"Then Wharf will do this first, with these two directions as its main operational goals. For other businesses, it will be the same as Hutchison, Midea, and Red Bull. If your management thinks it is feasible, you can try it and see if there is hope. We can discuss it again. ." Chen Zhiwen continued.
"Okay, then I will prepare for privatization first and then talk about the follow-up matters." Zhao Lilin nodded and said.
Chen Zhiwen continued: "The same is true for Hutchison Huang. We have continued to develop in several previous directions. How is the progress of the mining exploration company?"
Zhou Jiayang replied: "We have locked in two mining exploration companies, one is from Europe and the other is from the United States. These two companies do not have any land exploration rights. They are pure exploration companies that specialize in international exploration. To undertake this type of task, the price quoted would be US$55 million for one company and US$70 million for another company. Considering the price, it will take some time for us to finalize it.”
"How is their technology?" Chen Zhiwen asked.
"Not top-notch, but they are still of a good level. Those who are truly top-notch in the industry have actually been acquired by oil or mining giants." Zhou Jiayang replied.
"Okay, you continue to keep an eye on this matter, but don't delay it for too long." Chen Zhiwen nodded and said.
"Okay, it should be finalized within two or three months." Zhou Jiayang said.
"There is also the matter of domestic infrastructure. This matter also needs Hutchison Whampoa to be the main force. The Beijing-Tianjin-Tangshan Expressway is our first large-scale investment project in the country. It should be decided with the mainland as soon as possible. In addition, the first construction can only To build a two-way four-lane expressway, but during land acquisition, all eight lanes of land need to be acquired to prepare for future expansion." Chen Zhiwen added.
As the busiest highway in the country in the future, connecting the two megacities of Yanjing and Tianjin, 4 lanes in both directions are definitely not enough, but the cost of building 8 lanes now is too high, and the first 20 years may be a waste of resources. , therefore, it is enough to prepare the corresponding land first, and then expand when needed in the future. And with Hutchison Whampoa’s financial resources in the future, even if the expansion will require more funds, compared to Hutchison Whampoa’s scale, the proportion will be Definitely much smaller.
"Two-way lanes can basically accommodate the demand of tens of thousands of trains a day. Will there be so many trucks in the country in the future?" Zhou Jiayang asked curiously.
"The current highway construction in China is indeed for trucks, but as long as the economy develops, the number of cars will grow exponentially. I absolutely believe this, so prepare the land first. With the current domestic situation, it won't cost much. Cost." Chen Zhiwen said with a smile.
In fact, it is not only outsiders who doubt the future achievements of the country, but also the first batch of people who implement reform in the country. Their ultimate goal is to bring the country to the level of developing countries in the world, such as Brazil, where ordinary people can work normally. Then there is no need to worry about running out of food. Meat food can also be eaten once every few days and so on.
It’s just that the subsequent development achievements were so high that no one could have imagined. China’s development can be said to be a miracle, and even ordinary people have become accustomed to the rapid economic growth every year. However, looking around the world, the economies of most countries are stagnant. Even going backwards year by year, the former major food exporting country, in the 21st century, the presidential election slogan is to let every Brazilian have food. This sentence makes many people find it incredible, but it is reality.
"Okay, there is really no concept of land value in China now. If the economy really develops, even if it reaches the economic level of some countries in Southeast Asia, then the cost of expanding the expressway will indeed be very high." Zhou Jiayang nodded. said.
"In addition, there should be basically no problems with the Beijing-Tianjin-Tangshan Expressway. Yanjing needs a large foreign investment project to stabilize the results of the reconstruction. Yanjing and Tianjin also need this expressway. This investment cooperation needs to be discussed more decisively. You don’t need to pay too much attention to some minor issues. I want to use this cooperation as a template. In this way, if other places need to build expressways, the first one they want to look for is us." Chen Zhiwen continued.
Many major cities in China currently have logistics and transportation problems, especially those that are far away. To transport goods, you need to travel from the center of many cities in between. This problem existed until the 1990s. Chen Zhiwen remembered it when he was a child. , he took a bus from a city in the south of Jiangsu Province to Xuzhou in the north, passing through many county-level cities and urban areas in between, and encountered various problems such as traffic jams. In the era of highways, the journey only took half a day to drive. In the 1990s, we walked for more than a day. At night, a group of people crowded into the car and slept in the service area.
If it is transported across provinces, the efficiency, time and fuel consumption are intolerable. The first two can be solved internally, but the fuel consumption is different. Oil can be exchanged for US dollars, but the materials transported by trucks are in vain. A large amount of foreign exchange is consumed. If the goods are exported, they are inherently low-profit. If the fuel consumption is higher, there will be no use. Not to mention, trucks are also important production materials and are equivalent to foreign exchange.
Therefore, if we want the economy to develop rapidly, highways are the most important link. Reducing transportation costs will allow goods to be transported more cost-effectively, lower prices, and make it easier to earn foreign exchange. Otherwise, only coastal cities will be able to develop after the reform.
"Okay, I will try my best to negotiate this matter within a few months." Zhou Jiayang nodded and said.
"Okay, let's do this for now. As for Galaxy, the current main task is to transfer some orders to China as much as possible, reduce costs while ensuring quality, and then find high-quality suppliers in the future, and then invest in cooperation." Chen Zhiwen said.
Galaxy Group used to have a lot of business, but its main force was definitely a trading company. This company has now become one of the main sources of orders for Hong Kong industry, and even has a great influence on the Bay and parts of Southeast Asia. As for the real estate sector, Chen Zhiwen is planning to wait for the real estate crisis to slowly transform into a rent collection company like Land and Land. This is also because the capital market has become larger and it is impossible to use too much money in Hong Kong. For example, when the scale was small, the performance could be doubled in a few years.
In the future, its real estate companies, including Hutchison Whampoa and Wharf, will gradually let go of their own land after developing it and turn to property holdings. However, this does not mean that they will withdraw from the real estate industry and encounter properties and companies that can be acquired. Or maybe high-quality land is still available. After all, there are so many skyscrapers in Hong Kong in later generations, and rent collection is also very good. Some super buildings can even reach half the level of Harbor City in terms of rental income.
"Understood." Xu Jinhong, the person in charge of Galaxy Group, nodded and said. In the first two years after Galaxy was founded, the trading business was far behind the income from real estate. But now, although the real estate business has also doubled, , but the trade side is increasing exponentially. In addition, if the scale of the group becomes larger and larger, the returns from Hong Kong real estate will also be limited. It is impossible for them to develop such a large community and turn it into property holdings. It's really the only option.
"Okay, let's follow these plans. I'm going to the United States soon and may stay for a while. I hope there will be better news when I come back." Chen Zhiwen said with a smile.
"Chen Sheng, don't worry, we will do our best to complete your arrangements." Zhou Jiayang said with a smile.
In mid-April, Chen Zhiwen took a Cathay Pacific flight to the United States for the last time.
The reason why this is the last time is because the 747s at Boeing have been decorated and are waiting for the boss, Chen Zhiwen, to inspect the goods.
However, he did not go directly to see the plane, but went to Los Angeles because Apple was about to be listed on Nasdaq.
(End of chapter)
