South Korea Transportation Infrastructure Construction Market Size (2024 - 2029)

The South Korea Transportation Infrastructure Construction Market is experiencing a recovery and growth phase, driven by government initiatives to enhance land use equity and public accessibility through various road projects. The sector is adapting to challenges such as greenhouse gas emissions from road transport by implementing exclusive lanes and truck interchanges. In response to demographic changes and urban congestion, there is a focus on developing a low-carbon road logistics system and improving transportation networks. The Ministry of Land, Infrastructure and Transport is prioritizing key projects to alleviate traffic issues and promote balanced national growth, while also aiming to enhance public transportation services and accessibility for vulnerable groups.

Home Market Analysis Real Estate and Construction Research Construction Research Infrastructure Construction Research Transport Infrastructure Research South Korea Transportation Infrastructure Market Market Size

Market Size of South Korea Transportation Infrastructure Construction Industry

South Korea Transportation Infrastructure Construction Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 5.59 Billion
Market Size (2029) USD 6.62 Billion
CAGR (2024 - 2029) 3.50 %
Fastest Growing Market Asia Pacific
Largest Market North America

Major Players

South Korea Transportation Infrastructure Construction Market Major Players

*Disclaimer: Major Players sorted in no particular order

South Korea Transportation Infrastructure Construction Market Analysis

The South Korea Transportation Infrastructure Construction Market size is estimated at USD 5.59 billion in 2024, and is expected to reach USD 6.62 billion by 2029, growing at a CAGR of 3.5% during the forecast period (2024-2029).

  • Due to COVID-19 lockdowns and labor unavailability, the transport infrastructure construction market took a hit. Many construction projects were stopped to ensure the safety of the workers. The supply chains, plants, equipment, and manpower were hugely impacted. Now, the sector is recovering and focusing on developments.
  • The government has been enhancing equity in land use and publicness through road projects such as the Gwangmyeong-Seoul Expressway, which started construction in 2019, and the Jecheon-Yeongwol Expressway, which passed a preliminary feasibility study last year. Increased efficiency.
  • According to the situation in which 96.5% of the current transport sector's greenhouse gas emissions are generated on roads, a reduction effect can be expected through the operation of exclusive lanes for trucks and the construction of ICs for trucks.
  • In particular, in response to the rapid demographic change in Korean society and the demand for easing the disparity in the extinction region and congestion in the metropolitan area due to overcrowding in the metropolitan area, the low-carbon road logistics system, digital road asset maintenance, wide area transportation network maintenance, and three-dimensional road project are necessary.
  • MOLIT will accelerate key transportation projects such as the Great Train eXpress (GTX), high-speed railways, underground expressways, and the new airport in Gadeokdo to solve traffic congestion issues in metropolises and achieve more balanced national growth. To provide consumer-centric services, public transportation will make an innovative shift. MOLIT intends to increase investment in expanding public transportation services and improving intermodal transfer while updating outdated regulations. Efforts will also be made to improve transportation accessibility for vulnerable groups such as disabled people, older people, and those living in remote areas. The transportation industry is currently undergoing a period of rapid mobility transformation in South Korea.

South Korea Transportation Infrastructure Construction Industry Segmentation

The transport infrastructure construction market includes many activities associated with the construction of roads, railways, airports, and other related infrastructure.

The South Korean transportation infrastructure construction market is segmented by type (roadways, railways, airports, ports, and inland waterways). 

The report offers market size and forecasts for the transportation infrastructure construction market in value (USD) for all the above segments.

By Mode
Roadways
Railways
Airways
Ports and Inland Waterways
Need A Different Region Or Segment?
Customize Now

South Korea Transportation Infrastructure Construction Market Size Summary

The South Korean transportation infrastructure construction market is poised for steady growth over the forecast period, driven by significant government investments and strategic projects aimed at enhancing mobility and reducing congestion. The sector is recovering from the setbacks caused by COVID-19, which had disrupted supply chains and halted many projects. The government is focusing on developing road projects like the Gwangmyeong-Seoul and Jecheon-Yeongwol expressways to improve land use equity and efficiency. Additionally, initiatives such as the Great Train eXpress, high-speed railways, and the new airport in Gadeokdo are being accelerated to address urban congestion and promote balanced national growth. The market is characterized by a mix of national and international players, with companies like Samsung C&T, Hyundai E&C, and Daewoo E&C playing pivotal roles.

The industry is also witnessing a transformation towards smart and sustainable infrastructure, with efforts to integrate digital technologies and low-carbon solutions. The Korea Expressway Corporation is developing smart roads and solar highways, while KORAIL is advancing the 'Korea Railroad New Deal' to enhance digital, green, and regional balance initiatives. The market's fragmentation offers opportunities for new entrants, supported by ongoing projects and international collaborations, such as the agreement with Poland to develop transport infrastructure in Europe. Furthermore, South Korean logistics firms are expanding their global presence, as seen in CJ Logistics' investment in North America, to cater to increasing export volumes. These developments underscore the dynamic nature of the South Korean transportation infrastructure construction market, with a focus on innovation and strategic growth.

Explore More

South Korea Transportation Infrastructure Construction Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Market Dynamics

      1. 1.2.1 Drivers

        1. 1.2.1.1 High dependency on transportation

        2. 1.2.1.2 Increasing cross border trade

      2. 1.2.2 Restraints

        1. 1.2.2.1 Lack of investments in infrastructure projects

        2. 1.2.2.2 Shortage of skilled labor

      3. 1.2.3 Opportunities

        1. 1.2.3.1 Increasing demand for public transportation

        2. 1.2.3.2 Country's strategic location as a gateway to Asia

    3. 1.3 Value Chain / Supply Chain Analysis

    4. 1.4 Industry Policies and Regulations

    5. 1.5 Technological Developments in the Sector

    6. 1.6 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.6.1 Bargaining Power of Suppliers

      2. 1.6.2 Bargaining Power of Buyers

      3. 1.6.3 Threat of New Entrants

      4. 1.6.4 Threat of Substitutes

      5. 1.6.5 Intensity of Competitive Rivalry

    7. 1.7 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Mode

      1. 2.1.1 Roadways

      2. 2.1.2 Railways

      3. 2.1.3 Airways

      4. 2.1.4 Ports and Inland Waterways

South Korea Transportation Infrastructure Construction Market Size FAQs

The South Korea Transportation Infrastructure Construction Market size is expected to reach USD 5.59 billion in 2024 and grow at a CAGR of 3.5% to reach USD 6.62 billion by 2029.

In 2024, the South Korea Transportation Infrastructure Construction Market size is expected to reach USD 5.59 billion.

South Korea Transportation Infrastructure Construction Market Report Snapshots

South Korea Transportation Infrastructure Construction Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)