Cargo Transportation Returns to Normal

Entering the second day of normalization since the dramatic deal ending the week-long strike, members of the Korean Cargo Workers` Federation (KCWF) in Pusan Port and Uiwang Inland Container Depot in Gyeonggi Province all went back to work, normalizing the operations of cargo transportation.

It is expected to take another week at least, however, to clear the backlogs of unshipped containers and have systems fully up and running.

According to the Ministry of Construction and Transportation on May 16, 22,936 TEUs of containers (1TEU equals one 20-feet container) passed through Pusan Port on the day, slightly larger than the daily average 22,177TEU.

The heavy transportation of containers came as workers rushed to ease the heavy load on the storage facilities. Uiwang ICD also recorded about a 6% increase in container transportation at 5,829TEUs. Cargo transportation at Hwanyoung Steel and Hanbo Steel in Ulsan Airport and Dangjin-Seosan area also got back on full track.

In Gwangyoung, 2,976 TEUs of containers were taken out, which is some 78% of the normal level, recording a relatively slower resumption of operations. The ministry expects, however, operations will return to normal by May 17.

The National Tax Service said that the average daily export shipments during the five-day strike were $124 million, down 36.6% compared to this year`s average $193 million (from Jan. 1 through May 18). The export losses, then, amount to $69 million a day, or $345 million all told.

Jae-Seong Hwang Jin-Hup Song jsonhng@donga.com jinhup@donga.com