Chapter 111: Negotiation Plan

Provincial Foreign Trade and Economic Cooperation took Lyon and his entourage to visit the automobile factory. This time, the person they sent was none other than Deputy Director Zhou Jianjiang, who was responsible for supervising the negotiation work and also had to report to the central and provincial authorities in a timely manner.

Lin Xiangrong, the director of the factory, has concurrently served as the deputy general manager of the automobile company and will also participate in the negotiations with foreign parties.

There are really limited talents in the local area, and the superiors have not picked out a person who is familiar with the automobile industry and makes them very reassured.

They were still familiar with the negotiations with the Germans, so they had to transfer a deputy factory director named Li Gang from FAW to serve as the general manager of the Bincheng Automobile Factory.

Li Gang graduated from Tsinghua University with a major in automobile and automobile manufacturing, joined the army, and went to the Soviet Union to participate in the FAW working group of the Ministry of Heavy Industry; After returning to China, he successively served as an engineer and chief of the technical section of the FAW Engine Branch, deputy chief engineer and director of the planning office of FAW, and deputy director of FAW.

Li Gang was transferred from a large factory with tens of thousands of people to a small factory with less than 2,000 employees without any complaints. He actively learned about the situation in the factory from Lin Xiangrong, and also introduced the Toyota production system currently implemented by FAW, and looked forward to building this factory into a national key automobile factory in the future to realize the take-off of the motherland's car industry.

Lin Xiangrong is also very happy, a veteran in the automobile industry has been transferred from above, which will definitely play a great role in promoting the development and construction of the factory, and his confidence and spirit are also much higher.

The Lyon delegation visited the engine workshop, machining workshop, body stamping workshop and assembly workshop of the automobile factory. The three of them were amazed along the way, and Mu Ke nodded again and again and gave a thumbs up and said, "It's amazing to be able to develop like this under the blockade of the whole world!" ”

Lin Qiangsheng has introduced the technical situation of the factory in advance, so several foreigners also have a lot of psychological preparation, and what they actually see is much better than they imagined, at least the factory has seen some semi-automated equipment, and the workers are familiar with the process of assembly line production, and each worker is only responsible for one task, so that the proficiency can come up quickly.

After Lin Xiangrong heard his son's translation, his face also showed a trace of pride. looked at his son, then at a few foreigners, and said with a smile: "This is a production line that we have worked out with the teachers and students of Harbin Institute of Technology, and it is still incomparable with your company's technical strength!" ”

At present, the annual production of automobiles in the automobile factory is about 5,000 units, which is the level of a modification factory in foreign countries, but it is really ranked second in the car manufacturer in China. The first SH car has more than 5,000 vehicles, and the second place is Bincheng Automobile Factory.

Barr held a notebook and calculator in one hand and a pen in the other. The annual output value and total value of this factory are estimated. Although this scale is useless in the face of huge foreign capital and technology, it is also a habit of his negotiation analyst.

"Although the factory has installed some semi-automatic manual production aids, it is still at the level of technology in the late 50s. If you want to reach the current advanced level in the world, you need to invest at least 100 million US dollars! Very little of this production equipment remains, its value to the new company is equal to zero, and we have to pay for the disposal of old equipment! Barr said as he did the calculations as he watched the workers assemble the car.

Lin Qiangsheng translated, and the expressions of the Chinese personnel were a little embarrassed and ugly. However, what people say is also true, and when I think about the fact that foreign businessmen say that they will invest 100 million US dollars in equipment and technology, everyone is sad again.

Zhou Jianjiang said with a smile: "Please invite foreign businessmen to the conference room, let's talk about the expectations and content of the negotiation first, right?" ”

After Lin Qiangsheng and Leon and others talked, the group went to the small conference room of the automobile factory.

Lyon handed the Chinese side a plan for the content of the negotiations, and the details of the negotiations were written out in the book. The foreign businessman's plan is very detailed, and it is divided into two negotiations, one is investment cooperation with automobile factories, and the other is investment in the construction of auto parts production bases. Both negotiations run at the same time, saving time.

This was planned by Lin Qiangsheng behind the scenes, and he fully learned the lessons of the six years of negotiations between the SH automobile negotiation team and the German company Volkswagen. Writing this plan in great detail, taking advantage of the fact that the central leading comrades are here, first explain some issues, and also to reduce the toss and reduce the time for negotiations.

The central government hopes that the annual output of the automobile joint venture company will be at least 150,000 cars, and the higher authorities also hope that these cars can earn foreign exchange for the country's exports, requiring that 80% of the output be used for export.

Just this problem of production and export earnings, SH has encountered a lot of trouble! They themselves thought that they had no experience at the beginning, and the investment in producing so many cars was a heavy burden; Moreover, the state stipulates that 80% of the output is exported to earn foreign exchange, which SH finds difficult to complete. The Germans also did not agree to use 80% of such a large production for exports, fearing that it would hit their overseas markets.

Both sides had concerns both internally and externally, and they had two years of discussions with the German side on these two issues. It was not until 1980 that conditions changed, and SH privately lowered its annual production from 150,000 to 30,000 units. Two years of arduous negotiations have been rendered useless.

Under the triple blow of its own lack of confidence, the fatigue of the German side, and the incomprehension of the central government, the SH side has made great compromises on the issue of quantity and exports.

On the contrary, here in Lin Qiangsheng, there is no problem with a single qiē!

