S. Korean builders' overseas orders halve in H1

By Nam Kwang-sik
SEOUL, June 30 (Yonhap) -- South Korean builders' overseas orders halved in the
first six months of the year from a year earlier due to a tumble in demand
especially from the Middle East and Asia, market watchers said Tuesday.
The builders won orders worth a combined US$12.9 billion from 60 countries in the
January-June period, down 50 percent from $25.9 billion a year ago, according to
data released by the International Contractors Association of Korea (ICAK).
Orders from the Middle Eastern countries plunged 41 percent on-year to $7.76
billion in the first half, with those from Asian countries tumbling 54 percent to
$3.98 billion, according to the ICAK.
"The global economic crisis led the tumble in construction orders from the Middle
East and Asia," said Kim Tae-yup, an official at the ICAK.
UAE gave the biggest orders with $2.97 billion, followed by Saudi Arabia with
$1.64 billion and Singapore with $1.33 billion.
Hyundai Engineering & Construction Co., among Korean builders, took the largest
portion with $1.96 billion, trailed by Samsung C&T Co. with $1.17 billion and SK
Engineering & Construction Co. with $1.15 billion.
"South Korean construction firms are expected to secure more orders from the
Middle East in the second half as crude prices are on the rise," said Kim.
Analysts, however, offer a cautious outlook, saying that the global economic
slump will continuously shrink the construction market in the region despite the
rise of oil prices.
The average price of Dubai crude hovers at $69 per barrel this month, up 11.5
percent from the previous month.
ksnam@yna.co.kr
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