Key Takeaways
• Hyundai E&C withdrew from Gadeok Airport Project May 30, 2025, citing unrealistic 84-month timeline.
• Compensation talks with Gadeokdo landowners began June 1, 2025, crucial for airport construction progress.
• No revised opening date announced; rebidding for contractor ongoing amid technical and legal challenges.
The Gadeok Airport Project in South Korea: Delays, Challenges, and the Road Ahead
South Korea’s ambitious Gadeok Airport Project, designed to transform Busan into a major logistics and passenger hub, has hit a critical turning point. On June 1, 2025, compensation negotiations began with landowners in the Gadeokdo area, marking a key step in the airport’s development. However, just days earlier, Hyundai Engineering & Construction (Hyundai E&C)—the main contractor for site preparation—announced its withdrawal from the project. This sudden move has forced the Ministry of Land, Infrastructure and Transport (MOLIT) to halt its contract with Hyundai E&C and begin searching for a new contractor. The airport’s original opening date of 2029 is now delayed, with no new timeline announced.
This article explains what’s happening with the Gadeok Airport Project, why these developments matter, and what they mean for everyone involved—from government officials and construction companies to local residents and the wider South Korean economy.
What Is the Gadeok Airport Project?
The Gadeok Airport Project is one of South Korea’s largest infrastructure efforts. The goal is to build a new international airport on Gadeokdo, an island in Gangseo-gu, Busan. The airport is meant to replace the aging Gimhae International Airport, which is struggling with capacity problems. By building a new, larger airport, South Korea hopes to support Busan’s growth as a global city and boost the country’s competitiveness in trade and tourism.
Key project facts:
- Estimated cost: Over 13.7 trillion won (about US$10.64 billion)
- Site area: 6,669,000㎡
- Runway: 3,500 meters (expandable to 3,800 meters), suitable for large cargo planes like the Boeing 747-400F
- Parking: 10,718 cars
- Aircraft apron: Space for 58 aircraft (expandable to 209)
- Taxiways: Two main, six rapid-exit, four right-angle
- Railway extension: 16.53 km planned
- Road extension: 9.8 km planned
- Location: Gadeokdo, Gangseo-gu, Busan
The project is managed by the Ministry of Land, Infrastructure and Transport (MOLIT) and the Gadeokdo New Airport Construction Authority, with support from the Busan Metropolitan Government.
Why Did Hyundai Engineering & Construction Withdraw?
On May 30, 2025, Hyundai Engineering & Construction, a leading South Korean builder, withdrew from the Gadeok Airport Project. The company cited disagreements over the construction schedule and technical requirements. Hyundai E&C argued that the government’s timeline—84 months for site preparation—was too short for such a complex project. The company said it needed at least 108 months to do the job safely and properly.
This disagreement highlights a common problem in large infrastructure projects: balancing speed with safety and quality. Industry experts and lawmakers have criticized the government’s schedule as unrealistic, especially given the technical challenges of building on soft ground under the sea. Stabilizing this type of land is difficult and risky, and rushing the process could lead to safety problems or higher costs later on.
As reported by VisaVerge.com, Hyundai E&C’s withdrawal is seen as a major setback for the project. It shows the need for more realistic planning and better risk management in big construction efforts.
What Happens Next? The Step-by-Step Process
Despite the setback, the Gadeok Airport Project is still moving forward. Here’s what’s happening now and what comes next:
1. Land Acquisition
The first step is securing the land needed for the airport. On June 1, 2025, the government began compensation negotiations with landowners in the Gadeokdo area. This process is crucial because the airport cannot be built until the land is acquired. Landowners and residents are now directly involved, and fair compensation is a key concern.
2. Contractor Selection
With Hyundai E&C out, MOLIT is looking for a new contractor. The government will likely hold a new bidding process to find a company that can handle the project’s technical demands and agree to a realistic timeline. Hyundai E&C’s basic design will be used as a reference for the next phase, but the new contractor may suggest changes based on their own expertise.
3. Design and Engineering
Once a new contractor is chosen, the design and engineering work will continue. The government wants to avoid further delays, but experts warn that rushing this stage could lead to problems later. The technical challenges of building on soft, underwater ground mean that careful planning is essential.
4. Site Preparation and Construction
Actual construction can only begin after land acquisition is complete and a new contractor is in place. This stage includes preparing the site, building the runway, taxiways, and other airport facilities, and extending roads and railways to connect the airport to the rest of Busan.
Why Is the Project Delayed?
The main reason for the delay is the disagreement over the construction timeline. Hyundai E&C said the government’s schedule was too tight for such a complex job. When the company withdrew, the government had to stop the contract and start looking for a new builder. This process takes time, and there is no official new opening date for the airport.
Other factors contributing to the delay include:
- Technical challenges: Building on soft, underwater ground is risky and requires special engineering.
- Legal and policy changes: The Gadeokdo New Airport Construction Corporation Act, which provides the legal basis for the project, only came into force in April 2024.
- Political and public scrutiny: Lawmakers and the public are watching closely, especially after the failure of Busan’s Expo bid and the recent contractor issues.
Who Are the Key Stakeholders?
Several groups are directly involved in the Gadeok Airport Project:
- Ministry of Land, Infrastructure and Transport (MOLIT): Oversees project management and contractor selection.
- Gadeokdo New Airport Construction Authority: Handles project execution and coordination among stakeholders.
- Busan Metropolitan Government: Local government partner and main beneficiary of the new airport.
