Wealth

Vol 5 Chapter 35: Benefits from pricing power

When Toshi Iwasaki withdrew from the Dagukou Fort, his face was basically green.

The conditions that Fan Wuyao gave him are really unacceptable. China’s rare earth market has been reshuffled. Now Fan Wuyao has the dominant team and has the dominant power. As for other small-scale production companies, they The quality and quantity of the products do not meet the requirements of Toshi Iwasaki, and export power is also an obstacle.

The Chinese government has few export licenses granted to rare earth production companies. A total of only a dozen companies have export powers. These companies have now all stopped production for rectification, and have gradually been integrated under Fan Wuyi’s three rare earth production companies. No disease has completely mastered the right to speak and price the export of rare earths.

If you want to get the same share of rare earth resources next year, you will have to pay a higher price. Iwasaki's steps were a bit staggering, and the road was not easy to walk, and he was almost tripped over, and the staff next to him hurriedly helped him.

Iwasaki was probably unhappy in his heart, waved away the employees who wanted to support him, and walked outside by himself.

"Mr. Yanqi, welcome to come again next year!" Fan Wuyao shouted from behind.

Yan Qijun looked back at Fan Wuyao, who was full of expressions. The suffocation that had accumulated in his chest finally burst out. A mouthful of blood sprayed all over his clothes, which looked extremely scary, but after such a mouthful of blood came out, his chest Finally feel a lot easier.

Yan Qijun's men glared at Fan Wubing, thinking that Fan Wubing was deliberately humiliating Yan Qijun, but Fan Wubing went on to say, "Just spit it out. Otherwise, if you just go back to Japan like this, you must be It will become depressed and become sick, and medicine is ineffective."

Touching his chest, Yan Qijun did feel that after the blood spurted out, he felt a lot easier on his body, and then he thought of the title of genius doctor Fan Wuyi. Then I realized that even though Fan Wubing made himself vomit blood, what he said was the truth. If he really went back like this, he would inevitably suffer a serious illness.

So Yan Qijun turned around and bowed to Fan Wubian, and then said, "Thank you! See you next year!"

Fan Wubing nodded. Watching them gradually leave the convoy.

"Mr. Fan. Isn't this Japanese stupid with anger? He was so angry that he vomited blood. I also want to say thank you--" a staff member who followed Fan Wuyi asked curiously.

Fan Wubing said with a smile. "You are wrong to blame me. If Yan Qijun doesn't spit out this bruise, at least I will have a serious illness. I just want to do business with them. I will help him. Land. But this person can be considered a little capable. Knowing what I said is true. Much better than ordinary people."

"Will you negotiate the price with him next year?" someone asked.

"That's a certain place." Fan Wubing nodded and replied. "Talk once a year. You can determine the annual sales price of rare earth minerals. This is very advantageous for us. As a major exporter of rare earth resources, we can control the pricing power. Determine our own profit goals. This is what we thought before. I dare not think about it."

For Jun Yanqi. He is also willing to continue negotiations with Fan Wuyao. At least Fan Wubing still left room for him. He didn't set the price exactly according to the international market price. I believe it will be next year. It is impossible for Fan Wuyao to align the price of rare earths with the price level in the international market. There is always a profit margin for Yan Qijun.

It's not that Fan Wuyao and the Japanese flirted with each other to betray their national interests. For some important rare metals and rare earth elements. He is not giving way. For ordinary rare earth resources. Slightly lower than the international market price. It is easier to maintain the existing rare earth consumer market. Keep your market share and not be eaten by others. Further form a substantial monopoly on the rare earth market.

With the current domestic technical level, it is necessary to fully use the effects of many rare earth elements. It is not realistic, and the main direction for rare earth applications in the international market is the arms industry, which is a highly profitable industry, so they can afford sky-high rare earth raw materials. This is Fan Wuyi’s way of making money.

As far as China is concerned, it has no future for an arms race, nor does it have the financial resources. Therefore, it indirectly uses rare earth resources to make a profit to make up for its embarrassing financial situation. This is the top priority. As for future exhibitions, when these resources are needed. A large-scale strategic reserve has been formed in the country, and there is no need to worry about all the good things being sold.

After a month’s halt in domestic rare earth production, it is gradually recovering. Fan Wuyao invested a lot of money in enterprise transformation. Now all major enterprises have opened up 50% of their production capacity. The labor force is familiar with the new equipment and new technology. About two months later, a new production process is formed, which transforms the extensive mineral management to the fine-grained mineral operation. As for the small enterprises, it is through mergers and acquisitions. Realize the integration of resources to avoid waste of resources caused by over-exploitation.

