Rebirth 99 to become a car giant

"Mr. Cao, many places are now actively inviting us to invest in and build factories. Not only are they providing free land, they can even provide interest-free loans to support factory construction and equipment investment."

“I think it’s a really good opportunity to expand.”

"Now the real estate industry is developing rapidly, and land prices in many places are also rising."

"We expect that this trend of purchasing will continue, so it is something that can be considered to build factories in various places early and prepare for future market demand in advance."

All the factories of Nanshan Equipment, which Pan Jinxing is responsible for, are located in Yangcheng.

But in fact, Nanshan Equipment has customers all over the country and even around the world.

Some equipment is deployed in other places, sold nearby, and provides after-sales service nearby, which actually has a cost advantage.

The layout of factories dispersed in several places also has certain benefits for reducing the company's operating risks.

After all, when something like a sudden natural disaster occurs, you won’t be wiped out in one fell swoop.

Cao Yang also agreed with this.

“Which solutions currently provided by places do you think are more suitable?”

What Pan Jinxing said made sense, and Cao Yang naturally had no need to object.

Anyway, with the economic development in the next ten years, the demand for equipment will be very strong.

This is definitely a sunrise industry.

Therefore, there is no problem in starting to build some branch factories in advance.

"At present, our entire group's industries are mainly distributed in Yangcheng, Magic City, Imperial Capital and Chang'an, with relatively few deployments in other cities."

"I think the newly opened factories of Nanshan Equipment can also be developed around these areas."

"Currently, the conditions offered by Chang'an City and Magic City are more appropriate, especially Chang'an City, which has promised many preferential conditions."

"Considering that the person in charge in Chang'an Province came from Yangcheng, I think we can build a branch factory in Chang'an City first."

"In the early days, we mainly focused on the production of high-end machine tool equipment. The aerospace industry happened to be relatively developed there, and the demand for various CNC machine tools was relatively strong, especially the large CNC machine tools that can be sold nearby."

Pan Jinxing explained briefly.

If the general direction is determined in the future, further detailed reports will definitely be required.

"Then let's build a factory in Chang'an City first. You can arrange for people to contact you about the specific content."

Various companies in the Nanshan Group have many factory expansions or investments in new factories every year.

It is impossible for Cao Yang to personally follow up on everything in every factory, and this time is no exception.

Now he is more just grasping the general direction.

While Nanshan Equipment finalized the new factory, Nanshan Battery also immediately proposed a plan to build a new large-scale battery factory.

"Mr. Cao, according to the current development speed of new energy vehicles, the demand for batteries will increase rapidly."

"Now some other battery manufacturers are also starting to expand production. In order to maintain our advantageous position, it is necessary to build a new large-scale battery factory this year."

Lin Cheng was also very busy in the past year.

Nanshan Battery has been busy building new factories and developing new customers in the past two years.

There are countless projects of all kinds.

"BMW Asia Pacific President Phillips called me the day before yesterday and said that they are preparing to launch at least three new energy vehicle projects in China, and these batteries are planned to be produced by Nanshan Battery."

"You should hurry up and implement this with the other party."

Although Cao Yang does not have particularly high expectations for the sales of BMW's new energy vehicles, BMW is a luxury brand after all.

Nanshan batteries are installed in BMW cars, which is also beneficial to increasing the influence of Nanshan batteries.

Although the two parties had cooperated before, the model was too niche and almost no one knew about it.

This time, the noise on BMW's side is much louder than before, and it's still worth taking a closer look at.

"We are already communicating, and BMW's specific development model has been determined, but the specifications of the battery pack have not been determined so quickly."

"We are going to propose to them that they use one of the standard models."

"This way, the subsequent development time will be much faster and the cost will be lower. This should also be in their interests."

Lin Cheng also personally talked to Aimoha, and he was quite optimistic about this cooperation project.

During this period, not only BMW took the initiative to communicate with Nanshan Battery about new projects, but even Volkswagen also tentatively made contact with Nanshan Battery.

This was something that surprised Lin Cheng.

After all, the relationship between Volkswagen and Nanshan Automobile Group is far from friendly.

Under such circumstances, the other party actually came to seek cooperation, which was a bit unusual.

"This project will be finalized as soon as possible, and then we can consider building a battery factory in the north based on the situation."

With the development of the Nanshan system now, it is definitely necessary to carry out a nationwide layout.

Of course, in order to facilitate management, we will not mess around with hammers and sticks.

It is necessary to plan ahead and layout the factory based on customer needs.

