Chapter 422 Processing of Supplied Materials
“Is it a direct investment to build a factory?”

“How is the specific investment amount allocated?”

“How to deal with the export problem?”

"What about the workers? The systems on both sides are different?"

"What about management?"

When it comes to business, Mr. Shaw can only listen and not have a say, as he is in the film and television business.

The last time Li Hanxiang went to the mainland, he originally planned to do some cultural work, but he encountered many obstacles and has not seen the light of day yet. He has to wait a little longer, otherwise he will end up in the small dark room again.
Mr. Huo also has ideas, but his main business now is real estate and port construction, and he needs to have further discussions with domestic leaders on port construction.

Mr. Bao and Mr. Dong are mainly engaged in the shipping industry, and they are also concerned about port investment.

The people who asked Wang Deming these questions were mainly Mr. Cao, Mr. Chen and others.

This is also a good thing. Although Wang Deming is the second largest shareholder in textile industries such as Taiping Textile and Nan Fung Group, it is not impossible for him to force textile companies to return to the mainland to invest and build factories.

But no matter how powerful he is, it is impossible for him to handle everything at the same time.

In particular, he wants to make it a demonstration effect to attract more people to return to the mainland to build factories, develop the economy, and absorb the labor force.

"Initially, we adopted the third-party trade of processing with supplied materials, which can completely avoid the problems you are concerned about."

Wang Deming patiently answered their questions: "We provide factories, equipment, technology, raw materials and samples. The corresponding factories in the mainland will produce them and be responsible for the export of the final products."

"This avoids touching on some of the mainland's sensitive policies at this time."

"Of course, there are opportunities if we invest. The leaders above have already started discussing the Sino-foreign joint venture method, which will be released next year."

"My advice is"

He looked at the Hong Kong tycoons in the living room and said, "It is better to help someone in need than to add icing on the cake."

"The mainland's economy is taking off at this time," he said, counting on his fingers. "There is an abundant, high-quality, educated, and cheap labor force."

"A complete industrial system, whether it is light industry or heavy industry, as long as there is a need, you can find the corresponding industrialized products."

"This means that as long as we provide the latest technology, we can produce products for export domestically."

“But introducing technology is also a problem, right?” Mr. Chen frowned. Nan Fung Group was the first company to introduce air knitting machines to produce jeans in Hong Kong. He spent a lot of money to buy the equipment at that time, but it also made Nan Fung the largest jeans manufacturer in Southeast Asia.

"At the beginning, I considered the subsequent technological upgrades and asked the Italian textile equipment manufacturer about the price of technology transfer, which was more expensive than the equipment itself."

“It’s better to buy equipment.”

"Mr. Chen," Wang Deming added slowly, "Don't forget that Mr. Huo is the most familiar with the research institutes in various places on the mainland. His research capabilities are very outstanding."

Mr. Huo nodded and interrupted, "That's right." Seeing everyone's confusion, he smiled and said, "Didn't I help China contact the European raw silk business for a period of time?"

"At first, the quality of domestic raw silk was unstable. Deming persuaded me to provide funds to several domestic research institutes that have mulberry silk breeding. Soon the quality of raw silk caught up with that of Japan."

“That’s why most of Europe’s raw silk is now imported from China.”

"In addition, the leaders have also invited us to go to Beijing to have a face-to-face chat. If we have any questions or concerns, the leaders will answer them in person."

"Okay!" "Then let's go together!"

"Hey, what about the British?"

"It's okay," Wang Deming reassured them, "The British are in the midst of a general election and are too busy to take care of themselves."

"The Iran-Iraq War in the Middle East is good for us in oil futures trading, but it is a huge blow to the British economy."

"It's not just the UK, it's the same across Europe. They actually want us to spend money to buy their technology and equipment."

Everyone quickly made up their minds and decided to go to Beijing in January 79 to meet the leader in person.

However, before that, he had deposited more than 1000 million to 1 million US dollars in the Bank of China in advance.

No matter how nice the words are, it is better to do something practical.

Similarly, there are several proposals, including those related to ports, light industry, and heavy industry. Please ask the comrades from the Hong Kong Xinhua News Agency to submit them to the leaders for review in advance.

The leader cordially encouraged the visiting Hong Kong tycoons that the system would remain unchanged for 50 years and would not affect their business in Hong Kong.

Domestic development is constantly changing. Economic development is the first factor, and everything else can be discussed.

We affirm their desire to invest in domestic ports, light industry and other industries.

In particular, they gave very high praise to the fact that they had deposited a large amount of foreign currency in the Bank of China in advance, and promised to convert it into RMB at the best exchange rate of 1.5.

Before the 90s, the official exchange rate of the RMB was always officially designated, and there was no problem of exchange rate fluctuation.

但是也是连年上升，从79年的1块5，到90年涨到4块7，真正上涨还是93年，升值为5块7，94年8块6，95年8块3，之后就一直在8块左右上下浮动。

Souyi’s capital is 1000 million US dollars, which is equivalent to 1500 million RMB.

After encouraging the wealthy people in Hong Kong, the leader asked them to live in Beijing for a while, and they would be responded to their ideas and suggestions quickly.

In addition, it has been decided to open an industrial zone in Shekou to take over the light industry moving north from Hong Kong.

The most important thing was to invite them to participate in the 79 Spring Festival Gala.

They all stayed at the Beijing Hotel. At that time, only the Beijing Hotel had decent conditions. According to later interstellar standards, it was only three stars, which was slightly higher than chain hotels.

The room is bigger and cleaner, but the hardware decoration, elevator, TV and other facilities of Beijing Hotel are outdated and cannot keep up with the grade.

There is a special term for accommodation these days, called guesthouse. Most of them are tertiary industries of factories and enterprises, so letters of introduction are required.

Wang Deming did not go this time, and he had no intention of going. He just waited at his home in Yongkang Hutong. The Spring Festival of 79 was on January 1th.

During the Spring Festival holiday in the early years, in order to make more contributions to socialism, many comrades first voluntarily worked overtime. After the government responded, the whole nation worked overtime to build socialism and the Spring Festival holiday was cancelled.

On January 1, two letters from readers were published in the Masses Daily, "Why No Holidays during the Spring Festival" and "Let Farmers Have a Peaceful Year", proposing that workers and farmers should have holidays during the Spring Festival.

The news published in the Mass Japanese newspaper was a guiding light. Within just a few days, many provinces and cities announced the resumption of the Spring Festival holiday.

(End of this chapter)