The cement industry “18 billion loss gained a day after strike”

Petrochemical “Export route blocked”
Steel “production difficulties in related industries”

While the government issued an order to start business for the first time in history against cement truckers, the cement industry announced that it suffered a loss of about 18 billion won in sales a day after the truckers’ union refused to transport them. At the ‘press conference for shipper organizations’ related to the joint transportation refusal’ held at the Trade Tower in Gangnam, Seoul on the 30th held by the Korea International Trade Association, Lee Chang-ki said , vice chairman of the Korea Cement Association, , “If the transportation refusal continues, it is inevitable that some production facilities will be suspended from this weekend,” he said.

The meeting was attended by representatives from seven shipping organizations, including the Korea International Trade Association, the Korea Cement Association, the Korea Petrochemical Association, the Korea Petroleum Association, the Korea Automobile Manufacturers Association, the Korea Iron and Steel Association, and the Korea Animal Feed Association. The cement industry calculated itself, considering the cement price as 100,000 won per ton, the strike by the Cargo Workers Union is losing sales of 18 billion won per day. Domestic demand for cement is around 180,000 to 200,000 tonnes per day, but shipments fell to less than 10% due to the cargo union strike.

The petrochemical industry announced that only 30% of the daily average load of 74,000 tonnes (about 97 billion won) was being shipped from the 28th. The damage caused by this was estimated to be around 68 billion won per day. Kim Pyong-joong, head of the Korea Petrochemical Association, said, “The problem is exporting. Container drivers are not put in, and even if there are drivers, all ports are blocked and containers cannot enter. “

The automobile industry estimates that additional burdens such as labor costs will amount to approximately 400 million won per day as it is replaced by road freight (a method of dispatch by driving a vehicle) following the suspension of automobile carrier transportation.

The Korea Steel Association estimated that domestic steelmakers’ shipping disruptions would reach a total of 600,000 tons after the Korea Cargo Workers Union strike. Applying the average price of steel products (1.3 million won per ton), the total damage is estimated to be around 800 billion won. The Steel Association said, “As steel is a basic material, there are concerns that disruption to freight will spread to production disruptions in related industries such as construction, cars and shipbuilding.” The Korea Animal Feed Association said, “The average amount of feed stored by a farm is 2 to 3 days, and if it is not continuously supplemented, it can lead to the worst situation such as livestock starvation.”