Chapter 145 Opportunity to Learn Shipping

Before going north, Liu Zhicheng made a lot of preparations in Hong Kong and thoroughly studied the mainland's policies.

Which projects of its subsidiaries are likely to be implemented in the mainland? What methods can be used to maximize benefits and seize the mainland market first?

Liu Zhicheng smiled and said: "The first one is the motorcycle project. I hope that the Chigo motorcycles under my brand can be settled in the mainland, preferably in Guangdong Province, and hope to get support from Beijing."

"For the second project, I want to move the production of my game consoles and walkman to Pengcheng, and hope that some supporting factories can be built in the mainland."

"For the third project, we want to set up a research and development center in the mainland to study the most cutting-edge technology and hope to get support from the mainland."

Director Chen was very happy as he finally heard the word "investment", and several of them were core electronic products under Liu Zhicheng.

"Mr. Liu, the first project is not under my charge, so I can only convey your information. As for the second project, I welcome it and express my support. I just want to ask, what is the annual output value?"

"Director Chen, I'm not hiding anything. The industry must be transferred in batches, and there will be no problem in the end that the annual output value will reach 1 billion Hong Kong dollars."

"Ten billion?" Director Chen is an economic cadre and knows that this is only the output value, but he can drive an economy worth tens of billions of Hong Kong dollars.

First of all, it will create jobs. The employment population will definitely drive the development of the tertiary industry. Secondly, it will generate foreign exchange income for supporting factories.

Because all of Orange Technology's expenses in the mainland have to be paid in foreign exchange.

"Mr. Liu, I will report this project immediately. As for the third project, what kind of support do you hope to get?"

"Talent! I need computer talents and electronic talents. I can tell you that the salary I offer them is comparable to that in Hong Kong." Liu Zhicheng said.

Recruiting talents in the mainland is a difficult problem now, mainly because college students are precious. Talented people with golden rice bowls in their hands are definitely unwilling to work in private enterprises.

Of course, the salary level Liu Zhicheng mentioned is definitely the level of Hong Kong workers, but it is also quite high for the mainland.

Large-scale electronics factories with a total output value of hundreds of millions of US dollars will be able to bring at least hundreds of millions of US dollars in foreign exchange to the country every year in the future.

There are also motorcycle factories and electronic technology research and development centers, which can drive the development of related domestic industries, while also creating jobs and developing the tertiary industry, killing two birds with one stone.

Although investing in the country is one thing, where to invest is another. Enterprises that can earn foreign exchange, especially large-scale foreign exchange-earning enterprises of this kind, are welcome everywhere.

"Mr. Liu, can you tell me that none of these companies are near the capital?"

"Director Chen, it's a bit difficult to put this electronics industry in Beijing, because it involves many components that cannot be produced domestically. But a research center is possible," Liu Zhicheng politely declined.

"Okay, I will report all of Mr. Liu's projects."

Although Director Chen failed to convince Liu Zhicheng to place these industries in Beijing, he was obviously satisfied with today's harvest.

Liu Zhicheng was also very satisfied. Although there was no result, at least he touched the hearts of the senior leaders.

While they were chatting, all kinds of delicious food were served. The dishes at the reception were very exquisite and beautiful, and tasted good, but everyone only had a small taste.

At present, the mainland's great talents are mainly concentrated in Beijing and Shanghai. Even Shenzhen, the forefront of reform and opening up, has strong support from the country and has sent a large number of college students to support it.

However, there is still a long way to go to build up technological strength, so Liu Zhicheng plans to set up a research and development center in Beijing to attract talent nearby.

Pengcheng also has to deal with factory supporting facilities. It will take time to catch up with Beijing and Shanghai.

Therefore, Liu Zhicheng will encourage some of Hong Kong's supporting enterprises to relocate there. If the parts are to be localized in the mainland, strong support from the mainland will still be needed.

Liu Zhicheng agreed to build a joint venture factory in Beijing for another main purpose, which was to form a layout in the south and the north.

At the same time, some orders for portable players will be sent to northern factories, and then one will focus on export and the other will focus on seizing the domestic market.

After all, the market for various electronic consumer products in the mainland in the new era is infinite.

At the banquet, Liu Zhicheng had no choice but to decide whether to invest or not, because there were various problems in the mainland, such as employment recruitment issues.

A series of business negotiations are needed to address these issues, and of course, these negotiations will be handed over to the investment teams of both parties.

After the banquet, the delegation was sent back to the hotel.

"Mr. Bao, you looked serious all the way. What happened?" Liu Zhicheng was heading in the same direction as Bao Chuanwang back to the hotel, so he asked casually on the way.

The boat charterer smiled and said, "It's nothing, Mr. Liu, can you come sit with me?"

Liu Zhicheng agreed to go without hesitation because he also wanted to hear the story of the shipping tycoon.

As soon as he entered the small building of Baochuan Wang, Liu Zhicheng asked, "Mr. Bao, is there anything that you need me to help you with?"

