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Resurgence of car delivery crisis after 5 months of cargo union strike

-Hyundai Motor/Kia employees direct delivery, extended warranty period

As the cargo union strike continued, shipping chaos returned to the auto industry. It has been 5 months since the strike last June.

According to the domestic auto industry on the 29th, due to the cargo union strike, Hyundai Motor Company and Kia have expanded direct delivery service from some factories to factories nationwide. Hundreds of employees grabbed the wheel of a new car and hit the road when it was impossible to transport factory-made products by couriers to the warehouse. In this case, the increase in mileage of new vehicles is unavoidable, so the general and dynamometer warranty periods are extended by 2,000 km each with the consent of the consumers.

On the 24th, the Korean cargo workers union went on strike, demanding a three-year extension of the sunset of the secure transport tariff system applied by the government to the container and cement sectors. The government has asked the government to make the system permanent and expand the items (steel, cars, dangerous goods, feed, parcel delivery, etc.), but the government refuses to do so.

The oil refining industry, where Cargo Alliance members account for about 70 percent of truck freight, is also struggling. Daily shipments were slightly lower than usual. Some gas stations are already starting to run out of stock. The oil refining industry believes that oil supply shortages will be inevitable if the strike continues. The tire industry is also known for reducing the amount of incoming and outgoing products per day by half.

Meanwhile, on the 28th, the government raised the crisis alert level to the highest level, serious. As a result, the response system will be strengthened by the Central Directorate for Disaster Countermeasures and Security and related agencies such as the Ministry of Land, Infrastructure and Transport, the Ministry of Public Administration and Security, the National police and the Ministry of National Defense will implement comprehensive government-level emergency measures. The government plans to issue an order to start the business if the logistics damage escalates in accordance with the zero tolerance hardline response principle.

Reporter Koo Ki-seong [email protected]

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