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South Korea plans special police powers for Industry Ministry to curb technology leaks

🇰🇷 South Korea, Seoul 13:21 Policy & regulation Business6 Tech Official updated 3 h ago first reported by 한국경제

In short

On 19 October the South Korean government said it will pursue special judicial police authority for the Industry Ministry (산업통상부) to investigate industrial technology leaks. It also plans to widen confiscation of criminal proceeds and require damages to include at least the victim company's development costs. Amendments to two laws are due to be proposed this month.

Read the full story 3 min read

The South Korean government plans to give the Industry Ministry (산업통상부) special judicial police authority to investigate technology leaks and to toughen penalties for such crimes. The plans were discussed on 19 October at the 76th Industrial Technology Protection Committee, which Minister Kim Jung-kwan (김정관) chaired at the Korea Trade Insurance Corporation (무역보험공사) in Seoul, according to Yonhap and Electronic Times. [ 1 , 3 ]

Yonhap reported that vice-minister-level officials from 15 ministries attended, along with the National Police Agency, the Serious Crimes Investigation Agency (중대범죄수사청), the prosecution office (공소청) and the Defense Acquisition Program Administration. Yonhap said the ministry is in charge of the Industrial Technology Protection Act and can designate and manage national core technologies, but that technology-leak investigations had been run by the Intellectual Property Office's special police. Korea Economic Daily said the ministry had no investigative authority over leaks. [ 1 , 7 ]

On penalties, the government plans to expand the confiscation and forfeiture of criminal proceeds so that the penalty outweighs the gain from a leak. Damages are to include at least the costs the victim company put into developing the technology. Korea Economic Daily described that as a lower limit, Hankook Ilbo said all development costs would be included, and Electronic Times called it punitive damages. The government also plans to publicise the need to raise Supreme Court sentencing guidelines and create new fine guidelines, and to set up a procedure under which courts can ask the ministry whether a technology counts as industrial technology. [ 1 , 2 , 3 , 4 , 6 , 7 , 11 ]

The measures also cover prevention. The review of national core technologies is to extend to the sale or withdrawal of overseas subsidiaries and to acquisitions by foreigners through domestic entities. Surveys of small companies and universities are to be strengthened, with the government able to order companies to take corrective measures. For key semiconductor and other advanced-industry personnel, outlets reported that the government will consider incentives and information to check whether staff have changed jobs, within limits on fundamental rights such as freedom of choice of occupation. Asia Economy said this draws on demands companies made at site meetings. [ 2 , 3 , 4 , 5 , 6 , 11 ]

The government plans to propose amendments to the Industrial Technology Protection Act and the National Strategic Advanced Industries Act this month and to reflect the measures in the 6th comprehensive industrial technology protection plan, due within the year. Seoul Economic Daily, Electronic Times, Asia Economy and Newsis said the plan is being prepared a year ahead of the original schedule. [ 1 , 2 , 3 , 6 , 11 ]

Seoul Economic Daily, Asia Economy and Newsis said the National Intelligence Service detected 22 overseas leaks of industrial technology in 2021, 20 in 2022, 23 in 2023, 23 in 2024 and 19 in 2025. Seoul Economic Daily gave a five-year total of 107. They also said the recent parliamentary audit raised calls for tighter management of overseas job moves by key semiconductor personnel. Kim said technology leaks can destroy industrial competitiveness built up by the state and companies over a long time at great cost and threaten national security, and pledged to carry out the bill proposals and the comprehensive plan. [ 2 , 6 , 11 ]

Why it matters

The plan would give the ministry that designates national core technologies investigative powers it has not had, according to Korea Economic Daily. The outlets tie it to continuing leaks in semiconductors and displays and to criticism raised at the recent parliamentary audit.

