Chapter 441 Supporting Industry

The second investment is not to invest in a new industry, but to invest in the ash industry that Fuyuan is already doing, which is cement. In recent years, China's cement market is almost in short supply, the military's demand, large-scale project infrastructure needs a large amount of cement, Fuyuan company has been in Zhili, Fengtian Province investment in the establishment of three ash plants, these three ash plants since the operation is almost day and night, but still can not meet the needs of the market, the product is in short supply, the profit is naturally brushed up.

Driven by profits, under the condition that Zhao Dongyun asked to invest in heavy industry, Fuyuan Company was ready to take a big gamble and was ready to invest in the construction of six new ash factories in Zhili, Fengtian, Shandong, Henan and Jiangsu at the same time.

Once these ash plants are put into operation in many provinces across the country, it will be announced that China's first large-scale ash industry group will be established, and it may even form a trust-based cement enterprise in the future.

The third investment is to be smaller, Fuyuan company is ready to invest in the establishment of a hardware factory, the products of this hardware factory are mainly some parts, which is mainly for those large domestic machine factories to do matching, this can be regarded as an attempt by Fuyuan machine factory to enter the basic industry, don't look at these small parts are not big, but the technical content is not low, such as the simplest screws, springs, domestic screws and springs that can meet military needs There is no manufacturer, whether it is Fuchang or Jiangnan Arsenal, All these parts and components they need have to be imported.

Once Fuyuan Company makes these basic parts, it will be the only one in China, and it will be much smoother to officially enter the domestic basic industry on this basis.

Fuyuan Company's three major investment plans, with the largest investment in the expansion of the ash plant, Fuyuan Company itself could not get too much money for a while, but Fuyuan Company wanted to firmly control the ash industry in its hands, and was unwilling to find too many joint ventures, so it took the form of loans, ready to borrow from Huatong Industrial Bank, and also used its own control of Fulong Bank to issue bonds in Shanghai to raise funds.

Fuyuan Company took the lead, and Fuyuan Machinery Factory, another leading heavy industry enterprise in China, was not idle, but their first action was not investment, but their own reform!

The board of directors of Fuyuanji Qì Factory quickly approved the proposal to establish a 'Tangshan Industrial Company', in which Tangshan Industrial Company wholly owns a series of subsidiaries such as Fuyuanji Qì Factory, Tangshan Iron and Steel Company, Tangshan University of Technology, and Fuyuanji Qì Factory Affiliated Hospital, and all the shares of the original Fuyuanji Qì Factory will be converted into shares of Tangshan Industrial Company in accordance with the original proportion.

This kind of reform is the development needs of the factory itself, the scale of the factory is not just an arsenal, but a group enterprise that includes the national defense industry, steel, wood, chemical industry, scientific research, education, medical care, electric power, water conservancy and other aspects, although the national defense industry is still the majority, but the management model has to follow the times.

Speaking of this reform is also to imitate the Fuyuan company, in the early years of the Fuyuan company is also only one Fuyuan yarn factory to manage many industries, and later found that this management model has too many restrictions, is directly established Fuyuan company, to unify the jurisdiction of many subsidiaries including Fuyuan yarn factory.

After completing the reform of its own management model, Tangshan Industrial Company soon announced three large-scale investment projects.

The first is to announce that it will invest in the construction of a large-scale steel plant 'Anshan Iron and Steel Plant' in Anshan, Fengtian, with a planned investment of 10 million yuan, and after completion, the output will even exceed the existing Tangshan Iron and Steel Plant.

The second is to announce that it will expand investment in coal and iron mining, including increasing investment in Fushun coal mine and increasing investment in Anshan iron mine. The purpose of these two capital increases, which is as high as 5 million, is very obvious, that is, to further expand Tangshan Industrial Company's leading position in the domestic steel industry and ensure the source of iron ore and coal mines for Anshan Iron and Steel Company in the future.

Both of these investments can be regarded as investments in the steel industry, which is also the second pillar industry of Tangshan Industrial Company after the defense industry, so it is natural to attach importance to it.

The third is not much to do with the national defense industry and the steel industry, because the third investment prepared by Tangshan Industrial Company is the machine industry, Tangshan Industrial Company is ready to invest three million for the expansion of the original Fuyuan Machinery Factory Huludao Machinery Branch, ready to use the strong technical force of Tangshan Industrial Company to develop and put into production industrial machine tools that are vital to a country.

Needless to say, the importance of industrial machine tools, whether it is the current era or the future, the level of industrial machine tools in a country directly determines the overall industrial level of the country.

Fuyuan machine qì factory actually began to get involved in this industry a few years ago, Huludao machine qì branch is engaged in this, at the beginning it was just a small fight, engaged in the repair of machine tool business, this repair a few years later, plus Tangshan University of Technology is also a successful reverse mapping of a lot of machine tool equipment design drawings, at the beginning Tangshan Industrial Company only produced a small amount of its own to meet its own needs, but later found that most of the domestic manufacturers are importing various types of machine tools on a large scale, The board of directors of Tangshan Industrial Company, which saw the business opportunity, naturally would not let go of this opportunity, and was ready to invest on a large scale and then set foot in the domestic industrial machine tool business, wanting to take food from the mouths of foreigners.

