Saturday, April 23, 2011

Chinese truckers' protest increases inflation fears

Chinese authorities have moved to halt a strike by Chinese truck drivers over soaring fuel costs, amid government concern that civil unrest about runaway inflation could spread throughout the country.

The Chinese government has raised fuel prices three times since December and China's consumer price index rose 5.4pc year-on-year in March, the fastest rate of increase since July 2008. It is running much higher than the government's 2011 target of 4pc.

Hundreds of truck drivers have been picketing Shanghai’s container port, the world’s largest, since Wednesday. They are asking for their fees to be abolished to make up for rising fuel costs.

Shanghai Municipal Transport and Port Authority said that it would cancel certain fees, such as fuel surcharges, but reports from Chinese bloggers say truckers are still unhappy because authorities offered to reduce fees rather than abolish them altogether.

The new measures, are aimed at "easing rising inflation and cost pressures on transport companies," the port authority said.

Shanghai truck drivers have complained that warehouse operators have recently levied a new charge of 50 yuan (£4.65) for trucks that pick up more than one container. Bloggers say that the operators have offered to reduce this to 20 yuan.

A number of truck drivers have been arrested since the dispute started, according to local reports, after they used rocks to smash the windows of vehicles owned truckers who had refused to join the protest.

Source: www.telegraph.co.uk

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