Busan: Hyundai Engineering and Construction Co. (Hyundai E and C) announced its decision to withdraw from the national project aimed at constructing a new international airport in Busan's southeastern port city. The company cited insurmountable difficulties in meeting the government's stipulated completion deadline as the primary reason for its withdrawal.
According to Yonhap News Agency, Hyundai E and C emphasized that despite prioritizing safety and quality, it found it impossible to ensure a safe construction period within the government's timeline. The company expressed concerns over demands to reduce the timeline, arguing that such demands compromised the airport's safety and were influenced by political and regional interests.
The South Korean government initiated the 13 trillion-won (approximately US$9.4 billion) project in 2022 to address the increasing air traffic in the region and alleviate the pressure on Gimhae International Airport. The new floating airport on Gadeok Island was scheduled to open in 2035. Following multiple unsuccessful tenders, the government secured a private contract with a consortium led by Hyundai E and C last year.
Hyundai E and C had conducted a detailed technical review and requested a two-year extension for the construction period. The government, however, mandated the completion of the project within 85 months, while the company proposed a timeline of 108 months. Hyundai E and C clarified that only it would be withdrawing from the project, not the entire consortium.