B usiness A ct

The aggregate number of stocks of a common carrier held by foreign governments or foreigners (limited to voting stocks, inclusive of stocks equivalent with voting rights such as stock depository receipts, etc., and investment equities) shall not exceed 49/100 of the total number of issued stocks.

A f o r e ig n g o v er n m e n t o r a f o r eig n er (in c lu d in g tw o o r m o r e f o r e ig n g o v er n m e n ts o r f o r e ig n e r s ag r e e in g to e x er c ise v o tin g r ig h ts jo in tly ) m ay n o t b eco m e th e lar g est s to c k h o ld er o f K T . N o te, h o w ev er, th at th is s h all n o t a p p ly to c ase s w h er ein th e y h o ld less th a n 5 /1 0 0 o f th e co r p o ra tio n 's sto ck s.

Article 5(2) of the Telecommunications Business Act

Article 6 of the Telecommunications Business Act

Article 4 of the

Bylaws (Aug.

1997) of the Telecommunications Business Act

Com Korea tions munica

Commission

(6) Qualification of

applicants designated as special post office operator

A person w ho is not a n ational o f the R epub lic of K orea cannot be d esignated as a special post office operator.

Article 3(2) of the Special Post Offices Act

Ministry of Knowledge Economy

(7) Restrictions on investment in

electric business, etc.

In c a se a f o re ig n er co m e s to o w n th e s to ck s iss u ed b y a n ele ctr ic ity g e n er a to r o p er a tin g a n u c le a r p o w er p la n t e q u iv a len t to th e r a tio re c o g n iz ed as f o r e ig n in v e s tm en t p u rs u an t to th e F o re ig n In v es tm e n t P r o m o tio n A ct, th e M in iste r o f K n o w led g e E c o n o m y m a y r ev o k e th e b u s in e ss lic en se .

h e M inister o f K no w led ge Econ om y shall n either licen se, ap pro ve, n or design ate any o f the fo llow in g su bp aragraph s for a fo reig n inv estm en t com pany :

1. License of the electricity generation business (limited to cases of operating a

nuclear power plant)

2. Approval of manufacturing and supply plans of nuclear power generation fuel

Article 12(1) of the

Electric Utility Act

Article 96 of the

Electric Utility Act

Ministry of Knowledge Economy

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(8)

Fishing license for foreigners and foreign investment companies

Mayor/Do Governor or Chief of Si, Gun, Gu intending to grant license or permission for fisheries to a foreigner or a foreign corporation shall consult with the Minister of Food, Agriculture, Forestry, and Fisheries in advance regarding the matter.

If a foreigner or a foreign corporation intends to invest in a company incorporated under Korean laws or nationals of the Republic of Korea for the purpose of managing a fishery business after obtaining fishing license or permission, and in case an amount equivalent to more than 50% of the total number of stocks of such local company or national is invested, or voting rights not less than the majority are held, the Mayor/Do Governor or Chief of Si, Gun, Gu shall consult with the Minister of Food, Agriculture, Forestry, and Fisheries in advance regarding the matter.

Article 5 of the

Fisheries Act

Ministry of Food, Agriculture, Forestry, and Fisheries

(9) Restrictions on

foreigner's investment in maritime transportation services

Any foreign operator of maritime transportation services for passengers intending to operate maritime transportation services for passengers between domestic and foreign ports shall obtain approval from the Minister of Land Transportation and Maritime Affairs.

Any foreigner carrying out maritime transportation services for passengers and/or freight between domestic ports and foreign ports or between foreign ports and intending to establish a branch office in Korea to perform business activities incidental to such services shall file a corresponding report with the Minister of Land Transportation and Maritime Affairs.

O The same shall also apply when intending to alter the reported matters.

Article 6 of the Maritime Transport Act

Articles 7 and 26 of the Maritime Transport Act

Ministry of Land Transportation and Maritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

Restrictions on the publication business of newspapers, etc.

A person who is not a national of the Republic of Korea cannot become the publisher, editor or news article layout manager of a newspaper or online newspaper.

A person falling under any of the following subparagraphs shall not publish a newspaper (note, however, that this shall not apply if a newspaper is published for distribution within his/her company):

1. Foreign governments, corporations, or organizations

2. Corporations or organizations whose representative is a person other than a national of the Republic of Korea

3. Entity wherein a foreigner or a foreign corporation holds stocks or equity shares not less than any of the following ratios

(a) 30/100 for daily newspapers

(b) 50/100 for newspapers other than daily newspapers

An entity publishing or intending to publish a newspaper or an online newspaper and invested in with assets by a foreigner or a foreign corporation/organization shall submit documents proving that such investment has been reported to the Minister of Knowledge Economy pursuant to Article 5, 6, or 7 of the Foreign Investment Promotion Act to the Mayor/Do Governor on the date of registration or within 15 days of the reporting date in accordance with Article 9 of the Act on the Promotion of Newspapers, Etc.

Article 13(1) of the Act on the Promotion of Newspapers, Etc.

Article 13(4) of the Act on the Promotion of Newspapers, Etc.

Article 15 of the Act on the Promotion of Newspapers, Etc.

Ministry of Culture, Sports, and Tourism

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

Restrictions on the publication business of newspapers, etc.

A person intending to establish a branch or an office of a foreign newspaper in the territory of the Republic of Korea shall register such establishment with the Minister of Culture, Sports, and Tourism as prescribed under the Presidential Decree.

In case a person registered pursuant to Paragraph 1 falls under any of the following subparagraphs, the Minister of Culture, Sports, and Tourism may revoke such registration:

1. He/She reg isters b y m ean s of d eceptio n or any oth er d ish onest means.

2. The branch or office substantially violates the purpose of its establishment.

3. If th e relevant foreig n n ew s agency po sts an article that disru pts the national constitutio n o r su bstantially d amages natio nal secu rity .

Article 28(1) of the Act on the Promotion of Newspapers, Etc.

Article 28(2) of the Act on the Promotion of Newspapers, Etc.

Ministry of Culture, Sports, and Tourism

Restrictions on the publication business of periodicals

A person who is not a national of the Republic of Korea cannot become a publisher or an editor of periodicals.

A person falling under any of the following subparagraphs shall not publish periodicals (note, however, that this shall not apply if the periodical is published for distribution within his/her company):

1. Foreig n g overnments, corporatio ns, o r organizations

2. Co rp oratio ns or organizations who se represen tative is a p erson other than a natio nal of the R ep ublic of Korea

3. Corporations or organizations wherein a foreigner or a foreign corporation/organization hold s more than 50 /100 of th e sto cks o r eq uity shares thereof

Article 20(1) of the Act on the Promotion of Periodicals, Magazines, Etc.

Article 20(3) of the Act on the Promotion of Periodicals, Magazines, Etc.

Ministry of Culture, Sports, and Tourism

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

Restrictions on the publication business of periodicals

An entity publishing or intending to publish a periodical and invested in with assets by a foreigner or a foreign corporation/organization shall submit documents proving that such investment has been reported to the Minister of Knowledge Economy pursuant to Article 5, 6, or 7 of the Foreign Investment Promotion Act to the head of the relevant administrative office on the date of registration or reporting of such periodical or within 15 days of the reporting date.

A person intending to establish a branch or an office of a foreign periodical in the territory of the Republic of Korea shall register such establishment with the Minister of Culture, Sports, and Tourism as prescribed under the Presidential Decree.

In case a person who registered a branch or an office of a foreign news agency in the territory of the Republic of Korea falls under any of the following subparagraphs, the Minister of Culture, Sports, and Tourism may revoke such registration:

1 . H e/She registers by m eans of d ecep tio n o r any o ther dish on est mean s.

2 . Th e branch or o ffice su bstan tially vio lates th e pu rpo se o f its establish ment.

3 . The relevant foreign news agency p osts an article th at d isrup ts the natio nal co nstitu tion o r sub stan tially d am ag es nation al security .

Article 21 of the Act on the Promotion of Periodicals, Magazines, Etc.

Article 29(1) of the Act on the Promotion of Periodicals, Magazines, Etc.

