Dubai: South Korean contracting companies have won contracts worth Dh36.7 billion ($10 billion) in the UAE this year, according to a top Korean official.
They include the latest $1.2 billion contract awarded to Samsung Engineering to construct a fertiliser complex in the Al Ruwais Industrial Zone to expand capacity.
Samsung is scheduled to hand over Burj Dubai — the world's tallest man-made tower — soon.
A number of South Korean developers have also invested heavily in Dubai's real estate sector, while Dubai's DP World has a strong footprint in Busan Port.
Trade between the two countries that reached $19.2 billion last year is expected to decline 15 per cent this year.
"One of the reasons for that is the steep decline in oil price from $147 to $33 per barrel which has now risen to between $70 and $80, as our country is one of the largest energy importers from the UAE," Eung-Chun Oh, president of the Korea Trade and Investment Promotion Agency (Kotra), Middle East and Africa, told Gulf News.
"Among this, Korean exports reached $5.7 billion that mostly include automobile, mobile handsets and electronics."
Among its top exports, automobiles represent $534 million mobile phones worth $319 million and electronics and wires and cables represent $317 million, diesel worth $307 million.
Auto spare parts and ships represent $243 million and $214 million in exports respectively. Due to the global financial crisis, bilateral trade froze during the first two quarters of this year, he said.
"However, we have seen some positive movements during the third and fourth quarters.
Important partner
"We expect bilateral trade to pick up next year on higher demand as there are signs of improvement in economies across the world," he said.
Despite the current economic situation, South Korea considers the UAE an important business partner.
Meanwhile, a delegation from the Dubai Department of Economical Development (DED) headed by Fahd Al Gergawi, Chief Executive Officer, Foreign Investment Office visited the offices of the Urban Economic Planning Bureau of the Gangnam District in Seoul.
Jung Chan Bong, Director General of the bureau, received the delegation and briefed them on the vision, objectives and services of the Gangnam District and expressed his appreciation for the visit of the Dubai delegation.
The impact of Dubai World's debt deferment on South Korean financial markets will be limited, the nation's regulator said.