Transport minister cites Korea’s strengths in tech switch, well timed supply, whereas acknowledging China’s pricing benefit
LEIPZIG, Germany — South Korea’s transport minister highlighted the nation’s edge over China in railroad expertise within the lead-up to a serious export bid with the United Arab Emirates.
“Aside from worth, Korea holds a aggressive edge within the different two standards — expertise transfers to the UAE and finishing the challenge on time,” Land, Infrastructure and Transport Minister Park Sang-woo instructed The Korea Herald on the sidelines of the Worldwide Transport Discussion board 2025 in Leipzig, Germany, Wednesday.
“Our technique underscores not solely high quality but additionally sharing expertise, which is our key power. In distinction, China’s aggressive edge lies in worth.”
Whereas acknowledging that worth stays essentially the most essential issue, Park emphasised Korea’s power in expertise switch. He famous that though Korea has its personal railroad expertise, it has adopted European requirements, as requested by Abu Dhabi, to facilitate localization. Traditionally, the UAE’s railroad market has been dominated by firms comparable to France’s Alstom and Spanish corporations like Talgo.
Park pointed to Korea’s confirmed monitor file in worldwide rail offers. Reflecting on his state journey to Prague on Might 7, he stated, “The Czech Prime Minister instructed reporters that Korea outpaced France in all three analysis standards.” Park had visited Prague with the business minister in anticipation of signing an $18 billion nuclear plant deal, which was later briefly suspended on account of a preliminary injunction by a regional court docket on the request of France’s EDF, the unsuccessful bidder.
In February, a Korean consortium — comprising Korea Nationwide Railway, Korail, Hyundai Rotem, and Posco E&C — handed the prequalification course of for the UAE high-speed rail challenge, formally coming into the bidding competitors. The $13.6 billion challenge goals to attach a 152-kilometer part between Abu Dhabi and Dubai, masking infrastructure comparable to roadbeds and practice techniques. Korea intends to bid for each classes, Park confirmed.
“Though the results of the bidding stays unsure, I traveled to Abu Dhabi final month to interact with Etihad Rail, the UAE contractor. The discussions with the CEO and chairman of the board had been very encouraging,” stated Park.
He additionally famous that successful the UAE bid, which makes use of European-standard railway techniques, might increase Korea’s credibility in different worldwide markets, together with Vietnam, which is planning a $67 billion North-South categorical rail challenge. The official bidding course of for the Vietnamese challenge is predicted to start in July or August.
Beginning with Uzbekistan in 2024, Korea has achieved notable milestones in abroad railway contracts, with cumulative orders valued at roughly 2.5 trillion received ($1.8 billion). Notably, a consortium led by Hyundai Rotem — the railway and protection techniques arm of Hyundai Motor Group — and the state-run Korea Railroad Company landed a record-breaking high-speed practice cope with Morocco in February.
In the meantime, Minister Park additionally participated in a closed-door ministerial assembly on the ITF, the place he shared Korea’s insights on client subsidy insurance policies for electrical automobiles and hydrogen-powered railway techniques as a part of its future mobility initiatives.
hyejin2@heraldcorp.com