Article 29(2) of the Act on the Promotion of Periodicals, Magazines, Etc.

Ministry of Culture, Sports, and Tourism

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

Restrictions on news offering business

Foreign news agencies may offer news only through a conclusion of contract with a local new agency in the territory of the Republic of Korea.

A person who is not a national of the Republic of Korea or a person who has no domicile or residence in the territory of the nation cannot become a representative director or an editor of a news agency.

Any entity falling under any of the following subparagraphs shall not operate the news agency business:

1 . Fo reign gov ernm ents, corpo ration s, or org anization s

2 . C o rp oratio ns or organizations wh ose represen tativ e is a person w ho is n ot a n atio nal of the R epu blic o f Ko rea or with out dom icile or residen ce in the territo ry o f the natio n

3 . C orpo rations w herein a fo reign er or a fo reign corp oration hold s more th an

25 /100 stock s or equity shares th ereo f

An entity operating or intending to operate a news agency business and invested in with assets by a foreigner or a foreign corporation/organization shall submit documents proving that such investment has been reported to the Minister of Knowledge Economy pursuant to the provisions under Article 5, 6, or 7 of the Foreign Investment Promotion Act to the Minister of Culture, Sports, and Tourism on the date of registration application or within 15 days of the reporting date.

Articles 2 and 8 of the News Agency Development Act

Article 9(1) of the News Agency Development Act

Article 9(4) of the News Agency Development Act

Article 9(5) of the News Agency Development Act

Ministry of Culture, Sports, and Tourism

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

Restrictions on the news offering business

A person intending to establish a branch or an office of a foreign news agency in the territory of the Republic of Korea shall register such establishment with the Minister of Culture, Sports, and Tourism as prescribed under the Presidential Decree.

In case a person who registered a branch or an office of a foreign news agency in the territory of the Republic of Korea falls under any of the following subparagraphs, the Minister of Culture, Sports, and Tourism may revoke such registration:

1. He/She registers by means of deception or any other dishonest means.

2. The branch or office substantially violates the purpose of its establishment.

3. The relevant foreign news agency posts an article that disrupts the national constitution or substantially damages national security.

A person who is not a national of the Republic of Korea or a person with no domicile or residence in the territory of the nation cannot become an executive of associated news agencies.

A person who is not a national of the Republic of Korea or a person with no domicile or residence in the territory of the nation cannot become an executive of the Korea News Agency Commission.

Article 9(5)(a) of the News Agency Development Act

Article 9(5)(b) of the News Agency Development Act

Article 16 of the News Agency Development Act

Article 28 of the News Agency Development Act

Ministry of Culture, Sports, and Tourism

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(13) Restriction s on entry into the

broad castin g offering business

A person operating a terrestrial broadcasting business shall not receive an investment or a contribution of property from (1) a foreign go vernment/organization , (2) a foreigner, or (3) a corpo ration w hose stocks o r equity are own ed b y a fo reign go vernm ent/o rg an izatio n or a foreig ner in excess of 50/1 00, or w ho se larg est inv estor is th e said fo reign go vernm ent/o rgan izatio n or foreig ner (note, however, that property investment may be obtained from a foreign organization for the sake of education, sports, religion, charity, or other international friendliness with approval from the Korea Communications Commission).

O B roadcast channels u sin g op erato rs or C ATV relay b road castin g business op erato rs en gaged in gen eral p ro gramm ing shall n ot receive an inv estment or a contribu tion o f p ro perty in the amou nt of more than 20/1 00 of the total nu mber of stock s o r equ ity shares of the relev an t corp oration ; broadcasting chan nels u sin g op erato rs engaged in p rogram ming sp ecializin g in new s repo rts shall not receive an investmen t or a co ntributio n o f property in the amo unt of mo re than 1 0/10 0 of th e total nu mber o f stock s or eq uity sh ares of th e relevant corporation from an y entity prescrib ed in (1) (3) abo ve.

O G eneral CA TV broadcasting business operators, satellite broadcasting business op erato rs, broad cast channels using operators (excludes operator engaged in general prog ramming or programming sp ecializin g in news repo rts), or signal tran sm ission netw ork business op erato rs shall no t receive an investm ent or a contribu tion o f p ro perty in the amou nt of more than 49/1 00 of the total nu mber of stocks o r equ ity shares of the relev ant co rp oratio n from any entity prescribed in (1 ) (3 ) ab ove.

Foreigner or head of foreign corporation or organization cannot become a representative of a corporation obtaining approval for the Internet multimedia broadcasting offering business.

Article 1 4 o f the

B roadcasting Act

A rticle 7(3) o f the Internet M ultim edia B roadcasting B u sin ess Act

Co m K orea tions mu nica

C ommission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(13) Restrictions on entry into the broadcasting

offering business

O One who falls under any of the following items cannot add with the other one and own stocks (limited to the voting stocks, and including the stock equivalents with voting rights, such as stock depositary receipts, etc. and investment equities) of the Internet multimedia broadcasting offering operator or Internet multimedia broadcasting contents operator (excluding operator engaged in general programming or programming specializing in news reports) or shares exceeding 49/100 of its total issued stocks:

(1) Foreign government or organization, (2) foreigner, (3) corporation whose major shareholder is -- or wherein over 15/100 of the total issued stocks are owned by -- a foreign government or organization or foreigner (includes special related ones according to Article 2 (20) 1 of the Security Transaction Act) (For Internet multimedia broadcasting offering operator and Internet multimedia broadcasting contents operator, excludes corporation owning less than 1/100 of the total issued stocks or shares of the operator concerned)

0 One who falls under any of Items (1) (3) above cannot own more than 20/100 of the issued stocks or equity shares of the Internet multimedia broadcasting contents operator engaged in general programming or programming specializing in news reports.

Article 9 of the Internet Multimedia Broadcasting Business Act

Korea Communications Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(1) Registration of ships

A ship falling under any of the following subparagraphs shall be deemed a ship of the

Republic of Korea:

1. State-owned or public ship

2. Ship owned by a national of the Republic of Korea

3. Ship owned by a trading company incorporated under Korean laws

4. Ship owned by a corporation other than a company under subparagraph 3 whose principal office is located in the territory of the Republic of Korea and whose representative (if it has co-representatives, including all of them) is a national of the Republic of Korea

Ships other than those of the Republic of Korea cannot drop into non-open ports of the

nation or transport passengers or freight between domestic ports.

Article 2 of the

Ship Act

Article 6 of the

Ship Act

Ministry of Land Transportation and Maritime Affairs

(2) Registration of aircraft

No aircraft that is owned or leased by a person falling under any of the following subparagraphs may be registered (note, however, that the same shall not apply to cases wherein a national or a juristic person of the Republic of Korea has leased -- or has the right to use -- that aircraft):

1. Person who is not a citizen of the Republic of Korea

2. Foreign government or foreign public organization

3. Foreign corporation or organization

4. Corporation wherein not less than 50 percent of shares or stake are owned by any person

falling under any of subparagraphs 1 3 and which is virtually controlled by such person

5. Corporation whose representative is a foreigner or wherein at least half of its officers are

foreigners as indicated in the certified copy of the register

A person falling under any of the subparagraphs of Article 6(1) may operate the business of transporting passengers or freight commercially in compliance with the demand of others with the permission of the Minister of Land Transportation and Maritime Affairs through (1) aviation taking off outside the Republic of Korea and landing inside the Republic of Korea; (2) aviation taking off inside the Republic of Korea and landing outside the Republic of Korea, and; (3) aviation taking off outside the Republic of Korea, and landing outside the Republic of Korea after transiting the Republic of Korea without landing there (including aviation between areas in the Republic of Korea made in junction with such aviation). (In this case, the Minister of Land Transportation and Maritime Affairs may permit such by restricting the frequency of aviation and type of aircraft to be used such that it does not cause any impediment in the development of international aviation of the domestic air transportation businessman.)

