Rebirth of the 1980s: The Military Industry Empire
#286 - Chapter 286 We only build a shell? Isn't this too much of a bully?
"Everyone, according to our calculations, if the modification goes smoothly, we will have a demand for at least a thousand vehicles in China, and there will also be a potential market of five hundred to a thousand vehicles for export. However, there is one prerequisite: it must be cheap enough!" Qin Yang said, "Whether it's for our own use or for export, one million US dollars is the limit. If the price is higher, then this project is meaningless, because we won't be able to sell it, not even one!"
"From the perspective of reducing costs, we hope to conduct the research and development in China. Ten million is the limit, and we are confident that we can control it within five million. This way, even if we only sell a thousand tanks, the average R\u0026D cost per tank will only be five thousand US dollars, which is almost negligible. Even if it's spread to ten thousand US dollars, it's still acceptable." Qin Yang continued to calculate for them, "The second-hand tank chassis we provide ourselves is worth three hundred thousand US dollars. The tank guns we produce only cost one hundred and fifty thousand US dollars. Adding the labor costs for modification, the cost can be controlled within five hundred thousand US dollars. If we want to obtain a profit of about one hundred thousand, it means that the price of the imported power system and fire control night vision system cannot exceed four hundred thousand. You should all know that in the arms trade, this kind of profit is already pitifully low."
Arms dealers often make profits of 100%, or even several hundred percent. Qin Yang's calculation really didn't leave much.
"That's impossible!" Clark immediately denied, "We can reduce it to a maximum of one million US dollars, no lower!"
"It seems that our project has no meaning. Although I am very disappointed, I can only say sorry." Qin Yang stood up.
"President Qin, wait!" Jack was anxious, "We can discuss the price. How about eight hundred and fifty thousand US dollars?"
"Gentlemen, I have already done the math. The price you offer is best controlled at around three hundred and fifty thousand US dollars, after all, there are costs such as transportation and promotion. If the price is too high, this project will be meaningless and just a waste of our time. In fact, you know in your hearts that quoting these equipments at three hundred and fifty thousand US dollars already leaves you with enough profit." Qin Yang said, "If you want to cooperate, please show your sincerity!"
After speaking, Qin Yang turned around and walked towards the door, "I value friendship the most. If it weren't for my old friend Jack's sake, I could have gone to Detroit Company and General Motors to purchase directly from them, and the price would definitely be lower than what you quoted."
"President Qin, please stop." Jack was shocked, and of course knew that what Qin Yang said was true. Moreover, these are all civilian products, and exports can be carried out regardless of arms control.
Clark's face was also very unsightly, "President Qin, then what did Gage-Daxin Company do? Just be a middleman providing parts for you?"
"Of course not, you can help build the outer shell." Qin Yang stopped and said, "The outer shell you build will be full of Western colors, and will definitely be welcomed by some people. This way, the American Jaguar tank will still be jointly developed by us. We can split the profit of one hundred thousand US dollars in half. If we can sell a thousand vehicles, you can share a profit of fifty million US dollars, not including the profit from providing parts."
"How is the R\u0026D funding split?"
"You provide ten sets of accessories as R\u0026D funding, and we are responsible for the heavy modification process. Finally, you help us modify the appearance, how about that?"
"No, we are a professional tank R\u0026D company. We cannot accept a plan that only modifies the outer shell. To us, this is an insult!" Clark stood up with some excitement, "You have no sincerity at all. When I return to Detroit, I will denounce your behavior to everyone!"
"Why is it just modifying the outer shell? You can also learn our technology. Maybe you can use our modification experience on your light tanks?" Qin Yang said.
"Your modification experience? What modification experience can you have?" At this time, Clark was very disdainful.
Qin Yang continued to walk forward, saying as he walked, "For example, we can reduce the recoil of the L7 tank gun to 13 tons."
What?
This time it was Clark's turn to be shocked. Didn't the Orientals just get the technology of the L7 tank gun not long ago? They can improve it? However, thinking of the automatic rifling machine made by the Orientals, he still admired this kind of invention and creation ability. It is also possible to come up with technology to reduce recoil.
"President Qin, President Qin, don't go, let's talk again, this price is not unacceptable."
Qin Yang, who had already walked to the door, stopped: "Wouldn't it have been better to agree earlier? Do you know how much time you wasted for me?"
"President Qin, let's talk about how to reduce the recoil of the L7 tank gun next?" Clark said.
"Let's talk about the equipment of the American Jaguar. That's just a small matter."
Small matter? It's a small matter for you, but a big matter for us! However, Clark no longer had the arrogance he had just now, and his attitude completely lowered.
Nie Xiaoqian, who was on the side, watched with admiration. This is her man! Brother Yang is so amazing. No matter who it is, they have to be honest in front of him, because he knows the other party's weaknesses, but how does he know it?
Nie Xiaoqian's eyes were full of admiration for Qin Yang.
Entering into the negotiation details, Clark was even more shocked. Qin Yang was very familiar with the equipment models in the hands of the Americans. Clark wanted to fool him, but he couldn't fool him at all. Even a small idler wheel could tell the most suitable model.
Night fell, and the tedious contract details were finally finalized. This was also because Qin Yang was very familiar with American equipment. If another person came over, it would probably take ten days and a half months to negotiate.
"Okay."
Qin Yang didn't invite them to other places either, and entertained them directly in the factory's cafeteria private room. It would be great to have a few stir-fries.
The muzzle brake of the American Stingray tank relies on this to reduce recoil.
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