Hyundai Engineering received a 3-month business suspension in the civil engineering and construction sector from the Seoul city government, announced on the 16th and effective August 5. The suspension covers 5.541 trillion won in business volume, equivalent to 39.9% of the company's recent total revenue of 13.8965 trillion won in 2025. The penalty follows a bridge collapse at a Seoul-Sejong Expressway construction site in Anseong, Gyeonggi Province last month that caused 10 casualties. The suspension was requested by the Ministry of Employment and Labor under the Industrial Safety and Health Act, which mandates business suspension for construction companies responsible for major industrial accidents.
Suspension Covers 39.9% of Company Revenue
According to the Financial Supervisory Service's electronic disclosure system on the 22nd, the business suspension affects 5.541 trillion won in operations, representing 39.9% of Hyundai Engineering's recent total revenue of 13.8965 trillion won recorded in 2025. The suspension applies specifically to the civil engineering and construction sector. Seoul city government publicly announced the 3-month business suspension on the 16th.
Bridge Collapse in Anseong Caused 10 Casualties Last Month
The suspension stems from a bridge collapse at a Seoul-Sejong Expressway construction site in Anseong, Gyeonggi Province last month. The incident resulted in 10 casualties. The Ministry of Employment and Labor requested the business suspension under the Industrial Safety and Health Act, which requires such penalties for construction companies that cause major industrial accidents.
Company Considers Injunction Application and Administrative Lawsuit
The business suspension is scheduled to begin on August 5. Construction projects where contracts were signed before the suspension takes effect, or projects that received permits and began construction under relevant laws, can continue. If a court grants an injunction application, Hyundai Engineering's business activities will not be disrupted until a ruling is issued in the administrative lawsuit to cancel the suspension. Hyundai Engineering stated it is "reviewing from multiple angles whether to file an injunction application and administrative lawsuit to cancel the disposition, given that the business suspension affects various stakeholders."
FAQ
What business suspension did Hyundai Engineering receive from Seoul city government?
Hyundai Engineering received a 3-month business suspension in the civil engineering and construction sector, announced on the 16th and effective August 5. The suspension covers 5.541 trillion won in business volume, equivalent to 39.9% of the company's recent total revenue of 13.8965 trillion won in 2025.
Why did Seoul city government impose the suspension on Hyundai Engineering?
The suspension was imposed following a bridge collapse at a Seoul-Sejong Expressway construction site in Anseong, Gyeonggi Province last month that caused 10 casualties. The Ministry of Employment and Labor requested the suspension under the Industrial Safety and Health Act, which mandates business suspension for construction companies responsible for major industrial accidents.
Can Hyundai Engineering continue existing construction projects during the suspension?
Construction projects where contracts were signed before the suspension takes effect on August 5, or projects that received permits and began construction under relevant laws, can continue. If a court grants an injunction application, the company's business activities will not be disrupted until a ruling is issued in the administrative lawsuit to cancel the suspension.
