Industry: Construction & Manufacturing | Publish Date: 25-Jun-2024 | No of Pages: 111 | No. of Tables: 78 | No. of Figures: 43 | Format: PDF | Report Code : N/A
The South Korea Construction Market size was valued at USD 303.52 billion in 2023, and is predicted to reach USD 389.89 billion by 2030, at a CAGR of 3.0% from 2024 to 2030. The construction market, known interchangeably as infrastructure market, plays a crucial role in the economy, overseeing the entire lifecycle of diverse physical structures, encompassing infrastructure, buildings, and facilities.
This industry undertakes a broad spectrum of projects, spanning from residential, commercial, and industrial developments to civil engineering and institutional infrastructure ventures. Collaboration among numerous stakeholders, including architects, engineers, contractors, suppliers, developers, investors, and government agencies, is indispensable for its functioning.
Positioned for growth, the industry is being propelled by an increased focus on environmentally sustainable practices, such as the incorporation of green building materials and energy-efficient designs. Additionally, factors such as the rising per capita income in emerging economies and low-interest rates in developed nations are expected to further drive the expansion of the South Korea construction market trends.
The construction industry in South Korea is witnessing remarkable growth, propelled by a surge in large-scale projects. Notably, in 2022, prominent initiatives such as the Samsung - Pyeongtaek P4 Chip Production Plant, Jukjeon Data Center, Equinix/GIC - Seoul xScale Data Centers, LG Chem/Tianjin B&M - Gumi Cathode Material Manufacturing Plant, and Hyundai E&C - Hyundai Sungwoo 8 Apartment Redevelopment played pivotal roles in driving sectoral expansion. These substantial endeavors underscore the infrastructure sector's essential contribution to South Korea's economic advancement.
Increasing investments in infrastructure activities are significantly boosting the construction market in South Korea. According to the data from the Global Infrastructure Hub, infrastructure investment in the infrastructure sector surged to USD 51 billion in 2023.
Notably, the energy sector claimed the largest portion of this investment with USD 13 billion, followed closely by the road transport sector with USD 12 billion. This ongoing investment trend is expected to continue, further accelerating the growth and development of the market in the region.
Navigating through regulatory complexities presents a formidable challenge in the construction market. Infrastructure projects often face hurdles due to the intricate network of government regulations and permitting procedures. Infrastructure initiatives require obtaining numerous permits and approvals from governmental bodies at local, regional, and national levels.
These mandates entail adherence to zoning regulations, environmental assessments, compliance with building codes, safety standards, and various regulatory requirements. Lengthy permit acquisition processes, bureaucratic inefficiencies, and regulatory disparities among different jurisdictions can significantly extend project timelines and inflate costs. Moreover, fluctuations in regulations or unexpected policy changes can disrupt ongoing projects and deter potential investments.
The construction market is undergoing a significant digital transformation through the integration of the adoption of Building Information Modeling (BIM). Advanced technologies like BIM are enhancing efficiency, accuracy, and collaboration across diverse projects.
BIM, a sophisticated 3D modeling tool, empowers stakeholders to generate and manage digital representations of structures and infrastructure, facilitating improved coordination and communication among project teams.
By addressing the inadequacy of digitalization within the South Korea infrastructure sector, the program seeks to streamline lifecycle work processes, enhancing efficiency, cost-effectiveness, resilience, and safety for infrastructure and maintenance projects.
The key market players operating in the South Korea construction industry include China State Construction Engineering Corp. Ltd. (CSCEC), China Railway Group Ltd. (CREC), China Railway Construction Corp. Ltd. (CRCC), China Communications Construction Group Ltd. (CCCC), Metallurgical Corporation of China Ltd. (MCC), Power Construction Corp. of China, Vinci SA, China Energy Engineering Corp. (CEEC), Shanghai Construction Group (SCG), Bouygues Group, and others.
Renovation
New Construction
Real Estate
Residential
Affordable
Luxury
Commercial
Retail Buildings
Office Buildings
Hospitality
Healthcare Facilities
Educational Institutes
Entertainment Ventures
Infrastructure
Transportation
Airport
Port
Rail
Road
Water and Wastewater
Energy
Telecommunication
Manufacturing Plant
Warehouses
Power Plants
Oil Refineries
Chemical Plants
REPORT SCOPE AND SEGMENTATION:
Parameters |
Details |
Market Size in 2023 |
USD 303.52 Billion |
Revenue Forecast in 2030 |
USD 389.89 Billion |
Growth Rate |
CAGR of 3.0% from 2024 to 2030 |
Analysis Period |
2023–2030 |
Base Year Considered |
2023 |
Forecast Period |
2024–2030 |
Market Size Estimation |
Billion (USD) |
Growth Factors |
|
Companies Profiled |
10 |
Market Share |
Available for 10 companies |
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |
China State Construction Engineering Corp. Ltd. (CSCEC)
China Railway Group Ltd. (CREC)
China Railway Construction Corp. Ltd. (CRCC)
China Communications Construction Group Ltd. (CCCC)
Metallurgical Corporation of China Ltd. (MCC)
Power Construction Corp. of China
Vinci SA
China Energy Engineering Corp. (CEEC)
Shanghai Construction Group (SCG)
Bouygues Group