On the 7th, a kickoff rally for the general strike was held near the Inland Container Depot (ICD) in Uiwang-si, Gyeonggi Province, as the Cargo Solidarity Union launched a full strike demanding the abolition of the safety freight sunset system and an increase in transportation fees due to high oil prices. Photo by Moon Honam munonam@
[Asia Economy Reporter Yoo Hyun-seok] Automotive-related organizations criticized the Cargo Solidarity Union's strike as a selfish act targeting the automotive industry facing a survival crisis and urged its immediate cessation.
On the 8th, 10 organizations including the Korea Automobile Industry Association (KAIA) and the Renault Korea Cooperation Council issued a statement pointing out that the Cargo Solidarity Union's strike and logistics disruption targeting the automotive industry in a survival crisis is an extreme selfish act.
KAIA is an alliance comprising the Korea Automobile Industry Association, Korea Automobile Industry Cooperative, Automotive Parts Industry Promotion Foundation, Korea Automotive Technology Institute, Korean Society of Automotive Engineers, Hydrogen Convergence Alliance Promotion Group, Hyundai-Kia Cooperation Council, Korea GM Cooperation Council, and Ssangyong Cooperative Council.
The 10 organizations stated, "Especially within the Cargo Solidarity Union, some oppose demands such as the abolition of the sunset clause of the Safe Freight Rate System, expansion of items, and increase in transportation fees, arguing that the automotive logistics sector's wages are higher than the levels demanded by the Cargo Solidarity Union and thus do not apply." They emphasized, "We cannot help but be outraged at the exploitation of the weakness that due to the nature of the assembly industry, if even one part's logistics are not smooth, the entire automotive industry's operation can be halted."
The 10 organizations hold the position that automotive-related logistics sectors such as finished vehicle delivery and parts logistics pay higher rates than the Safe Freight Rate System, so the Cargo Solidarity Union's demands do not apply to them. They also stressed that they have not been involved in any activities of the Safe Freight Rate Commission or similar bodies.
A KAIA official said, "The automotive industry, produced through the assembly of about 30,000 parts, is a typical assembly industry operating on a just-in-time production system," adding, "Smooth logistics are essential, so if even a single part is not supplied, finished vehicle production stops, making logistics extremely important."
The 10 organizations strongly urge the immediate cessation of the Cargo Solidarity Union's strike and logistics disruption actions. They stated, "We request the Cargo Solidarity Union to immediately stop strikes and logistics disruption actions or attempts that threaten the operation and survival rights of the automotive industry," and warned, "If damages to our industry occur due to strikes despite the request, we will have no choice but to take legal actions such as complaints and lawsuits."
They added, "We urge administrative and judicial authorities to promptly enforce strict law enforcement against illegal acts in principle to prevent the automotive industry, which is facing a survival crisis, from reaching a decisive catastrophe due to such collective actions by the Cargo Solidarity Union."
Meanwhile, the Cargo Solidarity Union's Seoul and Gyeonggi regional headquarters announced on the same day that they are discussing refusing transportation of finished vehicles produced at Kia Autoland Gwangmyeong and Hwaseong. If the transportation refusal is decided, car carrier operations transporting finished vehicles are expected to be suspended as early as this afternoon or by the 9th at the latest.
It is known that about 98% of the approximately 200 car carriers belonging to finished vehicle transportation companies contracted with Kia Motors are members of the Cargo Solidarity Union. A Cargo Solidarity Union official explained, "Since most car carrier drivers belong to the union, they will start striking as soon as the resolution is made, and for drivers belonging to parts companies with a high proportion of non-union members, we inform them of the purpose of the strike to encourage participation in the struggle."
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