Euro strikes abound over fuel costs

[m21sniper]

Thousands of European truckers join fuel protests

Mon Jun 9, 1:51 PM ET

MADRID (AFP) - Tens of thousands of truckers in Spain, France and Portugal on Monday stepped up protests against rising fuel prices, causing mayhem on highways and blocking border crossings.

Huge tailbacks built up around major cities and on the French-Spanish border as French fishermen in Mediterranean ports ended their three-week strike over the spiralling cost of fuel.

Spain's second largest hauliers' union Fenadismer, which claims to represent 70,000 out of Spain's 380,000 truck drivers, launched an open-ended strike on Monday. It said it was "peaceful" but followed "massively".

Talks Monday between the hauliers and the government ended in failure, Fenadismer said.

"Fenadismer will maintain its national strike" as the government's proposals were "insufficient", it said.

Trucks jammed several main highways including at the frontier with France, according to traffic officials, who also reported massive snarls in Madrid and Valencia.

A Spanish truckers' group calling itself the Platform for the Defence of the Transport Sector, who say they speak for 50,000 truckers, walked off the job last week. They have threatened to disrupt the opening this weekend of the International Exposition in Zaragosa.

The conservative Spanish newspaper ABC said the aim of the strikers was to block oil supplies from refineries and stocks at retail markets this week.

Spanish media said the number of trucks at wholesale markets on Monday were considerably lower than usual.

French truckers struggling with high fuel costs staged fresh protests near the Spanish border and in the southwest.

Several trucks from the southern city of Perpignan disrupted traffic at border posts, preventing trucks from crossing and causing a tailback of some 10 kilometres (six miles) on both sides of the border. Private cars were allowed through.

Protestors branded banners which read: "Trucker = Unemployed," and "It's the end of our profession."

Some 200 trucks converged on the four main motorways leading into Bordeaux Monday morning, causing 30 kilometers (20 miles) of tailbacks in and around the city.

"We are demanding immediate measures" to counter the impact of high fuel prices, said Jean-Pierre Morlin, president of the European trucking organisation for the Aquitaine region.

Portugal's Transport Minister Mario Lino was to meet later Monday with representatives of road transport associations in a bid to end the strike by truckers who have threatened to "paralyze" the country.

According to police, trucks parked at petrol pumps were stoned overnight or while they were on the road after the strike started at midnight.

Many had their windscreens shattered.

The strikers also blocked entrances to several factories. According to industry figures, there are some 40,000 truckers in Portugal serving an estimated 5,000 firms.

However, French fishermen from Mediterranean ports on Monday ended a three-week strike ahead of a key meeting of European fisheries ministers.

"All of the fleets from the Mediterranean ports went back to work this morning, but we remain very vigilant," said Ange Natoli, a representative of the Mediterranean fishing fleets.

Fleets in the Channel ports of Boulogne-sur-Mer, Calais and Dunkirk last week called off their strike pending the talks.

Portuguese fishermen called off their five-day-old strike on Wednesday.

However, their counterparts in Spain, home to Europe's largest fishing fleet, maintained their "indefinite" stoppage launched May 30.

"Almost all the ports in Spain are on strike," said the head of the Spanish Fisheries Confederation, Javier Garat.

EU fisheries ministers meet on June 23-24 tackle the fuel crisis.

Marine diesel prices have leapt by around 30 percent since the start of 2008, triggering protests in European ports as well as warnings that fishing boat owners face bankruptcy without higher subsidies.

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How long before we see this in the US?

[TGTIW]

I think never. There just isn't the organization or solidarity in the US to form any kind of meaningful protest.

[legion]

I have no plans to whine to the government to fix my problems for me.

[nostatic]

strike. vacation. regular work week. how can you tell the difference over there?

[Aerkuld]

What, exactly, do they think this will achieve I wonder?

Damn Europeans.

[matt4hand]

Originally Posted by Aerkuld

What, exactly, do they think this will achieve I wonder?

Damn Europeans.

They " think" they will lower prices. However that will not happen. All they will do is lower demand by not working which will just cause the oil producers to slow production and keep their prices high.

[bell]

a good handfull of the shipping companies in the us provide fuel for their drivers, it's the independents which will be parking their trucks.
my wife processes all the paperwork for a MAJOR shipper in cleveland, pays the drivers, and foresees this happening, the independents will lose because they have parked their trucks (about 40% have already) and the "other" companies who supply their drivers with fuel will buy the "routes" and show record profits.......

[the]

Originally Posted by nostatic

strike. vacation. regular work week. how can you tell the difference over there?

LOL, Homer admired U.S. truckers ("Ohhhh, Union truckers! So lazy . . . so surly!"). Can't imagine the Euro counterparts.

[Porsche-O-Phile]

It'll just encourage alternate methods of delivery, which ultimately works to their own detriment.

