Technology company, I will become the light of China!
Chapter 478 Price War Tariff War Begins, Chen Xing Successfully Integrates Domestic Auto Companies
As the car price war kicked off, a battle against Linghang Automobile started around the world.
The official website of the German Ministry of Foreign Affairs was the first to release the lithium battery control regulations, and mentioned that Linghang Automobile had low-price dumping.
Anyone who has lived in Germany knows that Germany has very strict price control over foreign goods, and there are also special "Anti-dumping Duty Law Regulations".
In simple terms, foreign goods are far lower than the market price of similar German goods, and their customs will impose 30% to 50% anti-dumping duties, plus about 20% vehicle tariffs, the actual tariffs collected can reach 50% to 70%, or even higher!
For example, the standard version of Linghang 001 is 209,000 Longguo yuan, and the export to Germany, including international transportation costs, sells for 259,000 Longguo yuan per car.
The German tariff is the total value of the goods multiplied by the tariff ratio. Take a car as an example, the standard version of Linghang 001 of 259,000 is subject to a 50% tariff, which is equivalent to 388,500 Longguo yuan per car, which is the price of the German Linghang car.
If you insist on selling it at 209,000, it will be equivalent to selling the car at a loss, because there is a large commission on export tariffs.
This is also the reason why there is a huge difference between the prices of Mercedes-Benz, BMW and Audi in Germany and in the Longguo market, because there are tariffs to regulate prices.
This time, Germany did not show any mercy. As a heavy industrial country, it wants to maintain the development of its own car brands as much as possible and directly included the pilot car in the red tariff list.
Not only did it impose a 50% anti-dumping tax, but it also raised the normal tariff to 35%. In other words, if a pilot car wants to enter the German market, it must first pay 85% of the import tariff to Germany, which is an unprecedented collection ratio in the automobile product catalog.
However, Germany is not an exception. The United States, France, Italy, and almost all Western countries have released tax rates for pilot cars. Among them, the tariffs in France and Italy have reached an astonishing 120% and 130%, respectively. It seems that they do not welcome pilot cars to enter their countries' markets.
In addition to Western countries, neighboring peninsulas and island countries also imposed high tariffs, with a ratio of up to 70% and 80%, and also increased prices on the grounds of dumping.
All the major car-making countries seemed to have discussed it well, and issued tariff announcements at the moment when the car companies started the price war.
But it is worth mentioning that except for the major car-making countries raising tariffs, other countries did not express much.
Because they could not make cars, Linghang Automobile did not touch their domestic interests, so there was naturally no reason to impose tariffs.
…
The United States across the ocean.
CEOs of world-renowned car companies such as General Motors Group, Ford Motor Group, Mercedes-Benz Group, BMW Group, Audi Group, Toyota Group, Honda Group, etc., all witnessed the start of the price war and tariff war in the New York star-rated hotel where they stayed.
After the failure of the Masick plan, Davic, the future heir of the US Federal Reserve, responded to his father's instructions and attended the "Automobile Joint Conference". The main content of this conference was how to regain market share.
To put it bluntly.
It was how to fight a price war.
After discussions among dozens of presidents, it was finally decided to cut prices significantly.
It is said to be a significant price reduction, but in fact it is just squeezing out the premium and returning to the normal price range.
Take the 2015 BMW 320Li as an example. It is a 2.0T, 184 horsepower L4 engine, with a maximum power of 135KW and a maximum torque of 270N·m. It takes a full 8 seconds to accelerate from 0 to 100 km/h. Even though the configuration is not very good, it costs 340,000 yuan.
You can imagine how high its brand premium is if you spend 340,000 yuan to buy a car that accelerates from 0 to 100 km/h in 8 seconds.
It is no exaggeration to say that even if the price of the BMW 320Li is reduced by half, the BMW Group and the Brilliance Group will make money.
The entry-level models are so watery, not to mention the BMW luxury models. Some of them can make 60% of the net profit of the whole vehicle. They all start to cut leeks with the car logo.
But it is not their fault to deliberately cut leeks. After all, there has never been a domestically produced car in Longguo that can be both cheap and have both performance. Users can only choose the entry-level models of BBA.
At this time, Davic was sitting on the sofa in the office on the top floor of Building 666, holding a goblet in his hand, and the scarlet wine was swaying on the wall of the glass.
He took a sip and smiled, "No matter how good Linghang Automobile is, it will not be successful if it cannot go abroad. Let's see how you, Chen Xing, deal with it."
This time, the plan against Linghang Automobile is not only participated by Jewish capital, but most of the Western capital consortiums are in agreement, especially those whose interests are damaged, such as Germany's Thyssen Consortium and Flick Consortium, France's Rothschild Consortium, Paris Union Consortium, etc.
