Negotiations over ready-mix concrete transport fees in the greater Seoul area have been finalized. As a result, construction is expected to resume at major sites in the metropolitan area where work had been disrupted by a strike by the ready-mix transport union. Large semiconductor construction sites, including the Samsung Electronics Pyeongtaek campus and the SK hynix Yongin semiconductor cluster, also appear set to move toward normalization.
According to the Ministry of Land, Infrastructure and Transport and the ready-mix industry on the 15th, the National Ready-Mix Concrete Transport Workers' Union held a vote among members that day on a plan to raise the metropolitan area transport fee by 4,200 won per trip. A total of 7,158 members voted, with 4,714 in favor, passing the proposal. The approval rate was 65.9%. Votes against totaled 2,316, or 32.4%, and invalid/abstentions were 128, or 1.8%.
Under the agreement, the per-trip ready-mix transport rate in the metropolitan area will rise to 80,000 won from the previous 75,800 won. The increase rate is about 5.5%. An official at the Ministry of Land, Infrastructure and Transport (MOLIT) said, "The union vote approved the agreement."
The union went on strike on the 8th demanding higher transport fees. The next day, on the 9th, ready-mix manufacturers in the metropolitan area and the union reached a tentative agreement to raise the fee by 4,200 won per trip. However, that agreement was voted down by union members at the time, sending the talks back to square one.
The size of the transport fee increase in the agreement that was finally approved this time is the same as in the tentative agreement on the 9th. However, the transport fee contract period is set through Feb. 28 next year. With the contract period shortened to eight months, manufacturers and the union will hold another round of fee talks at the end of February next year.
With the agreement passed, the ready-mix transport strike is also expected to end. The industry expects ready-mix deliveries to resume to metropolitan construction sites starting on the 16th. Work at construction sites that had been halted or delayed due to supply disruptions is also expected to return to normal in stages.
In particular, the Yongin, Pyeongtaek and Anseong areas, where the Samsung Electronics Pyeongtaek campus and the SK hynix Yongin semiconductor cluster are located, are also reportedly set for normal shipments for now. In the region, some members voiced opposition to resuming deliveries even after the agreement passed, but the union leadership is said to have decided on normal shipments.
An official in the ready-mix industry said, "With this agreement approved, ready-mix deliveries to construction sites will resume from the 16th," adding, "In the case of Yongin, Pyeongtaek and Anseong, there were opinions opposing the resumption of operations, but the union leadership decided in a meeting to proceed with normal shipments in all three zones."