South Korea said on Sunday it was on track to achieve its target of winning $40 billion of overseas construction orders this year, with an expected rebound in commodity and oil prices set to revive plant-building projects.
Government stimulus spending in Malaysia, Indonesia, Singapore and India will also boost orders for oil refineries and infrastructure facilities, the ministry of land, transport and maritime affairs said in a statement.
"Building material prices such as cement and steel are highly likely to rebound. Plant project orders are expected to go up at a fast pace," it said, adding that oil producers in north Africa have been expanding upstream investments.
In the first half of this year, South Korea raked in $13.1 billion from foreign construction orders, just half the amount of orders received in the same period of 2008, in the wake of the global economic crisis.
But the second-half volume of foreign orders to be received is tipped to reach more than $30 billion, which would bring the total to more than $40 billion for the whole of this year, the ministry said, after surveying South Korean builders.
The tally includes gas projects in the United Arab Emirates awarded last week to Hyundai Engineering & Construction Co Ltd, GS Construction, Hyundai Heavy Industries Co Ltd and other companies.
SK Engineering & Construction also secured a $7 billion order for a refinery project in Malaysia this month, according to the ministry.