South Korea Framework Act on AI Development and Trust (AI Basic Act): AI Compliance Requirements

South Korea's AI Basic Act (passed December 26, 2024; effective January 22, 2026) establishes governance for "high-impact" AI systems in critical sectors (healthcare, education, employment, public safety) and generative AI. Providers must conduct risk assessments, implement safety measures, and designate a domestic representative for foreign companies. Generative AI outputs delivered to users must be labeled as AI-generated.

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Key Facts

Effective Date

January 22, 2026

Maximum Penalty

KRW 30,000,000 (approx. $22,000 USD) per violation (administrative fine)

What Your Business Must Do

4 compliance requirements identified. Critical requirements carry the highest risk of enforcement action.

High-Impact AI Risk Assessment

Critical

If you deploy AI in critical sectors (healthcare, employment decisions, education, public safety, financial services), conduct and document a risk assessment covering safety, reliability, transparency, and human rights impacts. High-impact AI must be registered with the Korean AI Safety Institute.

Generative AI Output Labeling

High Priority

When providing products or services that generate AI-produced content (text, images, audio, video) to Korean users, disclose that the content was AI-generated. This applies to chatbots, content creation tools, and any product built on GPAI models.

Deadline: January 22, 2026

Domestic Representative Designation

Medium Priority

Foreign companies providing high-impact AI products or services in South Korea must designate a domestic representative in Korea who can liaise with the Ministry of Science and ICT. The representative's contact information must be disclosed.

AI Safety & Ethics Policy

Medium Priority

Document how your AI systems meet the seven AI Safety Principles under the AI Basic Act: safety, reliability, transparency, fairness, human rights, privacy, and human oversight.

Frequently Asked Questions

Does South Korea Framework Act on AI Development and Trust (AI Basic Act) apply to my business?

South Korea's AI Basic Act (passed December 26, 2024; effective January 22, 2026) establishes governance for "high-impact" AI systems in critical sectors (healthcare, education, employment, public safety) and generative AI. Providers must conduct ris. Use ComplianceIQ's free scanner to get a personalized assessment in under 5 minutes.

What is the penalty for non-compliance?

The maximum penalty under South Korea Framework Act on AI Development and Trust (AI Basic Act) is: KRW 30,000,000 (approx. $22,000 USD) per violation (administrative fine). Fines are typically scaled by company size, severity of violation, and whether violations were willful or accidental.

How do I comply with South Korea Framework Act on AI Development and Trust (AI Basic Act)?

The 4 requirements above cover the core obligations. The fastest path to compliance is: (1) conduct an AI risk assessment, (2) document your AI systems, (3) implement transparency disclosures where required. ComplianceIQ generates all required documents automatically.

Official Source

https://www.msit.go.kr/eng/bbs/view.do?sCode=eng&mId=4&mPid=2&nttSeqNo=1071

Last updated: 2026-04-12 — verify at source before relying on this information.

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