"Will the Restrictions Be Lifted After 16 Years?"...Mixer Truck Adjustment Decision Imminent

Committee Review Scheduled for This Month... Final Plan to Be Decided by Regulatory Reform Committee
Transport Operators: "Livelihood Protection" vs. Ready-Mix Concrete Industry: "Supply-Demand Stabilization"

The decision on whether to increase the number of ready-mix concrete mixer trucks, which has been frozen for 16 years, will be made on a preliminary basis this month. Ready-mix concrete manufacturers and transport operators are at odds, citing "supply-demand stabilization" and "livelihood protection," respectively, as their reasons.

A ready-mix concrete truck is moving at a ready-mix concrete plant in Seoul.

According to industry sources on August 6, the Construction Equipment Supply Adjustment Committee under the Ministry of Land, Infrastructure and Transport will convene this month to deliberate and decide on whether to increase the number of 27 types of construction equipment, including ready-mix concrete mixer trucks. The resolutions made by the committee will be reviewed by the Regulatory Reform Committee of the Office for Government Policy Coordination, finalized as the official plan, and officially announced around the end of the year. Although the final decision is made by the Regulatory Reform Committee, the industry is closely watching the interim results to be released this month, as the committee's deliberation forms the core basis for the final plan. An industry official said, "The results of the Supply Adjustment Committee's deliberation and the research projects conducted by the Korea Institute of Civil Engineering and Building Technology will have the greatest impact on the final decision, so we are paying close attention."

The key issue is whether to adjust the number of ready-mix concrete mixer trucks, which has never been increased before. Since 2009, the Construction Equipment Supply Adjustment Committee has deliberated and decided on construction equipment supply every two years, aiming to protect business operators and stabilize the market. Among these, the number of ready-mix concrete mixer trucks has not been increased even once in the 16 years since the system was introduced. The reason was concerns that oversupply could threaten the livelihoods of transport operators. In 2023, the Ministry of Land, Infrastructure and Transport also decided to maintain supply adjustment, stating, "Given the sluggish outlook for the construction industry, supply is not expected to fall short until 2025."

Ready-mix concrete manufacturers insist that an increase is absolutely necessary this time. They argue that the prolonged freeze on the number of mixer trucks has destabilized the supply of ready-mix concrete at construction sites and caused transportation costs to skyrocket abnormally. According to the Ministry of Land, Infrastructure and Transport, while the number of ready-mix concrete plants increased by 21.8% from 2009 to last year, the number of mixer trucks rose by only 7.7%. During the same period, transportation costs surged by 139%. A representative from the Korea Ready-mixed Concrete Industry Association expressed concern, saying, "Due to the shortage of mixer trucks, ready-mix concrete cannot be supplied smoothly, which has even led to the relaxation of on-site batch plant (BP) regulations this year. The livelihoods of truck owners are more than sufficiently protected, to the point where they are able to excessively demand increases in transportation costs, effectively forming a kind of 'cartel.'"

With large-scale construction projects scheduled to begin in Seoul starting next year, there are growing voices predicting an increase in the number of mixer trucks. Major reconstruction and redevelopment projects such as Hannam Zones 3 and 4 and Singil Zone 2 are set to commence, and there is a strong call for the stabilization of ready-mix concrete supply in line with the new government's policy of expanding the SOC budget. A member of the Supply Adjustment Committee stated, "The ongoing slump in the construction industry has a significant impact, but since there are large projects set to break ground next year, we need to comprehensively consider both demand and supply. For now, since mixer trucks are the only means of transporting ready-mix concrete, it is important to find an appropriate adjustment plan to prevent construction site disruptions."

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