If they could stay out of the fight in the mobile phone field before, then they really cannot be spared if the war breaks out in the automobile field.
Mobile phones have always been controlled by the United States. They hope that Chen Xing will fight Apple, Qualcomm, and Hanxing Group to death, anyway, it will not harm their interests.
But not this time!
German industry is the pillar of the economy.
French cars, such as Peugeot, Renault, and Citroën, contribute greatly to the economy and support more than 100,000 people. If Pioneer kills these companies, it will be a heavy blow to the French economy.
Human nature is selfish. When the interests of the majority are damaged, they will unite to protect their own interests.
But if something is good for you, such as the subsidy war between Meituan and Ele.me, you can have a meal for 3 yuan, and you can order a two-pound crayfish barbecue for 10 yuan. I believe most people want it. They keep fighting and won't speak out to object.
"As expected of Mr. Darwich, he can think of uniting other Western countries to form an anti-dumping alliance. This time Chen Xing has just shot himself in the foot. It hurts." The leader of the Pilot Group, Robert Seavey, gave a thumbs up and dismissed the flatterer. Performed brilliantly.
"Price war and tariff war are two-pronged. No matter how great Chen Xing is, Pilot Auto will not be able to get out of the Dragon Kingdom." Lyle Valles, the leader of Baile Group, also echoed.
"That's natural." Davich was very confident. He took a sip of red wine and looked at Robert Sivey: "Where is the specific progress of the thing I asked you to do?"
"There are not many clues. After all, Southern Henan is in the Dragon Kingdom. It is impossible to conduct an in-depth investigation. From the current point of view, Wei Yan is indeed a blank slate and there are not many suspicious points." Robert Sivey responded.
"Where are you?"
Davich looked at Lyle Valles.
Lyle Valles, who was handsome and both boyish and girlish, smiled and praised: "I have to say, he is capable. He has already built a rat barn and raised tens of billions of dollars. All of them are from China." With their funds, as long as we fluctuate the stock market and stuff in junk high-priced tickets, we can drain their money without anyone noticing.”
"Continue to monitor. If there is anything unusual, notify me immediately." Davich said solemnly.
The United States is a country made up of immigrants, and it does not discriminate against immigrants. However, Wei Yan appeared too suddenly and is extremely capable. He needs to investigate carefully before reusing him.
After several rounds of investigation, he really didn't find any problems.
"That's right." Davich seemed to have thought of something and said in a deep voice: "What's going on at Microsoft? Is the stress test button ready?"
"Everything is ready."
"Yes, the top hacker teams have been studying it repeatedly and have already figured it out. This time it is bound to tear a hole in the GIANT PANDA bank settlement system."
Robert Seavey and Lyle Valles quickly responded that compared to Pilot Auto, the biggest headache for Jewish capital is actually the GIANT PANDA bank settlement system.
Because the GIANT PANDA bank settlement system has gradually expanded its scope of influence, most countries in the world, except the United States, have defaulted to this backup option.
Although the SWIFT bank settlement system is still the mainstream, it is not the only one. This is the most unacceptable thing for Jewish capital.
In the past, they only needed to go through the SWIFT bank settlement system to know how many strategic resources Long Guo and Mao Xiong had purchased, but now these data are blurred.
The ancients said: Know yourself and the enemy, and you can fight a hundred battles without danger.
The United States was able to carry out a textbook offensive in the Gulf War, that is, it knew itself and the enemy, used its own strengths to attack the other's weaknesses, and left Iraq without any power to fight back.
Just like this, the Jewish Consortium and the Angsa Consortium both have a common goal.
The first is to boycott pilot cars and protect the interests of domestic American cars.
The second is to destroy the GIANT PANDA bank settlement system, let the SWIFT bank settlement system regain its glory, and maintain the hegemony of the US dollar.
3. Revitalize the rice stock index.
4 is to completely defeat the Longxing Group.
In addition to these four goals, there are also the Longxing Group's mobile phone crackdown on smuggling and TikTok's ban on ByteDance, but these two goals are no longer possible.
Let’s talk about Longxing Group’s mobile phones first. Whether it is Longxing X3, Geek X2, Tianyu X1, or Cuican X2, a complete industrial chain has now been formed in the United States.
Want to put an end to it?
Then the only option is to issue a ban.
But if the United States imposes a ban, can the big Eastern countries tolerate it?
Moreover, it is unjustifiable to impose a ban on mobile phones, and the United States cannot tolerate it.
As for TikTok, with the dual influence of the ice bucket challenge and brain-computer interface, it has become an indispensable short video dating software for young people in the United States.
The United States has close to 200 million people, and currently a conservative estimate of 50 million people is using TikTok. Zhang Ming has been invited to the United States many times to discuss officially entering the U.S. market.
However, he refused.
Entering the US market means being subject to supervision and restrictions.