Article 6(1) of the

Aviation Act

Article 147 of the

Aviation Act

Ministry of Land Transportation and Maritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1 ) R estr icted b u sin esses fo r fo reig n inv es tm en t

B usiness ty pe

B usines s o verv iew

(su b classe s in acco rd an ce w ith th e K o r ean

S tan d ard In d u strial C lass ificatio n )

Permissible criteria

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish eries

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

(1 ) R estr icted b u sin esses fo r fo reig n inv es tm en t

C u ltiv atio n o f g rain s an d o th er f oo d cr op s (0 1 1 1 0 )

M e ans ind u strial activ ities to cu ltiv ate gr ain cro p s, ro o t cro p s fo r f o od , an d o th er fo o d cro p s

< Ex am p le>

u ltiv atio n o f rice, b arley , w h eat, m illet, etc.

u ltiv atio n o f p o tato , sw eet p o tato, etc.

lti ti f t u ltiv ation o f co rn ,

b ean , an d m un g b ean

< Ex clu s io n >

ro d u ctio n o f seed lin g (0 1 1 2 )

u ltiv atio n o f fac ility cro p s (0 1 1 5 )

C ollection of wild forest products (exclud ing wild plants such as mushrooms, berries, nuts, etc.) (02 01) u ltiv atio n o f f eed cro p s o r g ro w in g o f g rain

cro p s fo r feed (0 1 1 4 0 )

u ltiv atio n o f fru its, n u ts (ex clu d ing p ean u ts), or cro p s fo r bev er ag e o r sp ice (0 1 1 3 )

P erm is sib le f or all ex cep t th e cu ltiv atio n o f rice an d b arley

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish eries

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

(1 ) R estr icted b u sin esses fo r fo reig n inv es tm en t

B eef cattle r earin g (0 1 2 1 2 )

Means industrial activities to raise beef cattle for beef production, including the cultivation of cattle for other purposes except dairy cattle

P erm is sib le w h en th e fo reig n in v estm en t ratio is les s th an 5 0 %

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish eries

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

(1 ) R estr icted b u sin esses fo r fo reig n inv es tm en t

In /O ff sh o re fish in g (0 3 1 1 2 )

M ean s in du strial activ ities to collect o r catch fish , sh ellfish, m ollusk s, seaw eed, and any o ther m arine an im al and p lants insh o re an d /or offsh ore w aters

< Ex am p le>

i i atch in g o f m ar in e in v erteb rates

ll ti f rl t r o llectio n o f co rals

P erm issib le w h en th e fo reig n in v estm en t ratio is less th an

5 0 %

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish eries

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

M in istry o f F o od , A g ricu ltu re, F o restr y, an d F ish er ies

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of

Knowledge Economy

(1) Restricted businesses for foreign investment

Manufacture of other basic inorganic chemicals (20129)

Means industrial activities to manufacture inorganic chemical elements, mineral acids, and nonmetallic oxides and alkali compounds and other basic inorganic compounds, including industrial activities to mix, combine, and enrich radioactive substances such as uranium, thorium, etc.

<Example>

Manufacture of acetylene black, silicon dioxide, sulfur dioxide, boron oxide and boron, radioactive elements and isotope, radioactive material mixtures, nonmetallic sulfide, sodium hydroxide, peroxide, mercury, carbon black, calcium carbide and carbide, silicon and chlorine, quartz for piezoelectricity, plutonium concentration, enrichment of nuclear fuel, refined sulfur, roasted iron pyrites, nonmetallic halogen compound and sulfide, ammonia anhydrous or ammonia solution, aluminum, magnesium, strontium barium oxides and peroxides; manufacture, composition, or reclamation of metal acid salts or peroxide metal acid, or; manufacture of precious stones or semiprecious stones

<Exclusion>

Manufacture of industrial gas (20121), manufacture of inorganic pigments and other metallic oxides (20131), and manufacture of fertilizer and nitrogenous compound (2020)

Permissible except for the manufacturing and supply businesses of fuels for nuclear power generation

Ministry of

Knowledge Economy

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(1) Restricted businesses for foreign investment

Smelting and refining of other nonferrous metals and manufacture of alloy (24219)

Means industrial activities to treat, smelt, and refine nonferrous metal ores of precious metals such as gold, silver, platinum, etc., tin, nickel, antimony, mercury, manganese, chromium, tungsten, molybdenum, magnesite, zirconium, etc., or their lumps and scraps or manufacture of their alloys

<Example>

irst and second smelting and refining, alloy manufacture of precious metals (gold, silver, etc.) and tin

irst and second smelting and refining, alloy manufacture of nickel, antimony, mercury, and manganese

irst and second smelting and refining, alloy

manufacture of molybdenum and magnesite melting and refinery of uranium

Same as the permissible criteria for the manufacturing business of other basic inorganic chemicals

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(1) Restricted businesses for foreign investment

Nuclear

generation

(35111)

Means industrial activities to generate electricity directly using nuclear power as energy source

Not opened

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(1) Restricted businesses for foreign investment

Hydroelectric

generation

(35112)

Means industrial activities to generate electricity directly using hydraulic power as energy source

The aggregate of electricity generation facilities purchased by a foreigner from Korea Electric Power Corporation (KEPCO) shall not be more than 30% of the entire power generation facilities in Korea.

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(1) Restricted businesses for foreign investment

Thermal power generation (35113)

Means industrial activities to generate electricity directly using thermal power as energy source

The aggregate of electricity generation facilities purchased by a foreigner from Korea Electric Power Corporation (KEPCO) shall not be more than 30% of the entire power generation facilities in Korea.

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(1) Restricted businesses for foreign investment

Other generation

(35119)

Means industrial activities to generate electricity directly using wind power, solar power, tidal power, and other energy sources

The aggregate of electricity generation facilities purchased by a foreigner from Korea Electric Power Corporation (KEPCO) shall not be more than 30% of the entire power generation facilities in Korea.

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of

K nowledge Economy

Ministry of Knowledge Economy

Ministry of Food, Agriculture, Forestry, and Fisheries

(1) Restricted businesses for foreign investment

Power transmission and distribution (35120)

Means the industrial activities to transmit generated electricity to a certain region or supply transmitted electricity to end-consumers; includes industrial activities to supply and sell electric power to homes, industries, and commercial businesses

<Example>

r i i it ubstation

r i tri ti t ti lectric power office

Permissible to the following only:

1. The ratio of foreign investment is less than 50%.

2. Ownership of stocks with

voting rights by a foreign investor shall be less than that of the dominant

shareholder who is a national

of Korea.

Ministry of

K nowledge Economy

Ministry of Knowledge Economy

Ministry of Food, Agriculture, Forestry, and Fisheries

(1) Restricted businesses for foreign investment

Collection, transport, and disposal of retroactive waste

(38240)

Means industrial activities to collect, transport, and dispose of radioactive wastes subject to disposal

Permissible except for radioactive wastes management businesses pursuant to Article 9 of the Radioactive Waste Control Act

Ministry of

K nowledge Economy

Ministry of Knowledge Economy

Ministry of Food, Agriculture, Forestry, and Fisheries

(1) Restricted businesses for foreign investment

Wholesale of meat (46312)

Means industrial activities to trade wholesale, fresh, chilled, and frozen slaughtered meats of livestock and any other land animal

<Example>

l l f f r holesale of poultry meat

l l f ir t holesale of chilled

meat

Permissible when the foreign investment ratio is less than 50%

Ministry of

K nowledge Economy

Ministry of Knowledge Economy

Ministry of Food, Agriculture, Forestry, and Fisheries

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) R estricted b u sinesses for fo reign in v estm ent

B usiness ty pe

B usiness o verv iew

(sub classes in accord an ce w ith th e K o rean S tan d ard

In du strial C lassification )

Permissible criteria

Ministry of Land Transportation and M aritime Affairs

Ministry of Land Transportation and M aritime Affairs

(1) R estricted b u sinesses for fo reign in v estm ent

H o m e-w aters tran spo rt of passeng ers (5 01 21 )

M ean s ind ustrial activ ities to tran sp o rt passen g ers b y co mm issio nin g ships betw een d o mestic p orts.

