Unsold Products Piled on the Road
"Concerns Over Factory Shutdown"
On the 12th, products that could not be shipped are piled up outside the POSCO Pohang Steelworks factory in Jecheol-dong, Nam-gu, Pohang-si, Gyeongbuk. POSCO is experiencing difficulties in shipping products due to the general strike by the Cargo Solidarity Headquarters of the Public Transport Union of the Korean Confederation of Trade Unions. (Image source=Yonhap News)
[Asia Economy Reporter Moon Chaeseok] The nationwide general strike by the Cargo Solidarity Headquarters of the Public Transport Workers' Union under the Korean Confederation of Trade Unions (Cargo Solidarity) has continued for six days as of the 12th, causing logistics disruptions at steel companies in the Pohang Steel Industrial Complex, Gyeongbuk, to gradually escalate into a serious situation.
Since the Cargo Solidarity strike began on the 7th, POSCO Pohang Steelworks has been unable to ship about 20,000 tons of products daily. The total amount of products not shipped so far is approximately 110,000 tons. Due to a shortage of warehouse space, products are being piled up on roads and around the factory.
The company expects that if the general strike is not resolved, operations at the cold-rolled and wire rod product plants, as well as the hot-rolled and thick plate plants, will be disrupted within a few days. If the situation prolongs, blast furnace operations may also be halted.
Hyundai Steel Pohang Plant is also facing difficulties, unable to ship 9,000 tons of products daily due to the Cargo Solidarity strike. Other steelmakers are experiencing similar situations.
Secondary processing companies of steel products, as well as cement companies within the Pohang Steel Industrial Complex, are also facing disruptions in cargo transportation. Cargo Solidarity has set up tents at major routes in the steel industrial complex and engaged in confrontations with non-Cargo Solidarity drivers.
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