How good it is now, not entering your market, only entering your people’s mobile phones, Zhang Ming will not be stupid enough to legalize it.
Precisely because Longxing Group mobile phones and TikTok are "smugglers" in the United States, the United States has no way to do anything. They can never come to search the mobile phones or uninstall TikTok. This will infringe on the personal freedom of the American people, and protests will be inevitable. .
…
While Davich was talking with Robert Seavey and Lyle Valles, far away in the parliamentary estate in Washington, Renato Marotta, the Speaker of the U.S. Congress, also ended his meeting with Clayton, the patriarch of the Rothschild family. dialogue.
Davich persuaded car companies to lower prices, and Creighton and Renato Marotta persuaded the country to impose tariffs.
This vigorous game was not something that Davich could create.
Renato Marotta hung up the phone, looked at the latest intelligence documents and said: "Longguo car companies have gathered at Longxing Group. You don't have to think about it to know that Chen Xing will join forces with other car companies to expand production capacity. But unfortunately, this time I will soon You take one step.”
Don't underestimate the intelligence department of the United States. They are always watching Chen Xing, including when he went to Hong Kong Island.
Although he knew that Chen Xing went to Hong Kong Island and that he went to the International Finance Center Building in Central, he could not find out what Chen Xing did there.
However, even if he didn't know what Chen Xing had done, Renato Marotta knew very well that Long Guo was holding back a big move, and it was probably related to Pilot Auto. Combined with today's meeting, the Western Anti-dumping Alliance hastily issued an announcement to boycott Pilot car.
And at the same time.
other side.
As various countries issued announcements on additional tariffs, the Ministry of Finance of Longguo also held an emergency meeting to discuss the next response strategy.
"Italy has imposed a 130% tariff. This clearly shows that it does not want Pilot cars to be exported to their country. If you ask me to retaliate, we will not let French cars in."
"If you can't play the game, just add tariffs. These people are still so disgusting!"
"Almost every country in the world that can manufacture cars has imposed huge tariffs on Pilot cars. They are trying to isolate us."
"When the jackals come, there are sticks. When friends come, there is wine. If you ask me, if they levy it, we will levy it too, to see who can outplay whom!"
The dozen or so people attending the meeting were all filled with indignation and clenched their fists.
In the past, Longguo Auto was not good enough. Foreign car companies came to Longguo to make money. Not only were they allowed joint ventures, but they were exempted from tariffs and the sharing ratio was as high as 50%. Now Longguo Auto is showing some signs of success. Is this a big deal?
Tian Bing'an, who was sitting in the main seat, coughed twice, signaled for silence, and said: "Tariffs are of great importance and need to be considered in the long term. Even if we formulate a plan to increase tariffs, there is no way to increase their production costs."
Whether it is Mercedes-Benz, BMW, Audi, General Motors and Ford, they all have joint ventures in Longguo.
Tariffs are imposed on imported goods. The main body of the joint venture car company is Longguo Enterprise. The cars produced locally by Longguo Enterprise are not imported, so there are no tariffs at all.
Of course, these foreign car companies will also export vehicles to Dragon Country, but the proportion is very small. It is probably unrealistic to use tariffs to counterattack.
"What should we do now?"
"People are bullying us to the extreme, we must fight back severely!"
"That's right, if tariffs don't work, then we'll charge them corporate income tax. I don't believe it, they can be so arrogant!"
"I support it!"
"I support it too!"
The team members participating in the meeting were furious. They had never seen such a shameless person. He would resort to dirty tricks if he couldn't be beaten. However, Tian Bing'an remained calm and thought about a counterattack strategy.
…
Dragon Kingdom Deep City.
Longxing Group’s Bantian base.
Because he was in a meeting, Chen Xing didn't know what was happening yet. He was signing a production capacity borrowing contract and a lithium battery supply contract with the CEO of Long Guoyou Commercial Vehicle Company.
The situation of each company is different, and the time for drafting the contract is also different. It takes until noon for the contract details to be finalized.
"The contract is made in four copies, two copies are retained by Party A and Party B, and the remaining two copies are notarized by Party A and Party B respectively to ensure the legality and integrity of the contract."
"Party A, Longxing Group, provides polymer semi-solid batteries and Thor all-solid-state batteries for 90,000 Dragon National Currency and 150,000 Dragon National Currency. You can check the terms of the contract for any flaws and what needs to be added."
As soon as the lawyer of Longxing Group finished speaking, the lawyers of Wang Fu, Jian Chunhe, Zeng Hong and other car company CEOs checked the contract again and responded quickly after confirming that there were no problems.
"No problem."
"That's okay with me too."
"Nothing to add."
