The South Korean government is set to foster the K-beauty service industry by leveraging artificial intelligence (AI) and data, ranging from custom cosmetics to medical beauty tourism. The initiative aims to transform the industry from a manufacturing focus to a high-value service sector that integrates diagnosis, recommendation, production, and tourism.
On October 14, the Ministry of Economy and Finance and other relevant agencies announced the 'AI and Converged K-Beauty Service Support Plan' during a meeting of economic ministers and the dedicated task force for service industry development.
This plan is part of a broader government initiative to enhance the competitiveness of the service sector, stimulating domestic consumption and exports. It focuses on three key areas: developing AI-based custom cosmetics, expanding tourism and shopping-related services, and supporting the international expansion of medical beauty.
To start, the government will revamp the skin data bank operated by the Korea Cosmetic Industry Institute under the Ministry of Health and Welfare to make it suitable for AI learning. Currently, it provides skin characteristic information for over 17,000 individuals from 18 countries. The plan includes standardizing and refining the data format to enhance its usability for companies. In the coming year, an additional 2,000 makeup photos and survey data from foreign visitors will be added, pending consent for personal data use.
A representative from the Ministry of Health and Welfare stated, "The skin data will be made accessible to companies, and we plan to improve it into a format that AI can utilize directly by next year." The initiative will ensure that identifiable features in facial photos are obscured, and skin characteristics are quantified for privacy. This aims to alleviate the burden on companies to build their own data sets while supporting the development of related technologies.
Regulations on the manufacturing and sale of custom cosmetics will also be relaxed. Currently, a custom cosmetics formulation manager must be present at each store, but starting in 2027, one manager will be able to oversee multiple locations if AI and automated devices are used. Guidelines for checking, recalibrating, and assessing the quality and safety of these devices will also be established.
Custom cosmetics are products that mix ingredients based on skin characteristics or diagnostic results. This includes methods where AI analyzes skin conditions to recommend suitable ingredient combinations or cosmetic treatments. The Ministry of Food and Drug Safety noted that while companies are developing related technologies, they have not yet become widely available in the market. The government plans to gather industry feedback to pursue amendments to relevant laws.
The government will also create regional hubs that link K-beauty with tourism and shopping. K-beauty clusters combining promotional, experiential, and buyer consultation functions will be established in Gyeongju and Jeju, while a global K-beauty academy is set to open in Osong, Chungbuk, in the first half of 2027. The number of establishments equipped with standard QR codes for payment through apps frequently used by foreigners will increase from 40,000 this year to 80,000 next year.
To support international expansion, the government will broaden the scope of AI-based services providing cosmetic regulatory information and promote halal certification, counterfeit cosmetic responses, and policy financing support. In the medical beauty sector, an integrated platform will be developed to connect foreign patients with services ranging from appointment and payment to pre- and post-treatment care, as well as accommodation and tourism.
The government is also considering improvements to the visa issuance process for medical and wellness tourism. Currently, foreign patients must receive invitations from medical tourism agencies and prove their financial capability to receive treatment or care in South Korea. A pilot program is planned for the first half of 2027.
A representative from the Ministry of Economy and Finance remarked, "The management and promotion functions of related industries, including cosmetics manufacturing, beauty services, and tourism, are dispersed across various ministries and regulations, making it challenging to foster the overall service industry. We will actively pursue the establishment of the Service Industry Development Act, which is currently pending in the National Assembly, to create a statistical foundation for the service industry and support inter-industry convergence."
* This article has been translated by AI.
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