We want to produce 150,000 cars, so good! Lin Qiangsheng wants to get 300,000 vehicles. To export, better! Lin Qiangsheng also wants to export, and of course he will work hard to export. But if you can't get out, then the joint venture company will be established and the car will be produced later.

It's up to people! He didn't believe it, and the people up there would force him to go out with a gun. In later generations, many large domestic automobile companies noisily exported, but the news reported for a while, and finally it was gone, and it didn't do well.

And Lin Qiangsheng knows that after the reform and opening up, especially in the 80s, after the opening of the country, governments at all levels need a large number of office cars, and wealthy households of 10,000 yuan have begun to pursue owning a car.

By 83~84 years, the number of imported cars reached more than 340,000 per year. With such a large amount of car imports, the country may not be allowed to let it go by then, not to mention hundreds of thousands of smuggled cars every year!

In fact, it is stipulated that this thing, one thing is said above, and one set is made below, and when the time comes, he will really sell cars in China, can he still be stuck on it? !

On the SH side, people in the system negotiate with the German side, and they have to go to the central government for instructions when they encounter certain problems, and there are more than 10 departments alone, and if a department says they don't agree, they have to talk about it repeatedly, and repeatedly ask for instructions and report, and the rules are very big and complicated!

And the people above, everyone wants to say two words on this big project, and no one can say it, and the above sentence makes the people below break their legs. On the other hand, they were the first to negotiate with foreign investors in China, and they thought that they were crossing the river by feeling the stones, so they trembled and walked on thin ice, and they were extremely careful, so it caused a negotiation, a long period of six years.

After reading the foreign side's plan for the content of the talks, the eyes of the Chinese negotiating team lit up, especially Li Gang and the two central foreign trade and economic cooperation supervisors.

Lyon also said that if the Chinese side has anything that needs to be added, it can do so at any time. The attitude of the foreign side is very good, very sincere, and very tolerant, and can talk about anything, which is unexpected by the Chinese personnel.

When the foreign economic and trade personnel reported to Gu Mu and Rao Bin, both of them were very surprised.

Raobin asked in surprise: "The French side agreed to an annual production of 150,000 cars, and also agreed to 80% of the exports?" ”

The foreign trade man smiled and said, "Yes! The attitude of the people from the French side is very good, and they are much easier to talk than the Germans in SH, and we didn't expect it! ”

The foreign businessman's plan not only agreed to the Chinese side's demand for production and export foreign exchange, but also agreed to use Chinese law to resolve disputes between the two sides in the future.

You know, SH hasn't talked about this yet. Moreover, the German negotiators were very resolute and had very big differences with the Chinese side.

Lin Qiangsheng knew that the negotiation process on the SH side, output and exports could entangle both of them for two years; Then the German side demanded that the German joint venture law be used to settle the subsequent disputes, and the legal issues were entangled for another year or two; Then whether to sign the basic agreement first or directly sign the contract, another year; Then there's the issue of sales.

The German side raised the problems one by one, the old problems were solved, and new problems were raised, and the Chinese side was exhausted, and the two sides repeatedly negotiated and negotiated. In the past six years, there have been a total of 30 negotiations, and the negotiation teams of SH, Beijing, and Germany have all gone all over these places. Six years later, they figured it out on their own, bypassing the central government, and successfully signed a cooperation agreement with the German side first.

In the course of such a long negotiation, even the people of the Central Committee for Foreign Trade and Economic Cooperation said, "If you have this time, you might as well develop on your own!" ”

In fact, the reason why I talked with the German side for six years was that Lin Qiangsheng thought that it was still his own reason, they took the German side too seriously, and they didn't take themselves too seriously.

Gu Mu flipped through the negotiation plan and said: "Since the attitude of foreign businessmen is so good, we should seize the favorable opportunity to promote this cooperation." Let's study this proposal provided by foreign investors now. ”

The cooperation proposed by the French side is divided into two parts, the first is a joint venture project with an automobile factory, and the foreign party will invest in 50% of the shares of the joint venture company and the technical equipment. This is also the bottom line of the central government, but this bottom line has to be reported upwards and nodded from above.

The plan of foreign parties to invest in an auto parts production base in the provincial capital is even more attractive to China.

Rao Bin listened to the content, and said with bright eyes: "Can you let the foreign guests put this investment in the coastal area, which is also more convenient for future export plans?" ”

Gu Mu also nodded with interest and said, "Placing it in the coastal area, there are many benefits, didn't you mention it to foreign businessmen?" ”

The foreign economic and trade personnel looked at each other, shook their heads at Gu Mu and Rao Bin at the same time, and one of them said: "We said it, but the foreign businessman said that he would not consider other regions." ”

Rao Bin smiled: "I think you still haven't fully explained the benefits of this to foreign businessmen, we should talk to foreign businessmen again, and build a spare parts base on the coast, they should also understand that it is beneficial to do this!" ”

"We all explained to the foreign businessmen, but they were very resolute and said that they would not consider anything else!" The foreign trade people still shook their heads and said.

They also wondered why foreign chambers of commerce insisted on building factories in the mainland.

Rao Bin said incredulously: "How is it possible, don't foreign businessmen know that building a factory in the mainland will increase the cost?!" ”

Gu Mu said: "I am also optimistic about building the production base on the coast, which not only saves a lot of manpower and material resources, but also is consistent with our country's future development plan!" ”

After discussing it with each other, they were all inclined to talk to the foreign businessmen about the issue again.