Ulsan's push to boost local subcontracting begins to bear fruit

by
DONG-SOON PARK
Published : July 8, 2026 - 10:17:52
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Lee Jae-eop (left), director of Ulsan's Construction and Housing Bureau, meets with Woomee Construction CEO Kwak Su-yun (center) and Executive Vice President Jeong Sin-gyo (right) at the company's Seoul headquarters on June 26 to request greater subcontracting participation by local Ulsan firms. [Ulsan City]
Lee Jae-eop (left), director of Ulsan's Construction and Housing Bureau, meets with Woomee Construction CEO Kwak Su-yun (center) and Executive Vice President Jeong Sin-gyo (right) at the company's Seoul headquarters on June 26 to request greater subcontracting participation by local Ulsan firms. [Ulsan City]

Ulsan's first-half public-private field outreach campaign, conducted from March through June, has helped local firms secure 16 billion won ($10.5 million) in subcontracting agreements.

The city assembled a nine-member joint public-private task force — including representatives from construction-related industry associations — and conducted field visits to 53 construction sites, comprising 22 public and 31 private projects. The campaign focused on sites with subcontracting rates below 10 percent, construction progress below 30 percent, and newly broken-ground projects.

The task force briefed site operators on policies to revitalize the local construction industry and available support programs, urging them to involve local firms across all work categories — including electrical and fire-safety trades — and to prioritize local workers and locally produced construction materials and equipment. It also provided guidance on relaxed criteria for registering partner firms, expanded bidding opportunities for local companies, and a referral program for local firms not yet registered as subcontractors.

The campaign also promoted a city program covering subcontract payment guarantee issuance fees, securing 4 million won in support for general contractors that signed agreements with local subcontractors.

Under its 2026 Local Construction Industry Revitalization Plan, the city will press ahead with 22 detailed action tasks and conduct joint site visits to apartment construction projects alongside district and county permitting offices, concentrating its administrative resources on achieving a 37 percent local subcontracting rate this year.


cityblue@heraldcorp.com
This content was produced with the assistance of AI translation services.

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