A federation of ready-mixed concrete companies said Friday they will resume plant operations the next day, three days after stopping production over disagreements with builders and cement suppliers on concrete pricing.
Some 750 manufacturers of premixed concrete across the country halted their supply on Wednesday, prompting the government to intervene as the lack of concrete led to setbacks at construction sites.
“The Ministry of Knowledge Economy requested that we resume supply to keep the situation from getting more serious. The ministry promised to cooperate as much as possible to resolve the case,” an official of the Korea Federation Ready-mixed Concrete Industry Cooperatives said.
The companies demand that builders accept an 8 percent increase in prices of ready-mixed concrete to 60,500 won ($53.70) per cubic meter, and that cement suppliers withdraw a recent 11 percent price hike for their products or implement a more moderate markup. Cement is a key component for concrete.
Representatives of construction, cement and premixed concrete companies were in their third round of negotiations Friday, but have yet to reach an agreement.