- Hyundai Engineering & Construction: Former contractor, withdrew due to timeline disagreements.
- Local lawmakers: Some, like Rep. Yeom Tae-young, have criticized the government’s schedule and called for a safer, more realistic timeline.
- Landowners and residents: Now in compensation talks, with concerns about displacement and fair treatment.
What Are the Policy and Economic Implications?
The delay in the Gadeok Airport Project has several important effects:
- Impact on Busan’s development: The airport is key to Busan’s plans to become a major logistics and passenger hub. Delays could slow economic growth and reduce the city’s global competitiveness.
- Financial and policy burdens: The need to rebid the contract and possibly redesign parts of the project will increase costs for both the current and future governments.
- Landowner concerns: Compensation negotiations are a sensitive issue. Fair treatment of landowners and residents is essential for the project’s success.
- National development: The airport is seen as important for balanced national development, helping to spread economic benefits beyond Seoul.
Multiple Perspectives: What Do Different Groups Say?
Government
The government is focused on keeping the project moving despite the setback. MOLIT is reorganizing the construction schedule and procurement process to minimize further delays. Officials say the airport remains a national priority.
Local Lawmakers and Critics
Some lawmakers, especially those on the Land, Infrastructure and Transport Committee, have criticized the government’s insistence on a tight schedule. They argue that safety and feasibility should come first, even if it means a longer timeline.
Construction Industry
Companies like Hyundai E&C point to the technical and scheduling challenges of the project. They say more realistic planning is needed to avoid safety risks and cost overruns.
Local Residents
People living in the Gadeokdo area are now directly involved in compensation talks. Their main concerns are fair compensation and the impact of the project on their lives and property.
Background: How Did We Get Here?
The idea for a new airport in Busan has been around for years. Gimhae International Airport, the city’s current airport, is too small to handle growing demand. The Gadeok Airport Project was designed to solve this problem and help Busan become a global city.
The project gained new momentum under the current administration. In October 2023, the Gadeokdo New Airport Construction Corporation Act was proclaimed, and it came into force in April 2024. This law created the legal and institutional framework for the project.
The original plan was to open the airport in 2029, in time to support Busan’s bid to host the World Expo. However, after Busan lost the Expo bid and Hyundai E&C withdrew, the timeline was pushed back.
What’s Next for the Gadeok Airport Project?
The immediate priority is to find a new contractor. If the rebidding process goes smoothly, construction could resume soon. However, experts warn that further delays are possible, especially if technical or legal issues arise.
A revised construction timeline is expected, with most observers predicting at least a one-year delay beyond the original 2029 target. The government will also need to manage public expectations and ensure that safety and quality are not sacrificed for speed.
There is also the possibility of further design changes as new contractors and stakeholders join the project. This could affect the airport’s final layout, capacity, and features.
Practical Guidance for Stakeholders
If you are a landowner or resident in the Gadeokdo area, it’s important to stay informed about compensation negotiations. Make sure you understand your rights and the process for receiving compensation. The Gadeokdo New Airport Construction Authority provides updates and information on its official website.
For construction companies interested in bidding for the project, closely follow announcements from the Ministry of Land, Infrastructure and Transport. The government’s official portal offers updates on procurement and project status.
Local businesses and investors should monitor the project’s progress, as delays could affect economic plans and opportunities in the region.
Official Resources and Where to Find More Information
- Gadeokdo New Airport Construction Authority: g-airport.or.kr/en
- Busan Metropolitan Government: busan.go.kr/eng/ai-translated-press-releases
- Ministry of Land, Infrastructure and Transport (MOLIT): molit.go.kr
These sites provide the latest news, official documents, and contact information for stakeholders.
Conclusion: A Project at a Crossroads
The Gadeok Airport Project is a massive undertaking with the potential to reshape Busan and boost South Korea’s global standing. However, the recent withdrawal of Hyundai Engineering & Construction and ongoing disputes over the construction timeline have created serious challenges. The government’s next steps—especially in selecting a new contractor and setting a realistic schedule—will determine the project’s future.
All eyes are now on the Ministry of Land, Infrastructure and Transport and the Gadeokdo New Airport Construction Authority as they work to keep the project on track. With billions of dollars at stake and the hopes of a region riding on its success, the Gadeok Airport Project remains one of South Korea’s most closely watched infrastructure efforts.
For more detailed updates and analysis, readers can refer to the official government resources listed above. Analysis from VisaVerge.com suggests that while the project faces real risks, careful management and open communication with all stakeholders can help ensure its eventual success.
Learn Today
Gadeok Airport Project → A large-scale initiative to build a new international airport on Gadeokdo in Busan, South Korea.
Hyundai Engineering & Construction → South Korean construction company originally contracted for the Gadeok Airport site preparation.
Ministry of Land, Infrastructure and Transport (MOLIT) → South Korean government body overseeing infrastructure, including Gadeok Airport development.
Compensation negotiations → Discussions with landowners to fairly pay for land acquisition required for airport construction.
Soft ground stabilization → Engineering methods to secure unstable soil, critical for building on underwater terrain.
This Article in a Nutshell
The Gadeok Airport Project faces delays after Hyundai E&C’s May 2025 withdrawal due to timeline conflicts. Compensation negotiations began June 2025. The Ministry of Land, Infrastructure and Transport seeks a new contractor to resume construction of this key South Korean infrastructure landmark.
— By VisaVerge.com
