Seoul City Revises Special Construction Contract Conditions... Follow-up to Abolition of 50% Direct Construction Rule

Issuance of New Administrative Rule Following Special Conditions Revision
Expansion of Consortia Between General and Specialized Contractors

The Seoul Metropolitan Government has completed follow-up measures by revising the special conditions of construction contracts to abolish the regulation requiring "mandatory direct construction of 50% of construction projects."

On June 5, the city announced that it had revised the "Special Conditions for Construction Contracts of the Seoul Metropolitan Government," which previously required the main contractor to directly carry out all work items in joint contracts under the main contractor management system, and issued a new administrative rule.

This revision is a follow-up measure to the abolition of the "mandatory direct construction of 50% of construction projects" regulation, which was the 13th deregulation measure announced by the Seoul Metropolitan Government in February 2025. The regulation had required that 50% of construction projects ordered by the city and its investment and funded institutions be directly executed by the primary contractor.

With the revision of these conditions, the city plans to expand bidding participation methods such as the main contractor management system and to encourage consortia between general contractors and specialized contractors. The city also aims to promote a cooperative and productive structure between general construction and specialized construction sectors.

As a result, all construction projects ordered by the Seoul Metropolitan Government will now be subject to the revised special conditions of construction contracts. In addition, when carrying out construction projects under the main contractor management system, the main contractor will be able to choose whether to directly execute their assigned portion of the work.

Kim Seungwon, Director of Construction Technology Policy at the Seoul Metropolitan Government, stated, "We expect that this revision of the special conditions for construction contracts will expand consortia between general and specialized contractors, thereby promoting responsible construction." He added, "We will continue our efforts to abolish regulations in the construction industry and to drive innovation and change in the sector."