Material Empire

Vol 2 Chapter 498: Rare Earth for Steel Agreement

The so-called seller's credit is the credit provided by the bank of the exporting country to the exporter of the country to support the exporter to sell goods to the importer on credit, which is a means to promote exports. For example, Qin Hai requires Japanese companies to export steel to China in the form of seller credit, which is equivalent to borrowing a loan from a Japanese bank to buy steel from Japanese companies. The difference from general loans is that this loan was applied to the bank by the Japanese iron and steel enterprises, which is equivalent to special funds and can only be used to purchase the products of these enterprises.

Qin Hai promised Wang Hongsheng that he would be able to provide an additional 10 million tons of steel in addition to the original 5 million tons of steel intended to trap domestic and international speculators. Of course, this 10 million tons of steel cannot be dropped from the sky. Some of this can be produced by tapping the potential of several steel plants under the Daqin Group. The other part can only be placed on imports.

Of course, the State Planning Commission can also import steel, but due to restrictions on foreign exchange funds, the number of imports is very limited. There are many places where such a large country needs foreign exchange. It is impossible to use all foreign exchange for steel imports. Qin Hai's vision is to use his own network and various resources at his disposal to exchange steel with foreign manufacturers, including through seller credit, to make up for the lack of foreign exchange.

Chunshan is not the only foreign aid Qin Hai can seize, but since Chunshan is seeking Qin Hai at this time, Qin Hai will not give up this opportunity. He knows that although the size of Chunshan is not very large. However, there is some relationship between the business and political circles in Japan. It should be fine to entrust Chunshan to help contact the seller's credit.

Japan is a country that attaches great importance to foreign trade. It has always been extremely keen on things that can increase domestic exports. At present, the average domestic price of steel in Japan is 300 US dollars per ton. Qin Hai requires the import of 5 million tons of steel, which is about 1.5 billion US dollars. This amount of money is a huge sum compared to China ’s foreign exchange reserves. For the banks. It's nothing.

Nagatomo Yoshiaki also understands the mystery of this, and also knows the operation ability of Yichunshan Club. It is not difficult to make this happen. However, he was very clear about asking the price and sitting on the ground to pay the price. At this time, he did not discuss the price with Qin Hai. He also claimed to be a veteran of the market.

"Chairman Qin, I'm afraid this is a bit difficult." Chang Youyong pretended to be embarrassed and said in a long voice.

"Mr. Changyou, please." Qin Hai's turn is now low-key, and this is also no way out. Who asked him to ask Changyou to work forever? However, he was only low-key verbally, and in his heart he was fully confident. He prepared quite tempting conditions for Chunshan Club, and did not believe that Nagatomo Nagahama would not be hooked.

Nagatomo Yongkun did not know Qin Hai's intentions. He said: "As far as I know, the domestic steel market in Japan has indeed been oversupplied in the past few years, and various steel companies have restricted their production. The situation is more difficult. However, in the past two years, Japan has promised to In the 1990s, the annual increase of 43 trillion yen, which is about 290 billion US dollars for public investment, will greatly stimulate public infrastructure construction, which will lead to a substantial increase in demand for steel and other raw materials. So the situation of steel supply and demand in the market will occur Reverse. In this case, export 5 million tons of steel to China. I am afraid there will be some difficulties. "

"If there is no difficulty, I will not ask Chunshan Club to help." Qin Hai said with a smile, "The things that may be difficult for others, for Chunshan Club, it's just a matter of hand. Mr. Miyagawa, your president, and Nippon Steel's president is a friend of Mo Ni. It shouldn't be difficult to persuade Nippon Steel to increase the production of 1 million tons of steel. Besides, I think Nippon Steel hopes that it can do more in the Chinese market. "

"However, you still need to apply for seller's credit. This is not a general business problem. IMHO, your country still has a large deficit in the current account of foreign trade. I am afraid it is difficult to have the ability to repay more foreign debt?" Chang You Yongzheng said.

"This is very simple, we can provide a mortgage," Qin Hai replied without hesitation.

"Mortgage? What do you use as a mortgage?" Chang You Yongzheng asked.

"Rare earth." Qin Hai smiled amiably.

"..."

Nagatomo was defeated for a long time, and the other side actually returned to the rare earth again. I just slammed myself on the price and now I want to use rare earth as a weight for steel exchange. This Qin Hai is really a downright traitor.

However, Chang Youyong had to admit that Qin Hai's plan was attractive to him. Rare earth is the lifeblood of Chunshan Company. If the steel can be replaced by Qin Hai's commitment on the rare earth issue, this exchange is still worth it. In fact, neither Nippon Steel nor Kawasaki Steel is used to produce steel for sale? Without losing a penny, this business can be done if it is exchanged for some rare earth benefits.

