kbr-research-notes

2.87 Million Foreign Residents, 1.11 Million Employed: Foreign Labor Fills the Gaps in South Korea's Manufacturing Sector

As of the end of June 2026, the number of foreign residents in South Korea increased to 2,874,278, bringing the milestone of 3 million within reach. Foreign employment reached a record high of 1,109,000 in May 2025, with an employment rate of 65.5%. Mining and manufacturing account for 44.9% of employed foreigners, who are heavily concentrated in major industrial cities such as Siheung, Ansan, Hwaseong, and Pyeongtaek. Although the government reduced the E-9 introduction quota for 2026 to 80,000, the influx of foreign nationals continues through existing resident populations, international students, and seasonal work programs. The rise of foreign workers should be interpreted not merely as an immigration phenomenon, but as an economic indicator reflecting a shrinking working-age population, manufacturing labor shortages, and shifting regional industrial structures.