Next, Cao Yang communicated with Nanshan Auto Parts and other companies and successively finalized the general direction of investment in several new factories.

Obviously, in 2013, Cao Yang was ready to start a big money-spending model.

After such large-scale actions were spread through various channels, many companies naturally became very nervous.

"Mr. Li, if we want our battery cost to be competitive with Nanshan Battery, we must expand production capacity as soon as possible."

"Otherwise, the production efficiency is not high enough, and even if we don't make money, we can't reach the other party's cost level."

"Once our technology lags far behind, it will be very difficult to catch up in the future."

When he heard the news that Nanshan Battery was building a new factory, Shi Junhui from Guoxuan Hi-Tech immediately came to the office of General Manager Li Zhen.

He feels that if Guoxuan Hi-Tech does not work hard, it is estimated that there will be no hope of entering the first-tier battery team in the next step.

This was something he couldn't accept.

"Our customers, the current production capacity does not require us to continue to expand the production line. If we invest in advance, we will have no customers by then, and we will be under great pressure."

It's not that Li Zhen doesn't support production expansion, but the sales of electric vehicles by Guoxuan Hi-Tech's current customers have not increased.

Therefore, there is no market for newly built battery factories at all.

The investment in any production line is hundreds of millions. If there is no sales after it is built, it will be very troublesome.

Maybe Guoxuan Hi-Tech will be dragged down by the new factory.

This is what he is more worried about.

"With our current production capacity, if we encounter hot-selling models from big customers like Changan Automobile or Yangcheng Aian, there is simply no way to meet the supply."

"Although there are not many electric vehicles that sell well, no matter which customer they are, they all have relatively high expectations for their new cars."

"If our company's production capacity cannot meet the other party's needs at this time, we may lose the opportunity in the first quotation."

"In the long run, it will be more difficult for us to develop new customers."

When Shi Junhui said this, Li Zhen also realized the seriousness of the problem.

If you don't expand production, then the production capacity will not be sufficient, and customers will not consider you if they have other options.

But if we expand production, there are no orders now, and the situation will be embarrassing.

The situation Guoxuan Hi-Tech is facing now is also faced by many other battery companies.

At the policy level, relevant departments now have relatively high support for electric vehicles.

But in fact, there are only a few electric vehicles that sell well.

For a company that sells tens of thousands of vehicles every month, it is very difficult to increase the sales of electric vehicles to more than 10,000.

It’s no wonder that Nanshan Battery is now the dominant company in the battery industry.

Because in addition to the internal manufacturers of Nanshan Automobile Group, its customers include Changan Automobile and Yangcheng Aian, two companies that are far ahead in sales of electric vehicles in the industry.

This impact is actually very huge.

Nanshan Battery previously built a factory in Shuangqing City, which has already considered the needs of Changan Automobile.

Otherwise, they would definitely not consider Shuangqing City.

"That's the truth, but it's still very stressful to just rely on our own funds to build new battery factories."

Li Zhen sighed. He regretted why he did not continue to develop in the real estate industry.

According to the current real estate situation, if he had been deeply involved in real estate, his net worth would be at least double what it is now.

But there are all kinds of medicines in this world, but there is no regret medicine.

"I heard that the land for Nanshan Battery's new factory in Chang'an City is completely free. Even the funds to build the factory and purchase equipment are supported by local interest-free loans."

"The annual inflation rate is now around 3%, or even higher."

"In this case, interest-free loans are actually equivalent to losing money for your development."

"I think as long as the company is willing to build battery factories in some places, there should be places that will refer to Chang'an City's standards and cooperate with us."

Shi Junhui gave his judgment with certainty.

Although Li Zhen has been worried that the company's cash flow is not enough to support a large-scale new factory construction plan.

But if the company does not use its own funds, the situation will be different.

"This is indeed a method, but those big cities probably won't be able to provide us with such good conditions."

Li Zhen still has a relatively clear understanding of the strength of his company.

He knew that he could not completely benchmark Nanshan Batteries, otherwise he would be hit hard by then.

"Most of the production lines in battery factories are automated production lines, and the number of workers required is not that many."

"In this case, it doesn't matter where the factory is built."

"Even if we build in third- and fourth-tier cities, our labor costs can be much lower."

"If the cost of our batteries is cheaper than Nanshan batteries by then, there will definitely be some OEMs willing to cooperate with us."

"If that doesn't work, we can consider producing battery modules for electric bicycles first. I think this is also a solution that can consume a lot of our production capacity."

