Feng Yu wants to confirm the framework of the agreement, and Feng Yu does not want to participate in the detailed negotiations. It's too tiring.
Business negotiations often take many days to discuss a single clause because it involves a lot of benefits. But in the end, they will not save much money.
Feng Yu likes to separate the clauses. He will give in to some, and the other party will give in to some. After that, he will sign the contract quickly to ensure efficiency.
Of course, every company has their own way of doing business, and no one is right or wrong. But Feng Yu felt that the US is more anxious to get this done now. They cannot drag the negotiations for two to three years, and it will not benefit the Obama administration.
That's why the US and Peking University also want this to be done quickly. They do not want any changes to happen, and everyone wants the same thing. They should be able to sign the agreement soon.
For the ports, Feng Yu and Li Zeju felt it will not be a problem. There will be at least two ports that will be fully automated. But for the high-speed rail, it will be more troublesome. It will be boycotted by at least two industries. The airline and automobile industries will also be boycotted.
Getting loans is also a problem. Even if it is only a section of the road, they will still need to get loans. Feng Yu is leaning towards getting loans from Bank of America or Wells Fargo. If necessary, Minsheng Bank can also join in.
If they get loans from other financial groups, they will have to share some of the profits with them. This will lower their profits, and it is not worth it.
While Reed and the rest are reporting to their families, Feng Yu also called Zhang Ruiqiang.
Feng Yu can only call Zhang Ruiqiang and cannot video chat with him. This is because internet security is not guaranteed, and Zhang Ruiqiang is still using a non-smartphone.
But Feng Yu felt he is being too careful. He does not need to worry too much about video calls. His company also conducts video conferences frequently. Could it be that China's internet technology is not as good as his company's? Feng Yu's video conference often needs to decide the direction of his billions of USD assets. There must be a lot of people who want to know about this.
The call went through, and Zhang Ruiqiang's voice was heard. "Hello, Feng Yu?"
"That's me. We have talked to the consortium representatives sent by Obama. The intention to cooperate with the port is obvious, but the high-speed rail cooperation is not easy. The expected income is high, and the capital consumption is large. It is very likely that the negotiations will fall through. "
Zhang Ruiqiang thought for a while and said, "The US needs to stimulate employment now. If we build factories in the US and invest in infrastructure, it will greatly solve their employment problem and stimulate economic development. They have no reason to reject us."
"If it is our country, we will definitely agree to this condition because our country's infrastructure is owned by the state. But in the US, these are all privately owned companies. Those capitalists are most concerned about profits. "
Zhang Ruiqiang understood that this high-speed railway construction was very likely to not make money, or the investment return period was too long, not economical enough. From the perspective of the country, construction was necessary. But for those businessmen, this kind of investment is relatively stupid, unless the government is willing to give subsidies.
But now, the United States was still peddling national bonds to Hua Xia. How could they afford the subsidies? Therefore, the possibility of a successful negotiation wasn't high.
Hua Xia had invested a lot in the development of high-speed rail technology and finally became the world leader. Now, it wants to get back some of its investment.
But there are still competitors, like Germany and Japan. Their technologies are also very advanced. Hua Xia wants to invest in the US to build high-speed rail, and at the same time, they want to use Hua Xia's equipment.
Zhang Ruiqiang had discussed with Feng Yu before. Hua Xia's high-speed rail company can invest in the US to ensure production in the US. This way, the transportation costs will be lowered, and the production capacity will be sufficient.
Hua Xia can also produce high-speed rail, but they are busy with the construction of the domestic railways and cannot afford to take on overseas orders.
This is different from the airplanes. The airplanes can be delivered a few years later as I do not need to invest much in them. But if the trains are delivered a few years later, will the tracks I built be left empty?
The investment in railway construction is more than the airplanes, and the standards for the tracks are different. Of course, it will be more economical to build a section and put the other section into operation.
From this, it can be seen that the risk of investing in railways is much higher than airplanes, and the economic effect is longer. This is because the duration of railways is much longer than airplanes. But the return period is long, and the rate of return is low. This is the fundamental problem.
"Can't you get more consortiums to invest and share the risk?" Zhang Ruiqiang asked.
"It is difficult. It is still the same reason. The returns are not enough." The risks are lower, and the returns will be lower. It is not worth it and does not meet the investment philosophy of those businessmen.
"You are saying to give up?" Zhang Ruiqiang is not willing to give up. If Hua Xia's high-speed rail can be exported to the US, it will be favored by those European countries. This will be a great boost to the development of CRRC, NRC, and other companies.
Feng Yu gritted his teeth. "I will try again. I might need to invest more money this time, and I will not be able to make any profits. However, don't hold too much hope, lest the greater the hope, the greater the disappointment. "
Feng Yu also wants to facilitate this cooperation. This way, the more Hua Xia invests in the US, the more the US will not dare to have any conflicts with Hua Xia. Feng Yu's interests in the US will also be protected.
Anyway, Feng Yu's bottom line is not to make any profits, but he will not accept any losses. Now, there are still opportunities. The US hopes to attract more investments and provide more job opportunities. This investment by Feng Yu and the rest will not be a small one.
Hua Xia's government is not only considering the development of the enterprises. They also want to increase the pride of the nation. Hua Xia's enterprises can export their technologies to the US. Hua Xia's people will be proud of this.
This will increase the cohesiveness of the nation to a certain extent, and more talents will stay in China to help the motherland develop faster.
This time, not only the high-speed rail factory, but also the port related automation equipment will be set up in the US. This will also be a form of technology export.
The US is the world leader in many aspects of automation equipment. But for the ports, automobiles, etc., the US is still lacking. This is because of the obstructions from the unions.
Feng Yu is thankful to the unions in the US. If not for them, they will not give him such a good opportunity.
All of them are educated in the same school, and if they do not work hard and cannot get into a good school, who can they blame? Look at the first 20 years of Hua Xia's life. The whole family worked together to groom a student. After the student graduated, the family's situation changed drastically. The key is to make a choice.
Now, they are waiting for the US side's reply. If the US side shows any signs of giving in, Feng Yu will try to make it happen!
… …
You've already exceeded your reading limit for today. If you want to read more, please log in.
Login
Select text and click 'Report' to let us know about any bad translation.