< Ex amp le>

Regu lar passeng er tran sport betw een do mestic po rts Irregular passenger transp ort between domestic ports ease o f passeng er sh ips (in clud ing crew

m em bers) betw een d o mestic p orts

peration o f cru ise ships betw een d o mestic p orts

Th e op er atio n of cru ise sh ips sh all b e man ag ed by the N atio n al Em erg ency M an ag emen t A g ency.

< Ex clusio n>

ran spo rt o f freigh t an d p assen gers in po rts

(50 2 03 )

Permissible only if all of the following requirements are fulfilled:

1. Perm it fo r: Transport of

freight and passengers between South and North Korea

2. C ase o f jo int v en ture w ith

a sh ipp ing com pany of th e R ep ublic of K o rea

3. Less th an 5 0% of fo reig n

inv estment ratio

Ministry of Land Transportation and M aritime Affairs

Ministry of Land Transportation and M aritime Affairs

(1) R estricted b u sinesses for fo reign in v estm ent

H o m e-w aters tran spo rt of freig ht (5 01 22 )

M ean s in du strial activ ities to transp ort freigh t b y co mm issio nin g ships betw een d o mestic p orts

< Ex amp le>

eg ular freigh t tran spo rt b etw een d om estic p orts

Irreg ular freig h t tran spo rt b etw een d om estic p orts

ease of freig ht ship s (in clu d ing crew m em bers)

betw een do m estic po rts

< Ex clusio n>

ran spo rt o f freigh t an d p assen gers in po rts

(50 2 03 )

S am e as the p erm issib le criteria fo r ho m e-w aters of p asseng ers

Ministry of Land Transportation and M aritime Affairs

Ministry of Land Transportation and M aritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of Land Transportation and Maritime Affairs

(1) Restricted businesses for foreign investment

Domestic aviation transport (51)

Means any of the following transportation businesses of passengers or freight (including activities to lease airplanes with one or more pilots) using airplane at or beyond a certain scale*:

* Certain scale

1. More than 20 seats for passengers (excluding

airplane for freight-exclusive transport)

2. Structure divided into cockpit, cabin, and cargo

compartment

(a) Domestic operation of regular scheduled flight: Flight operations wherein regular routes are designated and performed according to regular flight schedules between domestic airports

(b) Domestic operation of irregular scheduled flight: Flight operations other than those prescribed in subparagraph (a) (domestic operation of regular scheduled flight) between domestic airports

<Example>

peration of spacecrafts

ease of airplanes for transport (with pilots) omestic transport of passengers (regular) omestic transport of freight (irregular)

<Exclusion>

In case a certain service business is operated using

aircraft, each shall be classified by the purpose of such service business.

Permissible when the foreign investment ratio is less than 50%

Ministry of Land Transportation and Maritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses

for foreign

investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of Land Transportation and Maritime Affairs

(1) Restricted businesses

for foreign

investment

Small-sized aircraft transport (51)

Means air transportation businesses other than domestic/international air transportation businesses

<Example>

peration of spacecraft

ease of airplanes for transport (with pilots)

peration of small-sized airplanes for passengers

(between spots)

peration of small-sized airplanes for passengers

(tourism)

peration of small-sized airplanes for passengers

(charter)

peration of small-sized airplanes for freight

<Exclusion>

In case a certain service business is operated using aircraft, each shall be classified by the purpose of such service business.

Permissible when the foreign investment ratio is less than 50%

Ministry of Land Transportation and Maritime Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses for foreign investment

Publication of newspapers (58121)

Means industrial activities to publish newspapers daily or

3 times or more a week to offer news that the public is interested in

<Example>

ublication of economic newspapers ublication of sports newspapers ublication of general newspapers

<Exclusion>

ublication of life infosheets (58123)

rofessional newsletters, weekly news and weeklies

(58122)

ctivities to offer news materials to broadcasting stations, newspaper companies, publishing firms, and other media (63910)

Permissible when the foreign

investment ratio is less than 30%

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses for foreign investment

Publication of magazines and periodicals (58122)

Means industrial activities to publish periodicals and magazines

weekly, monthly, every ten days, quarterly, yearly, etc., featuring professional or general contents

<Example>

ublication of weekly newspapers

ublication of monthly magazines

<Exclusion>

ublication of newspapers (58121)

Permissible when the foreign

investment ratio is less than 50%

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses for foreign investment

Radio broadcasting (60100)

Means industrial activities to send directly produced or

purchased radio broadcast programs through broadcasting facilities

Not opened

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses for foreign investment

Terrestrial broadcasting (60210)

Means industrial activities to send directly produced or

purchased TV broadcast programs through terrestrial broadcasting facilities

<Exclusion>

ransmission service activities of radio and TV

broadcasting conducted by head ends or satellites (61229)

Not opened

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Korea Communications Commission

Korea Communications Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses

for foreign

investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Korea Communications Commission

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses

for foreign

investment

Program offering (60221)

Means industrial activities to supply directly produced or purchased TV broadcast programs to CATV, satellite, or other broadcasting stations; such programs are sent to viewers through CATV and satellite networks

<Example>

upply of CATV programs

upply of satellite broadcast programs

<Exclusion>

etail of products on TV (home shopping) (47919) Independent production of TV programs (59114)

Permissible when the foreign

investment ratio is less than 49% (Note, however, that broadcast channels using operators engaged in general programming are permissible when the foreign investment ratio is less than

20%; for broadcast channels using businesses engaged in programming specializing in news reports, permissible when the ratio is less than 10%)

Program-providing businesses mean "broadcast channel-using businesses" in accordance with the Broadcasting Act.

Korea Communications Commission

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses

for foreign

investment

Cable broadcasting (60222)

Means industrial activities to send TV broadcast programs

directly produced or supplied by such program providers through cables

<Example>

eneral CATV broadcasting able broadcasting

<Exclusion> atellite broadcasting (60229)

For general CATV broadcasting

businesses, permissible when the foreign investment ratio is less than 49%

(For CATV relay broadcasting businesses, however, permissible only when the foreign investment ratio is less than 20%)

Korea Communications Commission

Korea Communications Commission

Korea Communications Commission

(1) Restricted businesses

for foreign

investment

Satellite and other broadcasting (60229)

Means industrial activities to send TV broadcast programs

directly produced or supplied by such program providers through satellites or any other means

<Example> atellite broadcasting

<Exclusion> able broadcasting (60222)

upply of satellite broadcast programs (60221)

peration of telecommunications satellites (61299)

Permissible when the foreign

investment ratio is less than 49%

(For Internet multimedia broadcasting contents operators engaged in general programming or programming specializing in news reports, however, permissible when the foreign investment ratio is less than 20%)

Korea Communications Commission

Korea Communications Commission

Korea Communications Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses for foreign investment

B usiness type

B usiness overview

(subclasses in accordance with the Korean

Standard Industrial Classification)

Permissible criteria

Korea Communications Commission

(1) Restricted businesses for foreign investment

Wired communication (61210)

Means industrial activities to send/receive voice, data, text, audio, video, and any other information using wired communication facilities, including industrial activities to lease wired communication line equipment

<Example>

ired telephone service

ired telegraphy and telegram service ired Internet service

ease of wired communication line equipment

<Exclusion>

elephone business using leased communication line equipment (61291)

Permissible when the aggregate number of stocks (limited to voting stocks inclusive of stock equivalents with voting rights, such as stock depository receipts, etc., and investment equities) owned by foreign governments or foreigners (including a deemed foreign person) is less than 49/100 of the total of issued stocks (for KT, however, no foreigner

can become the largest shareholder, but

permissible when he/she owns less than

5/100 of the total issued stocks)

A deemed foreign person means a juridical person wherein 15/100 or more of the total number of issued stocks are owned by Foreign government and Foreigner (including a specially related person under Subparagraph 1, Article 2 (20) of the Securities and Exchange Act) as the largest stockholder

Korea Communications Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) R estricted bu sin esses for fo reign investm ent

Business type

B usiness o verv iew

(su bclasses in accordance w ith th e K orean Stand ard

Indu strial C lassification )

Permissible criteria

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

(1) R estricted bu sin esses for fo reign investm ent

W ireless com mun icatio n (612 20)

