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Construction companies receive overseas orders worth $20 billion

Construction companies receive overseas orders worth $20 billion

Posted September. 11, 2023 08:24,   

Updated September. 11, 2023 08:24


Over the period from January to August this year, domestic construction companies have recorded the highest influx of overseas construction orders since 2018. Notably, their success in securing contracts, particularly from Middle Eastern nations like Saudi Arabia, has significantly contributed to this achievement.

According to the International Contractors Association of Korea’s report on Sunday, the total value of overseas construction orders from January to August reached $21.93 billion, reflecting a 19.9% increase when compared to the corresponding period last year, which amounted to $18.3 billion. Although, as of May, the cumulative order value stood at $8.67 billion, falling short of the previous year’s figure of $10.3 billion, there was a noteworthy upturn in orders between June and August, surpassing last year’s levels. This marks the first occurrence since 2018 ($20.4 billion) where overseas construction orders for the January-to-August period have exceeded the $20 billion milestone.

In particular, June of this year witnessed a remarkable achievement by Hyundai Engineering & Construction, as they secured a $5 billion contract to construct the Amiral petrochemical plant, awarded by Aramco, Saudi Arabia’s state-run oil company. This project now ranks as the 7th largest single undertaking in the history of overseas construction projects by domestic construction companies. By region, the Middle East region led the way with a staggering $7.41 billion in orders, more than doubling the previous year’s figures, and constituting a substantial 33.8% of total orders. In North America and the Pacific, orders totaling $7.34 billion were primarily centered around construction projects. Orders worth $4.3 billion were received in Asia, primarily for industrial facilities and construction.