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Korean companies nab $34 million in overseas contracts for industrial plant construction

Published: 07 Jan. 2025, 18:14

GS Engineering & Construction's Fadhili gas plant in Saudi Arabia [YONHAP]

Korean companies secured $34 billion worth of overseas contracts for industrial plant construction in 2024, the Industry Ministry said Tuesday, marking the highest amount in nearly 10 years.

The figure represents a 12.7 percent increase from $30.2 billion recorded in 2023, and is the largest since $36.4 billion posted in 2015, according to the Ministry of Trade, Industry and Energy.

The ministry attributed the strong performance to projects won in the Middle East, which amounted to $15.52 billion, accounting for 46 percent of the total.

In April, Samsung Engineering and GS Engineering & Construction jointly secured a $7.3 billion contract to expand a gas plant in Saudi Arabia.

In November, Samsung C&T clinched an agreement worth $2.84 billion to construct a power plant in Qatar. Upon its planned completion in 2029, the facility will supply approximately 16 percent of Qatar's total electricity and 17 percent of the country's desalinated water.

The government added South Korean companies also made progress in diversifying their portfolios to include the European and Southeast Asian markets in 2024.

In October, Hyundai Engineering signed a $1.68 billion deal in Serbia to construct a solar energy facility.

Samsung Engineering secured a $950 million project in December to build a biorefinery in Malaysia, which will produce sustainable aviation fuel and other biofuels.

The ministry noted plant construction projects have a significant economic impact, influencing various areas, such as equipment production, engineering, consulting and financing.
"The government plans to continue providing all necessary support to businesses to maintain the momentum," Trade Minister Cheong In-kyo said.

Yonhap