Means industrial activities to send/receive voice, data, text, audio, video, and any other information using wireless communication facilities

<Example>

ireless telephone service ireless calling service

ir l I t r t r i RS business

Same as the permissible criteria for the wired communication business

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

(1) R estricted bu sin esses for fo reign investm ent

Satellite com mun icatio n (612 30)

Means industrial activities to send/receive voice, data, text, audio, video, and any other information using satellite communication facilities

<Example>

atellite telephone service atellite Internet service

<Exclusion>

V broadcasting activities using an artificial satellite system (60229)

Same as the permissible criteria for the wired communication business

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

(1) R estricted bu sin esses for fo reign investm ent

Other telecomm unica tion s

(612 99)

Means industrial activities to perform other telecommunications businesses

<Example>

r r i roadcast transmission service issile guidance service

peration of communication satellite ground stations

i ti r l r i peration of communication satellites

Same as the permissible criteria for the wired communication business (no limit for value-added communication business, however)

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

Ko rea C om municatio ns C o mmissio n

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(1) Restricted businesses

for foreign

investment

Business type

Business overview

(subclasses in accordance with the Korean Standard

Industrial Classification)

Permissible criteria

Ministry of Culture, Sports, and Tourism

Financial Services

Commission

Financial Services

Commission

(1) Restricted businesses

for foreign

investment

News offering

(63910)

Means industrial activities to provide news reporters,

news photos, etc., to publishers of newspapers or

periodicals, broadcasters, information providers, etc.

<Example> ff ri ews photos offering

<Exclusion>

ews offering to be performed as an ordinary activity of an operator to publish newspapers or periodicals (5812)

ews offering to be performed ordinarily in program production of broadcasters (60)

ervices performed by freelance writers, photographers, lyricists, and cartoonists (90132)

Permissible when the foreign

investment ratio is less than

25%

Ministry of Culture, Sports, and Tourism

Financial Services

Commission

Financial Services

Commission

(1) Restricted businesses

for foreign

investment

Domestic bank

(64121)

Means commercial and local banks to perform credit

extending/receiving activities for the public and

enterprises, including National Federations of Agricultural, Fisheries, and Livestock Cooperatives engaging in the financial business

<Example> r i l ocal bank

ational Federations of Agricultural, Fisheries, and

Livestock Cooperatives

<Exclusion>ocal Unions of Agricultural, Fisheries, and

Livestock Cooperatives (64131)

Permissible only for

commercial and local banks

(not opened for specialized banks and Agricultural, Fisheries, and Livestock Cooperatives, however)

Ministry of Culture, Sports, and Tourism

Financial Services

Commission

Financial Services

Commission

(1) Restricted businesses

for foreign

investment

Property management company (64201)

Means industrial activities to invest in securities in one's

own account, fund, and other trust fund collected from

investors through the issuance of securities and to distribute the profit to investors

<Example>

roperty management company

aising and managing mutual fund

<Exclusion>

anagement and maintenance of securities by fee or contract (66191)

In case trust fund is invested in non-financial assets, each shall be classified pursuant to the attributes of the relevant industry.

<Deleted. Feb. 27, 2004>

Ministry of Culture, Sports, and Tourism

Financial Services

Commission

Financial Services

Commission

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2)

Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of Knowledge Economy

Ministry of Strategy and Finance

Competent ministry

Competent ministry

(2)

Excluded businesses for foreign investment

Mail service

(61100)

Means activities to collect, distribute, and deliver postal matters from mailboxes or post offices, including activities to sell postage stamps, distribute and process postal matters, lease post boxes, and attract postal matters

<Example> ost office

<Exclusion>

inancial activities to be performed at mail service institutions, such as savings (64139)

Ministry of Knowledge Economy

Ministry of Strategy and Finance

Competent ministry

Competent ministry

(2)

Excluded businesses for foreign investment

Central bank

(64110)

Means industrial activities to perform functions such as issuance of currency, credit extending/receiving of financial institutions, financing of reserve fund, management of foreign currencies, credit extending/receiving for the government and handling of government-entrusted affairs, etc. in order to provide or regulate the nation's money supply, and distribute or manage the nation's wealth effectively

<Example>

ank of Korea

Ministry of Knowledge Economy

Ministry of Strategy and Finance

Competent ministry

Competent ministry

(2)

Excluded businesses for foreign investment

Personal exemption (65301)

Means industrial activities to operate the benevolent fund subject to welfare for and loan to entity members

<Example>

ilit r i i ti orea Teachers Credit Union

Ministry of Knowledge Economy

Ministry of Strategy and Finance

Competent ministry

Competent ministry

(2)

Excluded businesses for foreign investment

Corporation exemption (65302)

Means industrial activities to raise and operate the benevolent fund for various guarantees and business fund loan necessary for business activities through cooperative organizations between enterprises

<Example>

i i l r ti f r tr ti inancial Cooperative for Housing

Ministry of Knowledge Economy

Ministry of Strategy and Finance

Competent ministry

Competent ministry

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Competent ministry

Financial Services Commission

Financial Services Commission

Ministry of Strategy and Finance

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Pension

(65303)

Means industrial activities to deduct a portion of the current income as fund and manage and operate such fund for subscribers to obtain income guarantee after retirement

<Example> ilit r i eachers' pension

li l i ational pension

Competent ministry

Financial Services Commission

Financial Services Commission

Ministry of Strategy and Finance

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Financial market management (66110)

Means industrial activities to regulate and control the management and supervision of financial market, securities transaction activities, and other activities of financial institutions, including industrial activities to provide spaces for the purpose of facilitating trade of securities

<Example> i i l r i i orea Stock Exchange

r t orea Futures Exchange

<Exclusion> ecurities company (66121)

Competent ministry

Financial Services Commission

Financial Services Commission

Ministry of Strategy and Finance

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Other financial support services (66199)

Includes industrial activities to provide services closely related to banking, such as check exchange, provision of services related to the exchange of financial products, check encashment, foreign currency exchange, issuance of traveler's check, loan brokerage, etc.

<Example>

f r i r t xchange of financial products

f f r i rr i rokerage of financial assets

r r r i xchange of foreign currencies (for an individual)

Foreign investment permissible for financial support services other than the exchange service for financial products such as exchange business of promissory note

Competent ministry

Financial Services Commission

Financial Services Commission

Ministry of Strategy and Finance

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Economics research and development (70201)

Means industrial activities to perform research and development in relation to theories of economics, management, finance, and financial and social statistics

<Example> i r r anagement research

i i l t ti ti r r ocial statistics research

Competent ministry

Financial Services Commission

Financial Services Commission

Ministry of Strategy and Finance

Ministry of Education, Science, and Technology

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

(2) Excluded businesses for foreign investment

Other cultural and social sciences research and development (70209)

Means industrial activities to perform other cultural and social sciences research and development

<Example> l r r olitical science research i l r r rt r r ulturology research

il r r i t r r r ocial work research

r r r r inguistics research ilitary science research

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

(2) Excluded businesses for foreign investment

Law-making body

(84111)

Means the National Assembly, local councils, and their advisory and professional

committees

<Example> ti l l it il i tri t il rovincial council

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

(2) Excluded businesses for foreign investment

Central highest

executive body

(84112)

Means an institution that in general manages the affairs of the central government and its

advisory bodies pertaining to such institution

<Example> r i ti l ffi rime minister's office

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

(2) Excluded businesses for foreign investment

Financial and

economic policy administration (84114)

Means an institution to establish and manage banking, financial, taxation, and economic

policies

<Example>li f i i i tr ti t i i tr ti udit administration

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

(2) Excluded businesses for foreign investment

Other general public

administration

(84119)

Means an institution to perform any other ordinary public administrative affairs

<Example>

t ti ti i i tr ti lection managing administration

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

(2) Excluded businesses for foreign investment

General supporting

administration for government agencies (84120)

Means an institution to provide general support to government bodies

<Example>

overnment building managing administration

upporting work for the procurement and purchase of government supplies overnment's appointment managing administration

aintenance work of government's documentation overnment's property managing administration

<Exclusion> ducation and training institutes for public service personnel (85640)

Ministry of Education, Science, and Technology

-

- Ministry of

Strategy and

Finance

Financial

Services

Commission

Ministry of Public Administration and Security

Ministry of Public ministra

and Security

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of Education, Science, and Technology

Ministry of Culture, Sports, and Tourism

Ministry of

Environment

Ministry of Health & Welfare

Competent ministry

(2) Excluded businesses for foreign investment

Educational administration (84211)

Means an institution to perform audit on educational fund and policies and services pertaining to each school, etc.