Key facts

  • The 76th Industrial Technology Protection Committee met on 19 October, chaired by Industry Minister Kim Jung-kwan (김정관), to discuss measures to strengthen technology protection. [ 1 , 2 , 3 , 4 , 5 , 6 , 7 , 11 ]
  • The government plans to introduce special judicial police authority for technology leaks at the Industry Ministry and to expand information sharing between agencies. [ 1 , 2 , 3 , 5 , 6 , 7 , 11 ]
  • Confiscation and forfeiture of criminal proceeds from technology leaks is to be expanded, and damages are to include at least the costs the victim company put into developing the technology. [ 1 , 2 , 5 , 6 , 7 , 11 ]
  • The government plans to publicise the need to raise Supreme Court sentencing guidelines and create new fine guidelines for technology leak crimes. [ 1 , 2 , 3 , 6 , 11 ]
  • Screening of national core technologies is to cover sales or withdrawal of overseas subsidiaries and acquisitions by foreigners through domestic entities. [ 2 , 3 , 4 , 5 , 6 , 11 ]
  • The government aims to propose amendments to the Industrial Technology Protection Act and the National Strategic Advanced Industries Act this month. [ 1 , 2 , 3 , 4 , 5 , 6 , 7 , 11 ]
  • The National Intelligence Service detected 22 overseas leaks of industrial technology in 2021, 20 in 2022, 23 in 2023, 23 in 2024 and 19 in 2025. [ 2 , 6 , 11 ]

Confirmed by several sources

  • The Industry Ministry held the 76th Industrial Technology Protection Committee on 19 October under Minister Kim Jung-kwan, with the National Police Agency, the Serious Crimes Investigation Agency (중대범죄수사청), the prosecution office (공소청) and the Defense Acquisition Program Administration attending alongside the usual members. [ 1 , 2 , 4 , 5 , 6 , 7 , 11 ]
  • The government plans to introduce technology-leak special judicial police authority at the Industry Ministry. [ 1 , 2 , 3 , 5 , 6 , 7 , 11 ]
  • The government plans to expand confiscation and forfeiture of proceeds of technology leak crimes and to have damages include at least the victim company's technology development costs. [ 1 , 2 , 5 , 6 , 7 , 11 ]
  • The government plans to have courts able to ask the Industry Ministry whether a technology counts as industrial technology during trials. [ 1 , 2 , 3 , 5 , 6 , 11 ]
  • The government plans to propose amendments to the Industrial Technology Protection Act and the National Strategic Advanced Industries Act this month and to reflect the measures in the 6th comprehensive industrial technology protection plan, due within the year. [ 1 , 2 , 3 , 4 , 5 , 6 , 11 ]

Still unclear

  • Whether the special police authority and the other measures will be enacted. The documents describe plans and amendments yet to be proposed; none reports a bill or a vote.
  • Exactly how damages will be calculated. Most outlets say damages would include at least the victim's development costs, Korea Economic Daily calls that a lower limit, Hankook Ilbo says all of the development costs would be included, and Electronic Times calls it punitive damages.
  • What incentives and job-change information the government will provide for key semiconductor and other advanced-industry personnel. Outlets say these are being reviewed or sought with related ministries, within limits on constitutional rights such as freedom of choice of occupation; no details are given.

What local media are saying

Official sourcesYonhap reported the plan to give the Industry Ministry special judicial police authority, tougher penalties, the attendance of 15 ministries' vice-minister-level officials and other agencies, and noted that investigations had been run by the Intellectual Property Office's special police. [ 1 ]
Business mediaBusiness outlets laid out the measures in detail, including confiscation, damages, sentencing guidelines, screening of overseas subsidiary sales and indirect acquisitions, and talent measures. Several cited the National Intelligence Service leak counts and criticism at the parliamentary audit, and quoted Minister Kim. [ 2 , 4 , 5 , 6 , 7 , 8 , 9 , 10 , 11 ]
Technology mediaElectronic Times described the plan as a government crackdown, listed the other items the committee deliberated, and called the damages provision punitive. [ 3 ]

Timeline, local time

  1. Yonhap published its report on 19 October on the plan to introduce special judicial police authority at the Industry Ministry. [ 1 ]
  2. Seoul Economic Daily reported on 19 October that the ministry said it had held the 76th committee meeting. [ 2 ]
  3. Korea Economic Daily reported on 19 October that a technology-leak special police unit would be created at the ministry. [ 7 ]
  4. Newsis reported on 20 October that the government would respond to technology leaks with strict punishment and a government-wide cooperation system. [ 11 ]