Tangshan Industrial Company has money, technology, and ambition, so it is not surprising that it is engaged in all this.

Zhao Dongyun learned about it and felt very relieved, and he supported the ambitions of Tangshan Industrial Company. And there is naturally no money in his support, and there is no technology, and all he can give is policy.

Immediately, he waved his pen and gave the newly listed Huludao Machinery Company a special preferential policy of tax exemption, and even issued a document requiring domestic industrial and commercial enterprises to support domestic machine tools.

Under the leadership of the two leading enterprises of Fuyuan Company and Tangshan Industrial Company, other capitalists in China also saw the government's determination to support heavy industry, and for a time many capitalists began to get involved in heavy industry.

Among them, there are those who invest in mining, those who invest in small-scale iron and steel plants, those who invest in small-scale machine factories, and so on, although the investment amount of these private capital is not large, the large ones are only hundreds of thousands, and there is no one that exceeds one million, and those small factories that only invest tens of thousands of yuan are more, and the products produced by these manufacturers are not only civilian products, but some industrial products are mainly for those large factories to do support, and for a time, small-scale manufacturers in Zhili and Fengtian provinces have sprung up.

Seeing this, Zhao Dongyun had to sigh, there is a super-large-scale leading enterprise to take the lead, and it is much smoother to engage in industry, if there is no Fuyuan Company and Tangshan Industrial Company to take the lead, even if those small manufacturers that do supporting facilities are established, the products produced will have nowhere to sell.

During this period, the industrial model supported by the Soviet Union was somewhat similar to the industrial model supported by Japan, which was to establish a few leading enterprises through guò, and then attract a large amount of capital to establish small-scale manufacturers and even family workshop-type enterprises, which in turn led to the expansion of the entire industrial scale.

China's current economic model is very outdated, especially the products that can be exported to earn foreign exchange rely on raw silk, tea, soybeans, etc.

As for industrial products, not to mention heavy industry, they can't produce it for their own use, let alone export, and in terms of light industry, the domestic textile industry, which is relatively well-developed, is actually dominated by domestic sales, and exports are nonsense.

If the task of exporting and exchanging foreign exchange is not urgent, then the current large-scale import of industrial products into foreign countries is to put China's international trade in a very unfavorable situation, and a large amount of money is used to purchase equipment and arms from foreign countries, leading to the outflow of a large amount of real money and silver, which is very unfavorable to China's current economic development, not to mention that the large-scale import of foreign products will also suppress the sales of domestic products.

However, if we want to change the current situation, we need China to be able to produce these industrial products on our own, regardless of the quality of the products, you have to have the existing ones, and if the quality is bad, you have to buy cheaper, and rely on low prices to compete with foreign products.

Based on a variety of considerations, this gave Zhao Dongyun the idea of vigorously supporting heavy industry, and he did not require a few scientific research giants such as Siemens and General Electric to emerge in China at once, nor did he require that the products of any enterprises in China could be sold to the world in a short period of time, as long as there were a large number of workshop-style factories that later generations of Chinese people looked down on, as long as the products of these factories could occupy a certain share of the domestic market, he was very satisfied.

At present, the most important task is to produce and be self-sufficient, and to avoid the outflow of large quantities of imported funds.

However, when it comes to this task, in fact, it is still difficult for the development of contemporary China's heavy industry to meet this task, and the development of heavy industry will not be able to form a scale in a decade or twenty years. At the present stage, light industry is the only way to develop a large amount of money in a short period of time, to enrich the finances, and to compete with foreign products, and to stop the outflow of large amounts of capital.

Textile industry, flour industry, daily chemical industry and other light industries are fast money industry, and light industry has a common characteristic, that is, it belongs to labor-intensive industries, which can train a large number of industrial workers, and these industrial industries can in turn consume daily industrial products after receiving wages, which is equivalent to expanding the domestic industrial products consumption market.

Don't look at China's population of hundreds of millions now, but the market for daily industrial products is not large, because the social model of contemporary China is a very typical small-scale peasant economic society, rural areas are male farmers and women weaving, self-sufficient, those foreigners in modern times have opened China's treaty ports, but it is difficult to open China's hundreds of millions of rural markets, the most obvious is cloth, don't look at the domestic all kinds of foreign cloth, domestic mechanism cloth rampant, but in fact, occupy the domestic people worn, In particular, the peasants still wore all kinds of hand-woven trekking, and even when they bought cloth, many people preferred cheap, thick homespun cloth. The finely patterned machine-made fabrics are generally only sold in the city.

To put it bluntly, the Chinese textile market in this era still has great potential to explore the space, and the problem cannot be tapped at all under the current social model.

Other flour, soap, matches and a few other commodities are also the only few light industrial products that can be sold in large quantities in contemporary China, flour and soap are mainly facing the city, while matches, a seemingly inconspicuous small commodity, are oriented to the whole country, the people in rural areas of the country are not interested in machine-made cloth and flour, and cannot afford to consume, but matches will still be bought

In addition, kerosene lamps are also a bulk consumer product, but this product involves oil, and now it is basically controlled by those foreign companies, and it has nothing to do with domestic enterprises, at most it is just an agent.

Although he has great expectations for heavy industry, he is also well aware that in order to really raise the country's taxes and improve the living standards of ordinary people, he must now rely on light industry and agriculture.