<Exclusion>ducational institution (85)

Ministry of Education, Science, and Technology

Ministry of Culture, Sports, and Tourism

Ministry of

Environment

Ministry of Health & Welfare

Competent ministry

(2) Excluded businesses for foreign investment

Culture and tourism administration (84212)

Means an institution to perform the administration of culture and tourism

<Example>

rt i i tr ti li i i i tr ti ri i i tr ti ultural heritage

conservation administration

ntertainment business managing administration

<Exclusion>

ibraries, Public Record Office, museums, and other cultural facilities (902)

Ministry of Education, Science, and Technology

Ministry of Culture, Sports, and Tourism

Ministry of

Environment

Ministry of Health & Welfare

Competent ministry

(2) Excluded businesses for foreign investment

Environment administration (84213)

Means an institution to perform managing administration of atmosphere, water supply and drainage and wastes, and wild animals and nature preservation

<Example>

t i i i tr ti ir t r ti i i tr ti nvironment

regulating administration

ater supply and drainage administration

<Exclusion>ewage, wastes, and sanitation process activities (37)

Ministry of Education, Science, and Technology

Ministry of Culture, Sports, and Tourism

Ministry of

Environment

Ministry of Health & Welfare

Competent ministry

(2) Excluded businesses for foreign investment

Health and welfare administration (84214)

Means an institution to manage and supervise medical institutions and sanitary facilities and to perform welfare administration for the poor and the people

<Example>

i l i i tr ti lf r i i tr ti r ti t ti ccommodations

managing administration ood and restaurant managing administration

<Exclusion>

i l rit i i tr ti ( ) li lt t r ( ) edical institution (86)

Ministry of Education, Science, and Technology

Ministry of Culture, Sports, and Tourism

Ministry of

Environment

Ministry of Health & Welfare

Competent ministry

(2) Excluded businesses for foreign investment

Other social service management administration (84219)

Means an institution to perform any other social service managing administration

<Example>

atriot and veterans administration onsumer protection administration

Ministry of Education, Science, and Technology

Ministry of Culture, Sports, and Tourism

Ministry of

Environment

Ministry of Health & Welfare

Competent ministry

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of

Labor

Ministry of Food, Agriculture, Forestry, and Fisheries

Ministry of Land Transportation and Maritime Affairs

Korea Communications Commission

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(2) Excluded businesses for foreign investment

Labor administration

(84221)

Means an institution to perform general administration for unemployment/employment policies and other labor-related matters

Ministry of

Labor

Ministry of Food, Agriculture, Forestry, and Fisheries

Ministry of Land Transportation and Maritime Affairs

Korea Communications Commission

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(2) Excluded businesses for foreign investment

Agriculture and fisheries administration (84222)

Means an institution to perform supporting and managing administration in relation to agricultural and fisheries affairs

<Example> armland managing administration

Inspection and rating administration for agricultural products

Insect exterminating administration for agricultural products

dministration pertaining to agricultural products price and farming households' income

t ri r i i i tr ti r tr i i tr ti isheries and hunting-related administration

Ministry of

Labor

Ministry of Food, Agriculture, Forestry, and Fisheries

Ministry of Land Transportation and Maritime Affairs

Korea Communications Commission

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(2) Excluded businesses for foreign investment

Construction and transportation administration (84223)

Means an institution to assume urban/rural development planning and permit and inspection of transportation facilities, business, etc.

<Example>

l t i i tr ti rban planning administration

ri tr rt ti i i tr ti ehicles permission administration

Ministry of

Labor

Ministry of Food, Agriculture, Forestry, and Fisheries

Ministry of Land Transportation and Maritime Affairs

Korea Communications Commission

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(2) Excluded businesses for foreign investment

Telecommunications administration (84224)

Means an institution to manage, regulate and permit communication facilities, etc.

<Example> i ti i i i tr ti ail managing administration

<Exclusion> il r i ( ) elecommunications service (612)

Ministry of

Labor

Ministry of Food, Agriculture, Forestry, and Fisheries

Ministry of Land Transportation and Maritime Affairs

Korea Communications Commission

Ministry of Knowledge Economy

Ministry of Knowledge Economy

(2) Excluded businesses for foreign investment

Other industry promotion administration (84229)

Means an institution to assume other industry promotion managing administration

<Example>

ll i i r ti i i tr ti r i i tr ti

Industry promotion administration

i tri ti i i i tr ti l li i i tr ti ining industry managing administration

tr l rilli i i i tr ti lectricity and gas managing administration

Ministry of

Labor

Ministry of Food, Agriculture, Forestry, and Fisheries

Ministry of Land Transportation and Maritime Affairs

Korea Communications Commission

Ministry of Knowledge Economy

Ministry of Knowledge Economy

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

B usiness type

B usiness overview

(subclasses in accordance with the Korean Standard Industrial C lassification)

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Foreign affairs administration (84310)

Means an institution to establish and execute diplomatic and foreign trade policies

<Example>

r i tr i i tr ti oreign military and economic aid administration

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

National defense administration (84320)

Means an institution to perform national defense

<Example> r , , ir f r ivil Defense Corps

<Exclusion> esearch and experiment development (70)

r i i f f r i ilit r i ( ) ilitary trial activities (84401)

ilit r i r it ( ) ilitary hospital (8610)

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Court

(84401)

Means an institution with judicial power

<Example> r rt istrict court il rt atent court

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Public prosecutor's office

(84402)

Means an institution with prosecutory power

<Example> r r t r ' ffi istrict public prosecutor's office

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Correctional body

(84403)

Means an institution that operates correctional facilities

<Example> ri il r f r t r etention center

With the implementation of the Act on the Establishment and Operation of Private

Prison, etc., since July 2001, foreign investment is permissible to private prisons.

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Police station

(84404)

Means an institution to assume civil and traffic safety

<Example> ti l li olice station

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Fire station

(84405)

Means an institution to assume fire extinguishing and emergency rescue

<Example> ir t ti mergency relief squad

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

(2) Excluded businesses for foreign investment

Other judicial and public order administration (84409)

Means an institution to perform any other judicial and public order administration

<Example> ational disaster rescue administration

<Exclusion> dvice and representation for civil and criminal cases (71101)

ilitary forces operating administration (84320)

M inistry of Foreign Affairs and Trade

M inistry of National Defense

- M inistry of

Justice

M inistry of

Justice

M inistry of Public Administration and Security M inistry of Public Administration and Security

C ompetent ministry

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

B usiness overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Social security administration (84500)

M eans an institution to perform social security administrative affairs by government's transfer payments

<Example> l t ti ompensation administration for family and child protection

ocial security benefits administration for the elderly and incompetents

<Exclusion> peration of social security insurance (6513)

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Educational institution for toddlers (85110)

M eans an educational institution to encourage the harmonious development of mind and body by educating toddlers and providing the appropriate educational environment for them

<Example> reschool

<Exclusion> ursery school and day care center (87210)

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Elementary school

(85120)

Means an educational institution to provide elementary education necessary for public life

<Example> lementary school

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Middle school

(85211)

M eans an educational institution to be established for the purpose of further extending educational contents for a person w ho has completed elementary school courses

<Example> iddle school

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Academic high school

(85212)

Means an educational institution to be established based on humanity educational programs, serving as a gateway to advanced schools

<Example> i i l cience high school

r i i l ir rr i l oreign language high school

rt i l hysical education high school

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Commercial and information industry high school

(85221)

Means an institution to educate a person who has completed middle school courses on bookkeeping and information processing

<Example> r i l i l Information industry high school

omputer-related high school

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Technical high school

(85222)

Means an institution to educate professionally a person who has completed middle school courses on the manufacturing process and machine-related technologies

Ministry of H ealth & Welfare

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Other technological and vocational high school (85229)

Means an institution to educate a person who has completed middle school courses on any other technology and vocation

<Example> ri lt r l i l i ri i l arine high school

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

College

(85301)

Means an educational institution to be established for the purpose of performing education focusing on technological and vocational curricula for a person who has completed secondary school courses

<Example> ollege

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

University

(85302)

Means an educational institution to enable a person who has completed secondary education curricula to investigate and research focusing on an aspect of theory and to grant qualifications and degrees, including higher educational institutions to be established for specialized purposes

<Example> ir rr ll i r it f i t l

University of technology

olice academy ilit r , l, ir f r r i ll eachers' college

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Graduate school

(85303)

Means an institution to educate -- focusing on highly specialized curricula on the same topics majored in during university courses -- a person who has completed university courses

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Special education school

(85410)

Means an educational institution to provide education equivalent to that in preschools, elementary, middle, and high schools for a person who needs special education due to visual and hearing impairment and mental retardation, etc.

