Overseas Plant Orders in First Half of This Year Total $13.05 Billion... Up 40.2% YoY

Middle East Order Performance 5x Increase
Impact of Saudi 'Amiral Project' and More

Overseas plant orders in the first half of this year increased by 40.2% compared to the first half of last year. This was due to a significant rise in orders from the Middle East and Africa regions.

According to the Ministry of Trade, Industry and Energy on the 6th, overseas plant orders in the first half of this year amounted to $13.05 billion, up 40.2% from $9.31 billion in the same period last year.

In the Middle East region, orders in the first half of this year reached $7.02 billion, a 552.3% increase compared to $1.08 billion in the same period last year. According to the ministry, this is the highest first-half order record in the Middle East region in the past eight years. The Africa region secured $1.7 billion in orders in the first half, a 331.1% increase from $400 million in the same period last year.

An official from the ministry explained, "The 'New Middle East Boom,' which was initiated through high-level economic diplomacy with Saudi Arabia in November last year and the United Arab Emirates (UAE) in January this year, is being realized as tangible results in the plant sector."

According to the Plant Industry Association, Hyundai Engineering & Construction secured the ‘Amiral Project,’ a $5 billion petrochemical plant construction project from Saudi Arabia last month, achieving more than half of the first half plant orders in the Middle East alone. To support further achievements, the government plans to establish the Middle East Desk (MEKA) to provide specialized services such as legal and accounting support locally in the Middle East, and dispatch a shuttle economic cooperation team in the second half of the year.

However, orders in Asia, Europe, and the Americas slightly declined. The Asia region recorded $2.7 billion in the first half of this year, down 48% from $5.19 billion last year, while the Americas and Europe also decreased by 46.5% and 27.5%, respectively.

By sector, except for industrial facilities, all other sectors showed overall balanced growth. Petrochemical plants secured a total of $7.4 billion in orders, a 119.6% increase from $3.37 billion in the same period last year. Additionally, oil & gas plants secured $730 million, up 90.3%, and power and desalination plants reached $2.56 billion, an 88.5% increase. The equipment sector grew by 368.3% to $1.36 billion. Industrial facilities secured $1.01 billion in orders in the first half of this year, a 70% decrease compared to last year’s $3.36 billion, when orders were concentrated.