From Truck Owners to Cargo Solidarity General Strike... Is the 'Soju Shortage' Becoming a Reality?

HiteJinro Icheon and Cheongju Factory Shipment Disruptions Continue
Convenience Stores Face Urgent Supply Shortages...Order Restrictions Implemented
Minju Labor Confederation Cargo Solidarity Union Begins General Strike on 7th
Prolonged Disruptions Raise Crisis Concerns...HiteJinro "Additional Transport Contracts"

On the 28th, at an alcohol retail store in downtown Seoul where a soju price increase is scheduled for next month, a consumer is selecting soju. The liquor industry is collectively raising prices in response to the government's liquor tax reform plan. Photo by Yoon Dong-ju doso7@

[Asia Economy Reporters Song Seung-yoon and Lim Chun-han] The "soju shortage" triggered by the strike of cargo truck owners affiliated with the Korean Confederation of Trade Unions (KCTU) Cargo Solidarity is becoming a reality. Soju product shipments are being disrupted at the Icheon and Cheongju factories, which handle 70% of HiteJinro's total soju production, and the situation is worsening due to the union's general strike overlapping, causing supply instability.

According to the industry on the 7th, the convenience store sector is already facing an emergency in securing soju supplies due to this situation. Since the 4th, Seven Eleven has limited orders to one box each for bottled and PET soju products per store. Emart24 has restricted orders of bottled products to a maximum of three boxes, while PET products have no separate restrictions. Ministop allows ordering one box of bottled products and 10 PET products each. CU has decided to suspend orders for bottled Chamisul Fresh products shipped from some logistics centers starting today. GS25 is currently operating with existing stock and has not imposed order restrictions but is closely monitoring the situation.

Most convenience stores are currently managing with existing inventory, but securing supplies is expected to become difficult starting this weekend. If the situation prolongs, similar conditions are expected to spread to large supermarkets, wholesalers, and general restaurants handling alcoholic beverages.

Earlier, about 130 cargo truck owners affiliated with Suyang Logistics, a transportation subcontractor for HiteJinro, joined the KCTU Cargo Solidarity at the end of March and began striking. On the 2nd, striking cargo truck owners blocked deliveries by other truck owners, causing inventory overflow at the Icheon factory and temporarily halting product production. Shipment volumes from the two factories had dropped to about 59% of normal levels.

HiteJinro plans to normalize logistics deliveries as much as possible through additional contracts with transportation companies, but if this situation continues, resolution seems difficult because the routes to transport products from the factories are blocked. The union is demanding increases in transportation fees and bottle return fees, as well as payments for vehicle advertising, idling, and waiting costs. A HiteJinro official said, "Because the routes from the factories to delivery points are blocked, even urgently arranged vehicles cannot operate smoothly. The company is suffering damages, but in the long term, businesses handling soju and small merchants will inevitably be affected as well."

Meanwhile, the union launched a general strike starting at midnight today. From 10 a.m., they plan to hold send-off ceremonies at 16 locations nationwide and conduct blockade protests at major ports and logistics terminals. The government has stated it will respond strictly to any illegal acts related to this general strike. The police have deployed officers and increased patrols at key logistics hubs such as ports, logistics terminals, and industrial complexes where illegal acts like transport obstruction and facility occupation by the Cargo Solidarity are expected. In case of illegal acts aimed at obstructing transportation, on-site arrests will be the principle, and ringleaders will be pursued and punished to the fullest extent. In particular, illegal acts involving vehicles will be punished, and administrative measures such as suspension or cancellation of driver's licenses will be enforced according to relevant laws.