The overseas plant orders surpassed $34 billion last year due to strong demand in the Middle East, marking the highest level in nine years since 2015 ($36.47 billion) and exceeding last year's target ($33 billion).
The Ministry of Trade, Industry and Energy noted that the amount our corporations won in overseas plant orders last year reached $34.07 billion, a 12.7% increase from the previous year ($30.23 billion).
Of the total order amount last year, $15.52 billion, or 46%, was from orders in the Middle East. The program to expand the Fadhili gas plant in Saudi Arabia, won by Samsung Engineering & Construction and GS Engineering and Construction in April last year, was a representative mega project that boosted last year's order performance. This was the third largest ever, following the Barakah nuclear power plant in the United Arab Emirates ($19.1 billion) in 2009 and the construction of the Bismayah new city in Iraq ($7.7 billion) in 2012. It was the largest scale among 'single plant projects' excluding nuclear power plants.
A representative from the Ministry of Trade, Industry and Energy explained, 'The high-level economic diplomatic achievements with Middle Eastern countries since November 2022 have led to actual contracts for large projects.'
Last year, our corporations also diversified into the plant market by securing several large-scale projects in Eastern Europe and Southeast Asia. Hyundai Engineering won a solar power plant project worth $1.68 billion in Serbia, while Samsung Engineering & Construction secured the Phoenix Bio (sustainable aviation fuel) refining facility in Malaysia for $950 million.
As a result, the order amount in Europe recorded $6.58 billion, a 250.6% increase compared to the previous year, with Europe's share expanding from 6.2% to 19%. The order amount in the Southeast Asia region also reached $3.39 billion, a 79.1% increase from the previous year.
Jung In-kyu, head of the trade negotiations headquarters at the Ministry of Trade and Industry, said, 'In terms of equipment exports, overseas plant orders can play a leading role,' adding, 'We will continue to provide generous support at the government level to maintain the upward trend in orders.'
The Ministry held a meeting with domestic plant EPC corporations earlier last year to hear industry requests and discuss order strategies. It has focused on supporting key projects in the External Economic Ministerial Meeting while also monitoring the current status of overseas plant orders semi-annually and requesting interest and support from the governments of the ordering countries.