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Lifelong education facility (85630)

Means an educational institution for the public's lifelong education; refers to an industrial activity not classified into any other category

<Example> Lifelong education facility ifelong education institute affiliated with a school

ifelong education institute affiliated with a civil organization

For a lifelong education facility without any purpose of academic certification or degree

granting (in relation to remote education, affiliated institute with workplace, civil society groups, schools and media; knowledge and human resources development business) and designed for adults, foreign investment is permissible.

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

(2) Excluded businesses for foreign investment

Other non-classified educational institution (85699)

Means an educational institution that is otherwise classified.

<Example> rt ri t t i i tit t peed reading private teaching institute

i ri t t i i tit t ffice work education

t-r l t ti ratory private teaching institute

<Exclusion> artial art aining lity

For any other non-classifie tr educati faci inst (85611) private educational institute pursuant to the d onal itutions, a

Act on the Establishment and Operation of Private Teaching Institutes can be permitted for foreign investment.

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Ministry of Education, Science, and Technology

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent

Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of Culture, Sports, and Tourism

(2) Excluded businesses for foreign investment

Performing artist

(90131)

Means an independent performing artist who directly takes part in performance and performs artistic acts using his/her own body, such as actors/actresses, singers, vocalists, dancers, stuntpersons, etc.

<Example> t r/ tr i i oice talent

Ministry of Culture, Sports, and Tourism

(2) Excluded businesses for foreign investment

Non-performing artist

(90132)

Means an artist to work independently in non-performing art activities

<Example> t r rit r rt i t roducer

i ti r t r t r l t r esigner (stage and lighting)

i t r t r ir t r i ir t r ri i t omposer

<Exclusion> ommercial artist(73203)

Ministry of

Culture,

S d

ports, an

Tourism

(2) Excluded businesses for foreign investment

Industrial association

(94110)

Means an organization to help enhance mutual interest between enterprises operating businesses in the same industry sector, which can publish publications for members only and conduct PR activities

<Example> f t r r ' i ti hamber of Commerce & Industry

ti ' i ti Trade association l i r i ti ederation of

Small and Medium Business r r ' r i ti orean Hospital Association

Competent ministry

(2) Excluded businesses for foreign investment

Professional association

(94120)

Means an organization organized for the purpose of promoting the interest of members working in a certain vocational sector

<Example> rt r i ti r i ti f rt i ti l r r orea

Bar Association r i l i ti i li i t rtist organization

<Exclusion> he education activities conducted by any expert organization are classified into an appropriate category (85).

Competent ministry

(2) Excluded businesses for foreign investment

Labor union

(94200)

Means an organization consisting of employees for the purpose of maintaining and enhancing the working conditions and improving the economic and social status of workers

<Example> r i i tr abor union by district ti i l r i

<Exclusion> ducational service(85)

Ministry of

Labor

(2) Excluded businesses for foreign investment

Buddhist organization

(94911)

Means a temple, a missionary center, etc., related to Buddhism

Ministry of Culture, Sports, and Tourism

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Competent Authority

(2) Excluded businesses for foreign investment

Business type

Business overview

(subclasses in accordance with the Korean Standard Industrial Classification)

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Christian organization

(94912)

Means a church, a missionary center, etc., related to Christianity

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Catholic organization

(94913)

Means a Catholic church, a missionary center, etc., related to Roman Catholicism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Ethnic religion organization(94914)

Means a religious organization that has originated in Korea, such as Cheondo religion, Won Buddhism, Jeung San Do, etc.

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Other religious organization (94919)

Refers to other religious organizations, including Confucianism, Islam, etc.

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Political organization

(94920)

Refers to a political party and any other political organization

<Example> liti l rt upporters' organization for a politician lection campaign organization

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Environment movement organization (94931)

Refers to an organization to work for the protection and conservation of environment and wildlife

<Example> i l r t ti r i ti ature protection organization nvironmental movement organization

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Other civic organization

(94939)

Refers to any other civic movement organization to defend a certain social/political cause

<Example> ri t r t ti r i ti axpayers protection organization eace protection organization r r ti r i ti onsumer protection organization

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Other association and organization (94990)

Refers to a membership organization that is not classified otherwise

<Example> rit r i ti cholarship fund operating organization

ti r i ti it r li i t r eterans' association r r ti ocal contribution organization

r t ti r i ti f r i l r outh organization (boy scout, girl scout)

ffinity group (photography club, gardening club, crafts club, stamp collectors' association)

<Exclusion> xperts organization (9412)

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Foreign missions in

Korea (99001)

Refers to foreign missions in Korea

<Example> oreign embassy in Korea

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

(2) Excluded businesses for foreign investment

Other international and

foreign institution

(99009)

Refers to other international and foreign institution

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

Ministry of Culture, Sports, and Tourism

-

Ministry of

Environment

Competent ministry

Competent ministry

Ministry of Foreign

Affairs and Trade

Ministry of Foreign

Affairs and Trade

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent Authority

Exclusive (monopoly) businesses designated by laws

Horse racing (act to issue a ticket to vote for racing a horse on which a jockey rides and to deliver returns to a person who correctly guesses which horse would win) shall be held by the Korean Horse Affairs Association..

O An entity other than the Korean Horse Affairs Association cannot issue a betting ticket or hold horse racing.

Bullfighting matches (act to issue a ticket to vote for bullfighting match and to deliver returns to a person who correctly guesses which bull would win) shall be held by a local government (including a local corporation or a local industrial complex under the Local Public Enterprises Act).

Bicycle racing (act to issue a ticket to vote for bicycle racing and to deliver returns to a person who correctly guesses which bicycle would win) or motorboat racing (act to issue a ticket to vote for motorboat racing and to deliver returns to a person who correctly guesses which motorboat would win) shall be held by a local government or the Korea Sports Promotion Foundation with approval from the Minister of Culture, Sports, and Tourism.

O An entity other than a local government or the Korea Sports Promotion Foundation, which is permitted to carry out bicycle and/or motorboat racing cannot perform any profit-making activities in relation to racing, or purchasing, offering, and assigning a voting ticket by issuing a voting ticket or any other equivalent or delivering money to a person who correctly guesses which one would win.

Neither an entity other than the Korea Sports Promotion Foundation or its trustee can carry out the issuance of the voting ticket of sports promotion (issuance business to issue voting ticket for sports promotion) or any similar activity.

The Minister of Labor shall take charge of managing employment insurance.

Industrial accident compensation insurance activities shall be managed by the Minister of Labor. Mailing businesses shall be run by the State and managed by the Minister of Knowledge Economy.

O Except in cases wherein the Minister of Knowledge Economy allows managing, or asks to manage, the mailing business in part, no entity can perform the delivery activity of correspondence for other persons or deliver any other person's correspondence using its own organization or system..

Waterworks businesses shall be managed by the State, local governments, and Korea Water Resources

Corporation as a rule.

