(Bloomberg) -- Spain's construction industry risks coming to a halt and collapsing due to a five-day long truckers protest over fuel prices.
The situation is “extremely serious” for the entire concrete industry, including quarries, plants and transportation, five industry groups said in an emailed statement Friday. In various regions, including Madrid and Andalusia, the production of concrete has stopped completely due to the demonstrations, according to the statement.
“Right now it's impossible to ensure an adequate distribution of products for a key sector such as construction,” the concrete industry groups' statement said, adding that the disruptions in supply chains may lead to “total collapse.”
The construction industry is the latest to flag the mounting impact of the protests since they started March. 14, joining a similar announcement by the dairy industry Thursday. The government of Pedro Sanchez has dismissed the protests, saying that they are being organized by marginal groups without the support of the leading unions and truckers associations.
Still, these are the first significant protests Sanchez is facing since Russia's invasion of Ukraine pushed already high energy prices to records.
Sanchez has pledged that his government will approve measures on March 29 to reduce increasing energy prices and soothe inflation, already at its highest in close to 36 years.
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