As for the pollution problem, the initial results have been achieved through the shutdown and rectification at this time. At least the water quality in the river is much better. The one-month suspension of production has a significant effect. This also provides people with confidence in the effectiveness of environmental pollution control. Therefore, Everyone is very concerned about technological transformation.

In the past, there was no money to do these things. Now that some people pay for technical reforms, then everyone is still willing to see the beautiful scenery of their hometown instead of being poisonous everywhere.

The media also cooperated very well. Through open and unannounced visits to rare earth producing areas, the reporters proved this to the world with incontrovertible facts. The government's decision to shut down rare earth production enterprises was extremely correct and fruitful. It was for the people. Responsible for life safety.

For the health of the people, the government has suffered a lot from shutting down rare earth production enterprises, and the enterprises have made great sacrifices, but all of this is worth it. We finally saw the green mountains and green waters again.

At this time, Yan Qijun had already started paying for the goods to Fan Wuyao for six consecutive days, handing over his current list of mineral resources to Fan Wuyao, and purchasing the corresponding mineral resources.

For the exported resources, Fan’s standard is to categorize and select, but without refining, the purpose is to alleviate the domestic pollution problem. You can refine the things that foreigners need to use. You can’t sacrifice yourself. Environment, do these simple tasks for you.

In fact, Yan Qijun hopes to go back and refine these minerals by himself. After all, their separation technology and refining technology have been mature for a long time. In addition, many technologies obtained from the Rare Earth Research Institute have been maturely applied to the application level. Separating and refining can at least increase some income and increase the utilization rate by more than 20%, which is equivalent to reducing the cost by more than 20%.

After Fan Wubing waited for more than a month, it was almost June. He had to go back to school anyway, otherwise, wouldn't it be too much if he didn't even take the exam? Although the principals of Fudan University are shocked by themselves and dare not neglect, but the four words of respecting the teacher and respecting the Tao have to do enough work, after all, it is a Chinese tradition.

Before returning to Shanghai, Fan Wuyi went to see boss Erzhu.

"Your rare earth project has caused a fire!" Boss Zhu is still very busy, but the time to see Fan Wuyi must be spared.

Apart from anything else, just the export of rare earths, Fan Wuyao has increased the country's tax profits by hundreds of times. What kind of concept is this? This alone has increased China’s revenue by more than 10 billion a year. It is important to know that the domestic annual tax revenue is now more than 300 billion. The original inconspicuous project actually hit such a high level. The profits of the Politburo have already shocked the eyes of all the Standing Committee members of the Politburo.

What’s even more rare is that the total export volume has now been reduced by one-third compared to the original export volume. This part and the remaining part of production have entered the newly built national strategic resource reserve. This part of the reserve is nothing. The disease promised to leave the country’s strategic reserves free of charge. If Fan Wuyi needs to use this part of the resources, he also needs government authorization and purchases at market prices.

The value of this part of the national strategic reserve is no less than the total value of the rare earth resources purchased by the Mitsubishi chaebol every year.

"This year is a transitional period. Everything needs investment. It is estimated that next year will be much better~www.wuxiamtl.com~ Fan Wuyao said to Boss Zhu, "By next year, I believe that the environment in the mining area will not be inferior to the living environment in ordinary cities. In addition, the government's fiscal revenue will continue to increase, and it is hoped that next year it can provide more than 15 billion yuan in revenue for the country's tax revenue. "

Boss Zhu looked at Fan Wuyao and said, "You are a miracle hand. After your advice, the rare earth industry has undergone earth-shaking changes. The country, localities, and enterprises have all made huge profits. This is really impressive. With emotion. If this were not the case, the tax revenue for rare earths this year would be only more than 200 million, and no one can believe that there will be tens of billions of tax revenue!"

Fan Wubing said in response to this, “In some respects, private enterprises are more vigorous than state-owned enterprises. If you simply emphasize the importance of rare earths, major state-owned enterprises are required to pay attention to rare earth production and to be cautious about rare earth exports. If environmental protection is cautious, the effect will be minimal. The key to benefiting the three parties now is that I have the right to speak in the rare earth industry and the right to set prices for rare earth exports. This is the key to victory."

"On this point, do you have any experience to teach and teach?" Boss Zhu listened very carefully, and took out his little notebook, carefully writing and drawing on it.

"For some industries with special characteristics, even an industry alliance with foreign trade decision-making power should be established." Fan Wuyao replied.

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