"Chairman Qin, how do you plan to use rare earth mortgages?" Chang Youyong asked.

Qin Haidao: "I have just said that the mining of rare earths requires the authorization of China's State Rare Earth Office. If Chunshan Company can help us with steel import and seller credit matters, in return, we can ask the Rare Earth Office to Chunshan The company specially approved a quota to ensure the future production of rare earth alloy products of Chunshan Company.

If you want to be more specific, we can sign a longer-term supply contract with Chunshan Company to ensure that we provide Chunshan Company with no less than 200 tons of hafnium oxide and 50 tons of hafnium oxide, plus other rare earth oxides that Chunshan needs Thing. If we can't repay the seller's credit on steel then we will use these rare earths as collateral. What does Mr. Nagato think? "

"Aren't 200 tons of plutonium oxide and 50 tons of plutonium oxide already good things that we have said before? How can they be used as a new condition?" Nagato Yongji argued.

Qin Haidao: "We just talked about this year's supply, and we can't be sure. If steel can be settled, then we can guarantee not only this year's supply, but also the supply for the next five years. Isn't it a better condition? "

"I hope not five years, but ten years," said Chang Youyong.

"Ten years ..." Qin Hai frowned, then nodded: "I promise you verbally first, because it involves national policies, I need to apply to the Rare Earth Office before I can give you a formal answer."

"I think the Rare Earth Office will agree." Chang Youyong said, "China has always been a major exporter of rare earths, and now it just makes a clearer commitment. It does not cause any substantial damage to China's interests."

Qin Haidao: "Well, I think I will persuade the rare earth office, so can Chunshan Company also promise to solve the steel problem for us?"

"If you can promise to guarantee our rare earth supply in the next ten years, then we will try to solve the problem of steel." Changyou Yongzheng answered.

"Slowly." Hirano Masao, who was listening to the two of them, suddenly interjected. He turned his head and said to Nagato Yoshiyuki, "Nagato Jun, Chairman Qin Guang promised the quantity of rare earth, and did not promise anything about the price. It's risky for us. Since the agreement is signed, the price is undoubtedly an important content. "

"That's right." Chang You Yongzheng echoed, saying logically, he wouldn't make such a low-level mistake. He was just fainted by Qin Hai just now, so that no such important question was raised. Regardless of the supply price, then all sales commitments are empty. At that time, Qin Hai only needs to shout the price to the sky to achieve the purpose of breaking the contract. Based on Chang Youyong's estimation of Qin Hai's performance, he thinks Qin Hai can do such a thing.

Qin Hai smiled grinningly: "Mr. Hirano, Mr. Nagato, do you look at me as an unfaithful person? Such a question is not necessary so strict?"

You're too much like an unfaithful person! Both Hirano Masao and Nagatomo Nagata commented fiercely in their hearts.

"Chairman Qin, it is advisable to say something in advance, so as not to be unclear in the future," Changyou said, "You just said that you can ensure that sufficient rare earth products can be provided to Chunshan Company. Should the price be something? Guarantee?"

"This is simple, it is determined according to the international market price at the time of the transaction." Qin Hai said very generously.

"I'm afraid this isn't appropriate?" Nagatomo Ayumi rebuked. Trading at international market prices sounds fair, but when it comes to the issue of rare earths, this is not the case. Since the United States and Turkey's rare earth mines have closed down ~ www.readwn.com ~ More than 90% of the world's rare earths are provided by China. The so-called international market is actually the Chinese market, and the Chinese market is not all Qin Hai's word. Thing?

"We hope that the price of rare earth trading in the future cannot be higher than the current price, which is our bottom line." Changyou Yongzheng said.

"But the price of resource products will definitely rise. We signed a ten-year supply intention. If the price is not limited, it will be too risky for us." Qin Hai called bitter sky.

"Yeah, the global inflation is so severe now that the US dollar has been depreciating. If we maintain the current price, we will lose too much in ten years." Su Yabo also banged on the side, he must be with Qin The sea remains consistent.

Chang Youyong bite in a bite: "Chairman Qin said just now that these rare earths are used as collateral for steel, so it can only be calculated at the current transaction price. We help you to contact the seller's credit for steel. Due to the consideration of friendly cooperation between the two parties, you should also show some sincerity. "(To be continued)

ps: I just went to work and I was in trouble. It takes a few days to adjust. At present, we will maintain one change temporarily and resume two changes as soon as possible. Please wait patiently.

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