HiteJinro Faces Ongoing Shipment Disruptions Due to Strike... Is a Soju Shortage Coming?

Delivery Delays Cause Soju Product Shipment Disruptions
Production Halted Temporarily Due to Stockpile
7-Day General Strike Also Announced... Concerns Over Worsening Situation
Ministry of Land, Infrastructure and Transport "Strict Action Against Illegal Activities"

[Image source=Yonhap News]

[Asia Economy Reporter Song Seung-yoon] The product shipment disruption at HiteJinro's Icheon and Cheongju factories, triggered by the strike of cargo truck owners affiliated with the Korean Confederation of Trade Unions (KCTU) Cargo Solidarity, continues. With the union announcing a general strike on the 7th, concerns are rising that a 'soju crisis' caused by supply shortages may occur.

According to the industry on the 4th, about 130 cargo truck owners belonging to Suyang Logistics, a freight transportation subcontractor of HiteJinro, have been striking and holding rallies at HiteJinro's Icheon and Cheongju factories since the 2nd. As a result, the shipment volume from the two factories dropped to about 59% of the usual level. At the Icheon factory, production was temporarily halted due to excess inventory.

HiteJinro resumed operations at the Icheon factory, but it is reported that striking cargo truck owners are blocking deliveries by other truck owners. At the Icheon factory, there was even an incident where union members assaulted police officers during the rally. They are demanding increases in transportation fees and empty bottle transportation charges, as well as payments for vehicle advertising, idling, and waiting costs.

HiteJinro plans to respond to the logistics disruption by contracting additional transportation companies. However, with the KCTU's general strike scheduled for the 7th, there are concerns that the situation could worsen, causing soju supply shortages. A HiteJinro official said, "First, the routes from the factory to delivery points are blocked, so even urgently arranged vehicles cannot operate smoothly," adding, "In the short term, small and medium-sized merchants handling soju may suffer damage first, and in the long term, the company will incur significant losses."

The Ministry of Land, Infrastructure and Transport has demanded that the Cargo Solidarity withdraw the general strike. It also stated its position to respond strictly to illegal acts. The ministry said, "If the Cargo Solidarity continues to obstruct transportation by other cargo truck owners who are performing normal transport, we will cooperate with the police to strictly respond from the beginning according to laws and principles," adding, "In accordance with the zero-tolerance principle, we will hold them accountable civilly and criminally to the end, suspend or revoke driving licenses for traffic and transportation obstruction acts, and strongly respond by canceling freight transportation qualifications if they disobey work commencement orders."

The union plans to stop logistics transportation starting at midnight on the 7th and hold send-off ceremonies at 16 locations nationwide at 10 a.m. on the same day. They also plan to carry out blockade protests at major ports and logistics terminals. The police intend to deploy a large number of officers to key logistics hubs to firmly respond to illegal acts.

This content was produced with the assistance of AI translation services.