Li Zhen provided Shi Junhui with company shares, so Shi Junhui was very motivated to work.

When the company gets better, your life will also get better.

This is the biggest motivation for his work.

Unlike some companies where everyone eats from a big pot every day, it is impossible to make employees highly motivated under such circumstances.

After all, that's what human nature is.

"Then let's try it first and finalize the plan as soon as possible."

Li Zhen thought for a while and finally agreed to Shi Junhui's plan.

Huaxia's new energy vehicles are developing quite rapidly, and many OEMs have begun to deploy electric vehicles. Guoxuan Hi-Tech is not without opportunities to expand its customers.

…

And just when power battery manufacturers such as Guoxuan Hi-Tech began to follow suit and expand production capacity, Nanshan Equipment ushered in a group of special customers.

Pan Jinxing personally participated in the reception, and Pan Jun also accompanied him.

"President Graba, our CNC seven-axis five-linkage propeller processing heavy-duty turning and milling compound machine tool has just won the second prize of the China National Science and Technology Progress Award. Its performance in all aspects is no worse than similar products from Japan."

"We even have our own unique advantages in control systems."

"The propeller produced using this equipment can at least reduce the noise of the submarine by more than 5 decibels."

"If combined with excellent propeller design, the noise reduction effect can be further expanded."

Obviously, when Polar Bear Import and Export Corporation President Graba and Vice President Prius came to visit Nanshan Equipment, they went there for the high-precision machine tool products.

For Polar Bear, it is very difficult to import high-precision machine tools from overseas.

In particular, the "CNC seven-axis five-linked propeller processing heavy-duty turning and milling compound machine tool", which is obviously a machine tool used for military products, is even more restricted.

Polar Bear's nuclear submarine technology is already very powerful. With these sophisticated machine tools, its strength can be even higher.

Its opponents naturally know this very well, so even if Polar Bear pays a high price of several hundred million units, there is no way to purchase the same type of product from the international market.

Originally, he had never thought of buying it from China. After all, the polar bear's technology was many times superior to China's.

Nowadays, many people cannot accept the need to buy high-tech products from their former younger brothers.

After all, until now, China has continued to purchase some high-end fighter jets and other products from Polar Bear.

If it were the other way around when it came to machine tools, wouldn't it be a slap in the face?

However, after Nanshan Equipment's "CNC seven-axis five-linkage propeller processing heavy-duty turning and milling compound machine tool" won the second prize of the China National Science and Technology Progress Award, the Polar Bear Import and Export Corporation felt that it could no longer turn a blind eye and had to come to the site. Check it out.

If the machine tools of Nanshan Equipment are really that advanced, then they are going to import one and use it first.

Even the price of the equipment from China is not cheap. It is definitely cheaper than the high-end machine tools from Japan and Germany.

“In addition to being able to process large-sized propellers, what kind of accuracy can this machine tool achieve?”

As the vice president in charge of technology, Prius is naturally very concerned about the performance of machine tools produced by Nanshan Equipment.

If you spend a lot of money but buy inappropriate equipment, you will suffer a big loss.

In particular, the propeller of a submarine is a very critical component.

The basic principle of a submarine propeller is that the water propels itself forward through the rotating propeller. In this process, water will inevitably produce a huge flow rate. The greater the flow rate of water, the lower the pressure. The lower the pressure of the liquid, the smaller the boiling point.

When the propeller rotates rapidly, the water driven by it can easily boil, creating a large number of bubbles. When these bubbles are generated and exploded, they will produce noise, which will greatly affect the stealth of the submarine.

Enemies can locate the submarine by looking for these noises.

At this time, the submarine designer was in a dilemma. If the submarine's propeller rotates too fast, it will easily produce noise, but if it rotates too slowly, it will slow down the submarine's speed.

So how to drive more water to flow when the submarine propeller rotates slower has become the key to maintaining the submarine's speed while still ensuring its stealth.

Polar Bear had previously adopted a plan that directly adopted a parallel twin-propeller design.

In order for the propeller to drive more water within a limited diameter, the surface area of ​​the propeller blades must be large enough, so the blades of submarine propellers are designed to have a large inclination angle.

In this case, the processing difficulty of the propeller is naturally very high.

If the accuracy of the machine tool is not enough, the noise of the propeller will be relatively high.

In the early 1980s, a company in Japan sold a five-axis milling machine that could process submarine propellers to Polar Bear, which made their submarines much less noisy and made the United States very angry.

A group of people were also punished for this.

After that, Polar Bear never got any more sophisticated machine tools.