In our own country, we are WAY too over-reliant on trucking for delivery of goods/services. There is considerable room for improvement in this area and one good thing that might come out of the present fuel price crisis is that there will be an incentive for (1) more efficiency and (2) exploration/use of alternatives.

Sorry for the truckers, but thems the breaks. The days of making six-figure salaries cruising the highways of America with mostly empty trailers in tow are going to come to a very quick end.

[Hugh R]

Maybe the EU will consider reducing their exorbitant fuel taxes. That's about the only relief they'll see. Not the actual price of the fuel, which is a world wide spot price.

[MFAFF]

Only Hugh R has the real answer..

Fuel taxes.. set by the governments comprise between 65% to over 75% of the retail price of fuel...

In some countries its a flat tax; in others its a percentage basis...

SO protesting does in many instances make sense.. (even if it does usually co -incide with the beginning or end of the working week...).

The governments are normally able to control to a certain extent their own level of taxation are they not?

Even more appropriate when the taxation so raised goes to general funds with no ear-marking or hypothecation to transport infrastrucutre improvements...

So guys.. before you make a comment, look litte furthe, perhaps do a bit of research which might enlighten you as to the why..

I hate knowing that for evey £1.00 on fuel for the 911 75p (75%) ends up in the goverment's pocket...wouldn't you?

[Paco Anton]

Truckers, fishermen and such want the EU Governments to create special "professional" fuels (basically the same fuel but with less taxes) so they can lower their costs. I don't see this happening, as the costs involved in checking which fuel goes where are too high. Besides, they will protest agin and again as the price of oil goes up and up. It is a matter of not grasping the concept of free market economy.

They have already blocked roads near the major cities. Yesterday I filled up the tank just in case and managed to avoid a major traffic jam. The protests will grow as the week passes, people are stockpiling on food and fuel. I hope the Government will not give in but who knows.

[m21sniper]

Thanks for the first hand reporting Paco.

[Jims5543]

Originally Posted by aerkuld

what, Exactly, Do They Think This Will Achieve I Wonder?

Damn Europeans.

:d

[MattKellett]

Paco - you make an interesting point - I remember back in the '90's when there was a bit of a fishing boat war going on between the UK and Spain, mainly due to the fact that the Marine diesel in the UK wasn't taxed as high (or taxed at all) as auto fuel, so the UK boats could operate cheaper than the Spanish boats.

I'm not sure if it's still the same or whether the tax on Marine diesel is in line with auto diesel now.

[Paco Anton]

Right now EU directives are trying to harmonize taxation across the EU states. Yesterday I paid above $7/gal of regular diesel and, believe it or not, fuel taxes in Spain are lower than in other EU countries (France, Italy, UK) where they are paying above $8/gal.

I lunched today with a guy from Exxon-Mobil who confirmed that nearly 70% of fuel costs are taxes added by the government. He expects oil to go above $150/bbl before summer.

There is no easy solution to this fuel prices situation. If the governments try to dampen the impact of expensive oil they will only reduce the incentive to develop alternative sources of energy.

Now let's find a route back home free of protesting truckers...

[Paco Anton]

Originally Posted by MattKellett

Paco - you make an interesting point - I remember back in the '90's when there was a bit of a fishing boat war going on between the UK and Spain, mainly due to the fact that the Marine diesel in the UK wasn't taxed as high (or taxed at all) as auto fuel, so the UK boats could operate cheaper than the Spanish boats.

I'm not sure if it's still the same or whether the tax on Marine diesel is in line with auto diesel now.

Hmmm, I don't really know the answer but I'm 100% sure it's the UK's fault (at least until they give us Gibraltar back)

[MFAFF]

Give back the Rock...? no chance.. or not until you give back Ceuta

But Governments raking 70% of the retail price of fuel as tax is not 'encouraging' very much at all... we know that any alternative energy source will be taxed as much which diminishes the motivation all the more...

[Aerkuld]

Originally Posted by Jim Cesiro

:d

? (Don't forget I'm Eropean)

To MFAFF's point, and partly reflecting what Paco said, surely a reduction in taxation will merely prolong the agony?
While I understand that the situatin is very different from the US in terms of the amount of taxation, the long term goal should probably be to reduce oil dependency. By reducing taxation all you would be doing is discouraging the development of alternatives and maintaining the high demand.

I may have completely missed the mark on that so what's your view?

[MFAFF]

The real point..as I mentionned is that the funds raised on fuel taxation is NOT reinvested into alternative transport infrastrucutre that would encourage more efficient solutions...it goes into general funds.. used as so desired by the politicians.

Therefore the fuel tax is viewed as 'just more taxation'...on something that for independent truckers is essential.

None of the taxation goes to creating better rail transport for example.. or inter/ intra urban people transport.. be it trains/trams/ metro etc...

If there was a direct and visible linkage between the tax raised and transport improvements then I think the issue would diminish massively...but at the moment it feels like picking on the numerous small operators/ drivers who as a group are relatively weak in order to raise money for yet more 'politically' motivated programmes whose real value is questionable...