Analysis-China's New K Visa beckons foreign technical talent as US Wikes H-1B Fee

By Eduardo Baptista

Beijing (Reuters) -China's new Visa program aimed at attracting foreign technical talent this week, a movement that stimulates the Fortuinen van Beijing in his geopolitical rivalry with Washington as a new American visa policy, asks requests to clambering for alternatives.

Although China is not a shortage of competent local engineers, the program is part of an attempt by Beijing to portray itself as a country that welcomes foreign investments and talent, because rising trade stresses due to the American rates cloud the economic outlook.

China has taken a series of measures to encourage foreign investments and travel, to open more sectors for overseas investors and to offer visa exemption for citizens from most European countries, Japan and South Korea.

“The symbolism is powerful: While the US is increasing barriers, China lowers them,” said Iowa-formed immigration lawyer Matt Mauntel medicians, referring to the new visa category of China, called K Visa, which will be launched on Wednesday.

“Excellent” timing

The K -visa, announced in August, focuses on Young Foreign Science, Technology, Engineering and Mathematics (STEM) graduates and promises to make access, stay and employment possible without a vacancy that can rely on foreign employees looking for alternatives to American vacancies.

Earlier this month, the Trump administration said it would ask companies to pay $ 100,000 a year for H-1B-Employeesvisa, often used by technology companies to hire competent foreign employees.

“The US has certainly shot itself on H-1BS, and the timing is excellent for the K visa of China,” said Michael Feller, main strategist at Geopolitic Strategy.

Other countries, including South Korea, Germany and New Zealand, are also a separate visa rules to attract skilled migrants.

Immigration experts say that the most important attraction of the K-visa is not a requirement of a sponsoring employer, which is considered one of the biggest obstacles for those looking for H-1B-VISA.

The H-1B visa requires the sponsorship of employers and is subject to a lottery system, with only 85,000 slots available annually. The new reimbursement of $ 100,000 can further scare the first applicants.

“It is an attractive alternative to Indian voice professionals who are looking for flexible, streamlined visa options,” said Bikash Kali Das, an Indian student at Sichuan University.

India was by far the largest beneficiary of H-1B-VISA last year, accounting for 71% of the approved beneficiaries.

Language barriers and unanswered questions

Despite its promise, the K -visa is confronted with obstacles. Guidelines of the Chinese government call vague “age, educational background and work experience” -requirements.

There are also no details about financial incentives, employment facilitation, permanent stay or family sponsorship. Unlike the US, China does not offer citizenship to foreigners, except in rare cases.

The Chinese State Council did not respond to a request for comments in which more information about the logistics and underlying strategy of the K visa was requested.

Language is another barrier: Most Chinese technology companies work in Mandarin and limit opportunities for non-Chinese speakers.

Political tensions between Delhi and Beijing can also become a factor that can limit the number of Indian K -visa applicants that China is willing to accept experts.

“China will have to ensure that Indian citizens feel welcome and can do meaningful work without mandarin,” said Feller.

K Visa: an alternative to whom?

China's talent recruitment is traditionally focused on scientists born in China abroad and overseas Chinese.

Recent efforts include subsidies for home purchase and signing bonuses of a maximum of 5 million Yuan ($ 702,200). These have withdrawn the American voice talent, especially in the midst of the growing investigation of Washington on ties with China.

“The recruitment efforts that focus on Indian technical talent in China is growing but remains moderate compared to the more intensive, established and well-funded initiatives aimed at repatriating Chinese voice talent,” said Das of Sichuan University.

A Chinese STEM graduate who recently received a vacancy from a technology company established in Silicon Valley was also skeptical about the prospects of the K-visa.

“Asian countries such as China do not rely on immigration and local Chinese governments have many ways to attract domestic talent,” he said, who refused to be mentioned for privacy reasons.

The US has compared more than 51 million immigrants – 15% of the population – with only 1 million foreigners in China, less than 1% of the population.

Although it is unlikely that China will change its immigration policy considerably to allow millions of foreign employees, analysts say that the K -visa could still stimulate the Fortuinen of Beijing in its geopolitical rivalry with Washington.

“If China can even attract a piece of worldwide technical talent, it will be more competitive in advanced technology,” said Feller.

($ 1 = 7,1201 Chinese Yuan Renminbi)

(Reporting by Eduardo Baptista; Edit by Miyoung Kim and Lincoln Feast.)