Now that Nanshan Equipment has a new situation, they are actually looking forward to it.

"Our processing accuracy can reach 0.1 micron, which can achieve the effect of using turning machines instead of grinding to a certain extent."

"Using it to produce blades for nuclear submarines, the final accuracy will never be lower than the accuracy of any submarine propeller blade currently in service in the United States."

When Pan Jinxing said this, Prius's expression immediately changed.

Nuclear submarines are the weapon that polar bears care about most. How to improve their performance is a matter of great concern among polar bears.

It would be of extraordinary significance if their company could really successfully purchase such a high-precision machine tool.

"How much does one of these machine tools cost?"

Graba finally asked a question that Pan Jinxing really wanted to hear.

If a customer has never asked you about the price, then depending on how sincere he is in purchasing, he must give you a discount.

Everyone who should visit has visited, and naturally it’s time to negotiate the price.

Of course, with this kind of special equipment, there is often not much room for negotiation on price.

Because there are too few sellers to choose from in the market.

Even if Polar Bear spends 100 million US dollars to buy a similar machine tool from a machine tool company in Japan or Germany, it will definitely not be able to buy it.

It's not about money at all.

Of course, Nanshan Equipment wants to open up the market there through Polar Bear Import and Export Corporation, so it will not quote a sky-high price and directly do one-time business.

“President Graba, how many ‘CNC seven-axis five-linkage propeller processing heavy-duty turning and milling compound machines’ are you planning to purchase?”

"You also know that it is very troublesome to produce such large machine tools."

"The cost difference between producing one unit at a time and producing several units is relatively large."

Pan Jinxing naturally hopes to sell as many machine tools as possible.

This kind of equipment cannot be available every year.

At least for the polar bears, after they bought the "CNC seven-axis five-linked propeller processing heavy-duty turning and milling compound machine tool" this time, they probably won't buy it again for several years.

Of course, other machine tools are another matter.

“What’s the price if we buy one unit, and what’s the price if we buy four units?”

Graba also knew that what Pan Jinxing said was reasonable, so he asked again.

"If you just buy one, the price needs to be $30 million."

"If you purchase 4 units at one time, the total price of US$100 million will allow you to own the world's most advanced 'CNC seven-axis five-linkage propeller processing heavy-duty turning and milling compound machine tool.'"

After Pan Jinxing finished speaking, he looked at Graba expectantly.

Although Nanshan Equipment is also a large company, it actually has orders for several machine tools.

But this time the order represents a different meaning.

Once the door to Polar Bear's machine tool equipment is opened, future orders will be worth looking forward to.

You never know when a few big orders will come.

“Free maintenance and repairs within ten years ensure that our equipment can always work normally.”

"If you can agree to this clause, then we will buy 4 machine tools, and the price will not be less than one dollar."

Graba did not choose to negotiate the price with Pan Jinxing there, but changed his perspective and negotiated a discount with him.

For the equipment industry, after-sales income is a relatively important income.

Similarly, for factories, equipment maintenance is also a cost that must be taken seriously.

For machine tools that Polar Bear cannot produce itself, the after-sales cost will definitely be higher.

In order to control this risk to a minimum, Graba has put forward the requirement of free after-sales maintenance for ten years.

"Whether the machine tool needs maintenance is closely related to the processing situation. We can only guarantee that there will be no problems under normal use."

"If we need to repair and maintain the damage caused by human factors for free, then we will be under great pressure."

Pan Jinxing would definitely not agree to Graba's request so easily.

He also hopes to make another fortune in the aftermarket in the future.

"If it is damaged due to human factors, we can pay for the related cost of repair parts."

Graba knew that the request just now was a bit harsh, and it was impossible for the other party to agree.

So he quickly took a step back.

"This is the first cooperation between us. Under normal circumstances it would be impossible for us to agree to such terms."

"But this time I will make an exception and follow the conditions you said!"

Pan Jinxing didn't dwell on it anymore.

Anyway, the technology is in the hands of Nanshan Equipment. If they feel there is a problem, they can have a good fight.

It will definitely not be Nanshan Equipment that is anxious by then.

The two parties negotiated the price, and Polar Bear's purchase of four "CNC seven-axis five-linkage propeller processing heavy-duty turning and milling compound machine tools" was finalized.

The two parties drafted a cooperation agreement that day, signed a formal purchase contract later, and then entered the stage of paying the first wave of payment.

Four machine tools were sold for a sky-high price of US$100 million. This is definitely the envy of many people!