Hyundai suspends bridge project in Chile in a row with government

Chile’s finance minister has sought to underestimate a row between the government and Hyundai over a $740 million suspension bridge, stating that disputes in such mega projects were “quite common”.

Hyundai Engineering and Construction (HDEC) stated on Monday it had suspended construction of the bridge, which will link the Chilean island of Chiloe to the mainland, alleging the government of bad faith for seeking to boost the scope of the project without extra remuneration.

Finance Minister Ignacio Briones has stated that he was confident the disagreement could be ironed out in discussions or in the courts.

“As far as I understand, the government has honored exactly what the contract defines, but the Korean company states the opposite has occurred…when there are these discrepancies…it is for the courts – if it gets to that point – to decide,” he informed Chilean daily El Mercurio on Tuesday.

The 2.5 km (1.5 miles) long link to Chiloe, an island approximately the size of Corsica, would be Latin America’s longest suspension bridge.

The bridge was first proposed in 1972, however, the project has been canceled and postponed several times.