The Ulsan city government is resuming the Ulsan Metro Line 1 hydrogen tram project after a one-month legal review [2].
The decision to restart the project comes as the city balances the promise of green transit against significant financial and logistical risks. The project is a centerpiece of Ulsan's urban planning, but it has faced intermittent halts due to concerns over long-term viability.
The tram line segment under discussion spans 10.85 km [1], stretching from Sinbok Intersection to Taehwagang Station. The city previously paused the project to evaluate whether it could be legally canceled without incurring massive penalties. However, officials said that contractual and legal obligations make an outright cancellation difficult [3].
Kim Chang-hyun, the Ulsan Metropolitan City Planning Officer, addressed the legal complexities of the situation. He said that because contracts have already been signed, it would be difficult to legally stop the project without responsibility for damages [4].
Despite the restart, the city government continues to weigh the project's impact. Officials said concerns regarding traffic congestion during the construction phase and projected operating deficits once the line opens to the public [3]. These concerns have led to conflicting reports on whether a final decision to proceed has been reached, as some reports suggest a definitive conclusion while others state the final status remains under review [3, 4].
Mayor Kim Sang-wook has overseen the project's trajectory since the start of the city's ninth elected mayoral term [3]. The city now aims to begin main construction by February of next year [3].
“The project is being resumed while legal review of a possible cancellation continues.”
The resumption of the Ulsan Metro Line 1 highlights the tension between municipal climate goals and fiscal reality. By proceeding with a hydrogen-powered system, Ulsan is betting on emerging technology to modernize its transit, yet the city's hesitation reveals the high cost of contractual rigidity in large-scale infrastructure. The project's success will depend on whether the city can mitigate traffic disruptions and manage the expected operating losses.
