South African state-owned logistics company Transnet will strike on Thursday (13th) due to salary issues. South Africa's Kumba Iron Ore said on the 10th local time that iron ore production and exports will be affected by logistics strikes.
According to Reuters, South African state-owned logistics company Transnet will strike on the 13th, responsible for the country's railway freight and all ports operations. The strike will cause the distribution of railways and ports to be interrupted. South Africa Kumba Iron Ore said, "Due to the disruption of railway and port services on Transnet, the impact on production is expected to be about 50,000 tons per day in the first seven days and about 90,000 tons per day afterwards, and export sales will affect about 120,000 tons per day."
Kunba Iron Ore exports most of its iron ore to China, Europe, Japan and South Korea, and is expected to produce and export 38 million to 40 million tons of ore this year. The company's production and export volumes in 2021 are 40.9 million tons and 40.2 million tons respectively.
United National Transportation Union and South Africa Transport and United Workers Union jointly represent the majority of Transnet workers, rejected a proposal to increase wages of 3% to 4%, saying it was lower than South Africa's annual inflation rate, which was 7.6% in August.
