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Brazilian truck drivers continue strike

Source: Xinhua| 2018-05-29 14:01:15|Editor: Liangyu
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RIO DE JANEIRO, May 29 (Xinhua) -- Though the Brazilian government announced a reduction in diesel prices, a large share of truck drivers decided to maintain the nationwide strike that has entered its eighth day by Monday.

President Michel Temer announced late Sunday a reduction in diesel prices and a cut in one of the taxes charged over diesel fuel. Despite that, the mass demobilization expected for Monday did not occur, as truckers refused to end the strike.

The government also announced a minimum price for freights. In addition, it vowed to ensure that a minimum of 30 percent of the shipments of the National Supply Company (Conab) will be made by autonomous truckers.

Leaders of several truck drivers' associations say the drivers have achieved their main goals and the strike should end. However, some leaders say that demobilizing the strike is taking longer because of communication problems, and others groups believe the cut in diesel prices is still not enough.

Rio's industry Federation (Firjan) reported on Monday losses of 77 million reals (20 million U.S. dollars) over the past week due to the nationwide strike.

According to Firjan's chief economist Guilherme Merces, industry representatives were not optimistic about the end of the strike, and said the situation would become direr if the strike does not end this week.Those who have not been affected so far will certainly see some consequences if the strike continues, he said.

Brazilian truck drivers started a large scale strike eight days ago over diesel prices, which increased over 50 percent in the past year. In late 2016, Temer changed the fuel pricing, allowing the national oil company Petrobras to increase prices in a more frequent manner.

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