CNBC’s The China Connection newsletter: China’s K-visa plans spark worries of a talent flood 1/2
PUBLISHED WED, OCT 1 20254:26
KEY POINTS
• The program, which was rolled out on Wednesday with theaim of attracting foreign professionals, will also test how China balances its immigration policywith its pursuit of technological ambitions.
• Chinese social media users argue that the new visatilts the playing field toward foreign graduates at the expense of those educated in China.
•“Winning more American engineers is key, it is a chance for Beijing to showcase the superiority of its system,” said Dan Wang, China director at Eurasia Group.
==The big story=
Immigration anxieties and a challenging job market have sparked an onlinebacklash over China’s latest attempt at attracting global talent— a new visa program announced in August.
The program, which was rolled out on Wednesday with the aim of attracting foreign professionals,will also test how China balances its immigration policy with its pursuit of technological ambitions.
Under the new rules, young graduates — in the fields of science, technology, engineering and mathematics or STEM — no longer need backing from a local employerand can enjoy more flexibility in terms for entry frequency and duration of stay.
The keyword “K-visa” — as China’s new visa category is called— was among the top searches on social media site Weibo for days, before chatter about National Day traffic jams pushed it off the charts as millions hit the road for a week-long holiday.
Chinese social media users argue that the new visa tilts the playing field toward foreign graduates at the expense of those educated in China. Others on Weibowarned that without employer sponsorship, the program could invite fraudulent applications andopen the door to a surge in arrivals from developing countries, piling pressure on an already strained labor market.
“It’s already hard enough to verify local degrees. Now the K-visa would quickly spawn a cottage industry of agencies helping foreigners secure entry,” one user, with the handle name “momo has a new life,” wrote on the platform.
The backlash has prompted an unusually sharp response from state media, that has dismissed the criticism as “misleading” and “narrow-minded.” An editorial in People’s Daily argued that China still lacks in high-level talent needed to sharpen its technological edge, brushing aside fears of excessive immigration.
Hu Xijin, the outspoken former chief editor of nationalist tabloid Global Times, called the public backlash “a messaging problem,” adding thatexpatriates account for just 0.1% to 0.2% of China’s population, compared with 15% in the U.S.
Beijing’s focus on courting foreign talent is in stark contrast to Washington that recently introduced visa restrictions, making it difficult for overseas professionals to work in the U.S.
China lags behind the U.S. in some key fields such as semiconductors and biotechnologyand has been eager to draw foreign talent to help it catch up.
It will be “a test” for Beijing to manage the program amid strong public opposition, said Dan Wang, China director at geopolitical risk advisory Eurasia Group,expecting China to keep K-visa issuance “tightly controlled in small numbers and strict criteria so it looks like targeted recruitment rather than mass immigration.”
The debate comes at a time when China’s job market has been deteriorating, with theurban unemployment rate in August rising to its highest level since February.
Adding to a mismatch between an abundant supply of educated workers and a shortage of white-collar openings is anavalanche of 12.2 million college graduates — a record high — entering the job market this year.
The official youth unemployment rate spiked in August to 18.9%, the highest number since the new system of record-keeping took effect in 2023, excluding students.
Still, fears of expatriates flooding local job market appear to be overblown as the new policy, led by state-backed capital, will target the “top-tech talents” with limited impact on the broader job market, said Bob Chen, economist at Shanghai-based FG Venture with investments in advanced technology, semiconductors and AI segments.
https://www.cnbc.com/2025/10/01/cnbcs-the-china-connection-newsletter-chinas-k-visa-plans-spark-worries-of-a-talent-flood.html