"Just now at the dinner, Director Lin of the Machinery Department told me that domestic shipyards can build 5-ton cargo ships and hoped that I could order a few." The charter king sighed and said, "Mr. Liu, you know that I have been selling tankers recently because I am not optimistic about the shipping market. I am preparing to abandon the ship and land, but I cannot directly refuse the request from the mainland, so I am in a dilemma."

"What's the approximate price of a 5-ton cargo ship?" Liu Zhicheng knew nothing about this.

"The current market price is around 3500 million US dollars, and the domestic quotation is 3000 million US dollars. The price is still relatively favorable, but it gives me a headache at this juncture." The charter king said helplessly.

"I understand." Liu Zhicheng nodded and said, the ship charter king was ready to abandon his boat and land, and all his oil tankers were being sold at prices below cost. Of course, he was unwilling to buy a few large cargo ships now.

Even if the shipping tycoon is worth more, he invests in the mainland to make money, not to lose money. Only through win-win cooperation can a common interest chain be formed.

"If there are several ships, it will cost over 100 million US dollars, which is a bit too much."

It's not just the real estate industry. The ocean shipping industry is also a highly leveraged operation. For a ship worth 30 million US dollars, the buyer may only pay 3 million US dollars or even less.

The rest depends entirely on bank loans, and then slowly operating the cargo ships to repay the principal and interest of the loans.

The charter king is selling off his ships in order to reduce the debt of his global shipping company. Now no one will agree to let him borrow hundreds of millions of dollars to buy cargo ships that will inevitably lose money in the future.

The charter boat king smiled bitterly and said, "What do you think I should do, Mr. Liu?"

Liu Zhicheng smiled and said, "I suggest Bao Sheng take this order, at most with a smaller quantity."

Baochuan Wang looked at Liu Zhicheng blankly. Before he could speak, Liu Zhicheng continued, "Although Baosheng doesn't look at the shipping market, he won't give up on it completely. In the past, Baosheng mainly engaged in oil transportation."

"In fact, I think Baosheng can layout the domestic container transportation market. Since the country wants to develop its economy, logistics and transportation cannot be separated from sea transportation, and it will definitely be very high in the future." Liu Zhicheng.

As the charterer listened, he nodded, agreeing with Liu Zhicheng's analysis and feeling surprised at his unique vision.

"Mr. Liu's analysis makes sense. In fact, the domestic thinking is very simple. They have the ability to build ocean-going cargo ships, but because they are not well-known, no shipping companies will place orders."

"In order to break the deadlock, they hope that I will place an order first to promote their entry into the international market." Ship Charter King.

"Mr. Bao, I predict that China will see great development in the next few years. Imports and exports will definitely not be low, and that will definitely require support from shipping." Liu Zhicheng saw that Wang Bao was still a little hesitant, so he said, "How about I invest in it too, and we can form a joint venture?"

"Joint venture? Mr. Liu is so optimistic about the inland shipping market?" the charter king asked in surprise.

"I am optimistic about the future of the shipping market. I just suggest that you don't have any difficulty in making the delivery." Liu Zhicheng said with a smile.

Liu Zhicheng wanted to learn shipping experience from the charter king, but now that he has such a small fleet, the opportunity to learn is rare.

After all, the shipping industry has only had a difficult time in recent years, and in the 1990s it was an era of huge profits.

The charter king thought about it and said with a smile, "Okay, we'll talk about it after we return to the port."

It seems that the shipping king needs to go back and discuss with his team. After all, the shipping king is beginning to decline and no longer has the heroic spirit he once had.

.........

The next morning, Director Chen came to the hotel with some information, and Liu Zhicheng had to serve him personally.

This is a document agreed upon yesterday regarding the establishment of a joint venture fan factory, which includes many home appliance factories.

Liu Zhicheng took a quick look and saw information about the electronics factory inside. It seemed that Director Chen had not given up yet.

Liu Zhicheng pretended to be calm, selected the information of several home appliance factories and handed it to Huo Haiqing.

He selected these because their locations and sizes are good. These things are technical and need to be checked by professionals. It would be a good idea to give them to Huo Haiqing to inspect.

After collecting the information, Liu Zhicheng said slowly: "Director Chen, there are many things involved in the joint venture factory construction. Even if I decide today, it will take some time to negotiate. It will be considered a success only when both parties reach an agreement. But please rest assured that I will keep an eye on this matter."

Even though Liu Zhicheng has the "prophetic" golden finger and knows that the reform and opening up in the mainland will get better and better, at the moment, cooperation cannot be casual.

The amount of money invested is not important. What matters is that on some legal level, it needs to be confirmed in the agreement to avoid being caught in a difficult situation.

"Of course, we hope to cooperate with international companies like Chigo International," Director Chen said with a smile.

"Okay, I also hope to confirm the cooperation as soon as possible." Liu Zhicheng also smiled and said, "When will there be news about the R&D center that I talked to Director Chen about yesterday?"

"Don't worry, Mr. Liu. I have already reported it, but they may still need to hold a meeting to discuss it," said Director Chen.

"Thank you, Director Chen." Liu Zhicheng said happily.

(End of this chapter)