SEOUL, June 12 (Reuters) – Industrial action by South Korean truck drivers tasked to transport concrete is raising concerns over possible delays to major semiconductor plant expansion projects by Samsung Electronics and SK Hynix, South Korean media reported on Friday.
The National Ready-Mixed Concrete Transport Workers’ Union suspended deliveries in the Seoul metropolitan area starting on Monday, a work stoppage it said would involve around 8,000 members as it demanded higher rates and other changes.
Participating union members also blocked deliveries on Thursday from two concrete plants in Pyeongtaek, halting the pouring of concrete at the construction site for Samsung Electronics’ chip plant, the Chosun Ilbo reported.
Concrete work was also halted at SK Hynix’s Yongin chip plant after deliveries were cancelled, according to South Korea’s Newsis news agency, citing industry officials.
SK Hynix said in a statement the short-term impact is expected to be limited, as the company has adjusted its construction sequence.
Samsung declined to comment, while the union did not immediately respond to a request for comment.
The union had earlier agreed a tentative deal with concrete manufacturers, but members rejected the proposal on Wednesday in a vote, prolonging the stoppage.
The short-term impact would likely be limited as builders had brought some work forward in anticipation of the disruption, Newsis said, but a prolonged stoppage could affect longer-term construction schedules.
(Reporting by Joyce Lee and Heekyong Yang; Editing by Tom Hogue)
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