South Korea Construction Market is Expected to Reach USD 389.89 Billion by 2030

Surge in large-scale projects is driving the South Korea construction market growth during the forecast period.

The South Korea Construction Market size was valued at USD 325.91 billion in 2024, and is projected to grow to USD 343.37 billion by 2025. Additionally, the industry is expected to continue its growth trajectory, reaching USD 389.89 billion by 2030, with a CAGR of 2.6% from 2025 to 2030, according to new research by Next Move Strategy Consulting.

The South Korea construction industry is witnessing remarkable growth, propelled by a surge in large-scale projects initiated in 2024 and 2025. Key developments driving this expansion include the Samsung Electronics Yongin Semiconductor Cluster, a USD 240 billion initiative launched in 2024 to establish six new chip factories by 2030, solidifying South Korea’s global leadership in the semiconductor industry. 

Other flagship projects include the Incheon International Airport Terminal 2 Expansion, a USD 4.8 billion effort commencing in 2025 to boost passenger capacity to 100 million annually by 2030, and the Seoul Yeouido International Finance Center Redevelopment, a USD 2.5 billion mixed-use venture launched in 2024, aimed at transforming the area into a global financial hub with state-of-the-art skyscrapers and commercial spaces. Supported by the Ministry of Land, Infrastructure and Transport (MOLIT), these strategic undertakings underscore the critical role of infrastructure in driving South Korea’s economic transformation.

However, rising infrastructure investments are further bolstering the construction market. According to Statistics Korea and MOLIT, infrastructure spending reached USD 55 billion in 2024, marking a 7.8% increase from 2023. The energy sector led the way with USD 15 billion in investments, driven by projects such as the USD 3 billion Shin Hanul Nuclear Power Plant Units 3 and 4, under construction in 2025, and expansive offshore wind farms targeting 14.3 GW capacity by 2030. 

The road transport sector followed closely, attracting USD 13 billion, with notable projects like the USD 1.2 billion Busan–Geoje Fixed Link expansion progressing steadily in 2024. Backed by the 2025 national budget, which earmarks USD 28 billion for infrastructure, these initiatives are expected to sustain long-term market momentum and reinforce South Korea’s reputation as a leader in innovative and sustainable infrastructure development.

On the other hand, navigating regulatory complexities presents a formidable challenge within the South Korean construction market. Infrastructure projects are frequently delayed by the need to secure a wide range of permits and approvals from multiple layers of government local, regional, and national. These include compliance with zoning laws, environmental assessments, building codes, safety regulations, and other legal frameworks. 

The permitting process is time-consuming, complicated by bureaucratic inefficiencies and inconsistent regulations across jurisdictions. In addition, sudden shifts in regulatory policies or unforeseen legal changes disrupt project timelines and increase costs, dampening investor confidence and hindering overall market efficiency.

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Several market players operating in the South Korea construction industry include Samsung C&T Corporation, Hyundai Engineering & Construction Co. Ltd., Daewoo E&C, Kumho E&C, SK Engineering & Construction Co., Ltd., Lotte Engineering & Construction Co., Ltd., Hanjin Heavy Industries & Construction Co., Ltd., POSCO Eco & Challenge, DL E&C, Doosan Enerbility, Dohwa Engineering Co., LTD., Kolon Global Corporation, SM GROUP, Dongbu Corporation, Ssangyong Engineering & Construction Co., Ltd., and others.

Key Insights from the South Korea Construction Market Report:

• The information related to key drivers, restraints, and opportunities and their impact on the South Korea construction market trends is provided in the report.

• The value chain analysis in the market study provides a clear picture of the roles of each stakeholder.

• The report provides the South Korea construction market share of key players, along with a detailed competitive analysis.