That international student always forgets to tie his shoes.
That class's foreign students look kind of innocent, don't you think?
That exchange student is always photobombing pictures of my boyfriend and me. It’s kind of annoying.
Remember 留学, which means "study abroad"? Do you also remember 学生, which is "student"? This word is like those two words mashed together (they share a 学), making it a "study abroad student." What's a better way to say that? How about exchange student!
This is a jukugo word, which usually means on'yomi readings from the kanji. If you know the readings of your kanji you'll know how to read this as well.