O Note, however, that the same shall not apply to cases wherein the supply of tap water by private business operators on behalf of local governments, etc., is deemed necessary.

Articles 3 and 48 of the Korean Racing Association Act

Article 6 of the Traditional Bullfighting Match Act

Articles 4 and 24 of the Bicycle and Motorboat Racing Act

Articles 24, 25, and 26 of the National Sports Promotion Act

Article 3 of the Employment Insurance Act and Article 2 of the Industrial Accident Compensation Insurance Act

Article 2 of the Mail

Act

Article 12 of the Water Supply and Waterworks Installation Act

M inistry of Food, Agriculture, Forestry, and Fisheries

M inistry of Food, Agriculture, Forestry, and Fisheries

M inistry of Culture, Sports, and Tourism

M inistry of Culture, Sports, and Tourism

Ministry of Labor

M inistry of

Knowledge Economy

M inistry of

Environment

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(1) Restrictions on the

requirements of licensing for pilots

The Minister of Land Transportation and Maritime Affairs shall issue a pilot's license to a person who meets the following requirements:

(1) Master of a ship weighing six thousand tons gross or more and who has at

least five years' experience boarding ships; (2) person who has passed the pilot trainees' screening test and who has received on-the-job training as pilot trainee; (3) person who has passed the pilot's test, and; (4) person who has passed the physical examination

A person who is not a citizen of the Republic of Korea cannot become a pilot.

Article 5 of the

Pilotage Act

Article 6 of the

Pilotage Act

Ministry of

Land

Tra tion

nsporta

and

Maritime

Affairs

(2) Restrictions on the practice of foreign

lawyers and scope of work

A person -- regardless of whether he/she is a citizen of the Republic of Korea or a foreigner -- falling under any of the following subparagraphs shall be qualified to practice law: (1) person who has passed the domestic bar examination and has completed the required course in the Judicial Research and Training Institute, or; (2) person who has been qualified as judge or public prosecutor.

Article 4 of the

Attorney-at-law Act

Ministry of

Justice

(3) Restrictions on foreign

certified architects' work

A person seeking to become a certified architect shall pass the architects' licensure examination.

O A person who has been licensed or qualified as certified architect in a foreign country may be eligible to apply for the architects' licensure examination when he/she has at least 5 years' professional experience in the architecture field.

A person who has been licensed or qualified as certified architect in a foreign country may do business as certified architect only when he/she is commissioned to perform designing/construction/supervision works of buildings jointly with an establisher of an architect's office as prescribed in the Enforcement Decree of the Certified Architects Act.

Article 7 of the Certified Architects Act

Article 14 of the Certified Architects Act

Article 23(3) of the Certified Architects Act

Ministry of Land Transportation and

Maritime

Affairs

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(4) Restrictions on

foreigners' performance

of activities

A foreigner seeking to perform or a person intending to invite a foreigner to perform in the territory of the Republic of Korea shall be subject to recommendation by the Korea Media Rating Board.

O A foreigner's performance cannot be held in the territory of the Republic of Korea if it fails to obtain a recommendation from the Korea Media Rating Board.

The Korea Media Rating Board may upon receiving an application for the recommendation of foreigners' performance -- withhold recommending such performance if the performing contents or the player(s):

1. may harm national interest or sentiment;

2. may disrupt good public orders and customs;

3. may disrupt or harm national performance order;

4. are deemed to justify a criminal act or excessively describe crime means in a more detailed way; or

5. use vulgar or obscene language or describe such vulgar or obscene movements.

Article 6 of the Public

Performance Act

Article 7 of the Public

Performance Act

Ministry of Culture, Sports, and Tourism

D iv isio n

Restrictio ns o n Fo reign Investo rs and/o r Fo reig n-Inv ested Firms

A pplicable law

(Pro v isio n)

Co mpetent

A utho rity

(1 )

V isa issu ance an d gran ting of statu s o f stay

A foreigner intending to enter Korea shall hold both a valid passport and a Korean Visa issued by the Minister of Justice (usually, heads of embassies and legations abroad are authorized/have the right to issue a visa).

O A person who enters Korea after obtaining a re-entry permit but before the validity period of the re-entry permit, and

O A person who is a national of a country that has signed a Visa Waiver Agreement with Korea and who becomes the object of exemption under the agreement may enter Korea without a visa

The Minister of Justice may temporarily suspend the application of Visa Waiver Agreement when it deems necessary and proper for the maintenance of public safety or national interest.

A foreigner intending to enter Korea shall obtain a status of stay appropriate for his/her objective to enter the nation and may stay in the Republic of Korea according to his/her given status and length of stay.

The status of stay includes 37 categories such as diplomacy (A-1), public affairs (A-2), short-term employment (C-4), studying abroad (D-2), job hunting (D-10), etc., according to the purpose of entry into the Republic of Korea.

An essential professional of a foreign investment company intending to work in management, control and production, and technology sectors may be given the status of corporate investment (D-8); in particular, a person intending to work for a foreign investment company pursuant to the Foreign Investment Promotion Act and who has stayed for more than 3 years in the Republic of Korea and whose status of stay is corporate investment (D-8) among persons dispatched to such foreign investment company that has invested more than US$500,000 may be granted the status of residence (F-2).

A foreign investor investing more than US$500,000 in accordance with the Foreign Investment Promotion Act and employing more than 5 domestic employees may be given the status of permanent residence (F-5).

A foreigner who comes to stay in Korea without the qualified status of stay due to birth in Korea, etc., shall obtain a status of stay within 30 days of occurrence of such events.

A rticle 7 o f th e Im migratio n C on tro l A ct

A rticles 10 an d 1 7 of th e Im mig ration C on tro l A ct

A rticle 23 of the Im migratio n C on tro l A ct

M inistry o f

Ju stice

Division

Restrictions on Foreign Investors and/or Foreign-Invested Firms

Applicable law

(Provision)

Competent

Authority

(2) Registration of a

foreigner

A fo re ig n er w h o c o n tin u e s to s tay fo r m o r e th an 9 0 d a y s a fter h is/h er en try sh all reg ister as fo r eig n er w ith in 9 0 d ay s o f s u ch en tr y .

M atter s fo r re g istratio n : N am e, g en d er, d ate o f b irth , an d n a tio n ality ; p as sp o rt n u m b er, d ate o f is su e, an d ter m o f v a lid ity ; p la ce o f w o rk an d p o sitio n o r af fair s in ch arg e; ad d res s in h o m e c o u n try an d p lac e o f re sid en c e in K o rea; statu s o f s tay an d p erio d o f sta y , etc.

O If a fo re ig n er w h o h as filed f o r re g istratio n ch an g e s h is /h er p lace o f so jo u rn , th e f o reig n er sh all m ak e a m o v in g -in rep o rt to th e h ead o f a S i/G u n /G u o f th e n ew p lace o f s o jo u rn o r th e h ead o f th e o ff ice o r b ran c h o f fice h a v in g ju r isd ictio n o v er th e n ew p lace o f so jo u rn w ith in 1 4 d ay s f ro m th e d a te o n w h ich th e fo reig n er m o v es in .

Articles 31, 32, and

36 of the Immigration

Control Act

Ministry of

Justice

(3) Extension of staying period

If a fo re ig n er in ten d s to co n tin u e to sta y in K o rea in ex ces s o f th e p erm itted p er io d o f stay , h e/sh e s h all o b tain p erm issio n fo r th e ex ten sio n o f th e p e rio d o f stay fro m th e M in is ter o f Ju stice b e fo re th e ex p ir atio n o f th e p erio d o f stay .

In case a fo r eig n in v es to r, after h a v in g in v es ted m o re th an U S $ 5 0 0 ,0 0 0 an d em p lo y in g m o r e th an 5 n atio n als o f K o r ea p u rsu an t to th e F o re ig n In v es tm e n t P ro m o tio n A c t, h as b ee n g r an ted th e s tatu s o f p e rm an e n t res id en ce ( F -5 ), th e u p p e r lim it o f th e stay in g p erio d sh all n o t a p p ly .

Article 25 of the Immigration Control Act

Ministry of

Justice