Mixer trucks are seen at a ready-mixed concrete factory in Incheon in this Sept. 26, 2023, photo. Newsis

Recent attempts by Korean construction companies to import low-priced cement from China have exacerbated their ongoing conflict with domestic cement manufacturers over local cement prices, which have soared nearly 50 percent over the past three years.

Earlier in September, a group of employees from domestic construction firms responsible for materials purchasing held a meeting to discuss the possibility of buying cement from China's Shanshui Cement through a Korean broker.

They held the meeting as domestic cement producers have refused to cut their product prices, despite a recent fall in the global prices of bituminous coal, the core material for cement. When Korean cement makers raised their product prices, they cited the bituminous coal price hikes caused by the war between Russia and Ukraine.

The government is also considering supporting construction firms' plans to import cement from other countries, as part of efforts to lower construction costs and supply houses more quickly.

“We are preparing for measures to reduce raw material prices,” Land, Infrastructure and Transport Minister Park Sang-woo told reporters, Sept. 9.

“Because it is inappropriate for the government to force companies to cut their product prices, we seek to come up with cost reduction measures by alleviating the shortage of raw materials.”

Domestic cement companies, however, claimed that their increasing facility investments in compliance with tougher environmental regulations have made it difficult to lower product prices.

Their efforts to prevent the import of Chinese cement also won bipartisan support at the National Assembly.

“The import of Chinese cement will trigger a deterioration in Korean cement companies' profits, decrease in their R&D investments and reduce their workforces,” Rep. Eom Tae-young of the ruling People Power Party said.

Rep. Park Yong-gab of the main opposition Democratic Party of Korea pointed out that it is unreasonable to import low-quality cement from China as a cost-saving measure.

IBK Securities analyst Cho Jung-hyun did not expect construction firms to truly import cement from China, saying that their proposal seems to be intended to gain the upper hand in price negotiations.