The lawyer of Longxing Group nodded slightly, opened the contract in his hand and said:
"Since there is no supplement and no problem, let me talk about the terms you have to fulfill. BYD Group needs to provide two 6,000-ton integrated die-casting machines and corresponding supporting equipment, such as welding equipment, spraying equipment, testing equipment..."
"The handover between the two parties needs to be witnessed by a third party, and the signature confirms that there is no problem with the equipment. After the third party signs it, the contract will take effect. Is this no problem?"
"No."
"No problem."
CEOs such as Wang Fu and Zeng Hong responded personally.
Because it involves borrowing automobile production lines, this is a prerequisite for signing a contract. If the equipment does not pass the standard, the contract will be invalid and will not take effect. This can prevent shoddy goods from being used as good ones.
"Mr. Chen, please take a look at it. If there is no problem with the contract, you can sign it."
The lawyer handed over the contract.
Since he has signed contracts with more than a dozen car companies, Chen Xing has a lot of workload.
But this didn't bother him. It only took him five minutes to confirm that there were no problems with the contract one by one, and then signed and sealed it.
Chen Xing signed more than 50 contracts in quadruplicate with more than a dozen car companies.
"Everything is fine."
After stamping the last contract, Chen Xing glanced at the audience and the boss said: "Check the contract again to see if there is anything missing. If there is no problem, then go back and prepare early."
This sentence may seem like a reminder, but it is actually an eviction order, because there are many new car company CEOs waiting to discuss things in the conference room.
If they can't afford die-casting machines and supporting equipment, they can only satisfy Longxing Group's appetite in other ways.
"Okay, let's check again."
About five minutes later, BYD CEO Wang Fu stood up, looked at Chen Xing and said, "There is no problem with the contract. I won't disturb you, Mr. Chen. We will see you later."
"Mr. Wang, walk slowly."
Chen Xing smiled and nodded.
At this time, Zeng Hong also stood up, looked at Chen Xing and said: "I have no problem here, Mr. Chen, let's meet again next time."
"Okay, let's meet next time."
The CEOs stood up and left one by one, and only the CEOs of the new car companies, Chen Xing and Yao Nana were left in the conference room.
When Yao Nana closed the door of the conference room, Chen Xing looked at the CEOs of the new car companies and said: "You are all top talents who can accurately capture the trend of new energy vehicles. I admire your talents."
Faced with the sudden praise, Li Xiang, He Peng and other CEOs of new car companies looked at each other and responded modestly.
"Mr. Chen, thank you for the compliment. Your press conference gave us inspiration, so we want to see if there is any opportunity for us to cooperate."
"Mr. Li is right. We were able to find the trend not because of our long-term vision, but because we watched your press conference, and then we thought about making new energy vehicles."
"That's right, if you are a talent, Mr. Chen, you are a genius!"
Li Xiang, CEO of Ideal Auto, He Peng of Xiaopeng Auto, and Li Bin of NIO all lowered their postures and were almost servile.
Perhaps even they themselves dare not believe that in Chen Xing's previous life, they were the leading car companies of Longguo's new energy vehicles.
Take Li Xiang's Ideal Auto for example, it is a new force car company that has fought hard to challenge Tesla and BYD, and even Lei Jun praised him.
Chen Xing smiled calmly and continued, "Don't be modest, I understand that only when a steady stream of blood flows into an industry can there be competition and innovation in the industry. But I'll be frank. If you want to get the supply of lithium batteries, you need to give up some of your equity."
"How much?"
Li Xiang asked.
He had expected it.
They couldn't provide equipment or anything else. The only thing that interested Chen Xing was the company's equity.
"20%, less than this number, you can turn left and ask CATL." Chen Xing's attitude became tough.
Negotiations require both soft and hard tactics. If you are always soft, others will think you are easy to manipulate and it is easy to get more. If you are always hard, it is easy to break down the negotiations. Be soft when you should be soft and hard when you should be hard. This tests the experience of the negotiator.
"20%..."
When the equity to be withdrawn was mentioned, Li Xiang, Li Bin, and He Peng hesitated, but then their eyes gradually became firm.
It is definitely not possible to find CATL, because its lithium battery is inferior to Longxing Group's lithium battery in at least one dimension. If they want to build a car, they can only choose Longxing Group.
"Okay, 20 is 20."
Li Xiang gritted his teeth and responded.
He thought about it. As long as there is a lithium battery, everything else is easy.
Seeing his look, Chen Xing smiled and said, "I won't eat your 20% equity for nothing. Huaxia chips, L3 unmanned driving technology, and motor and electronic control systems can all be licensed to you."
"Hiss!"
"Really? Mr. Chen!"
The people who were still hesitating were delighted. If Chen Xing really did this, they would be sure to build a better car than Linghang 001. This is definitely not a joke.
"Really, but I have a condition." Chen Xing changed the subject.
"What condition?"
"What is it?"
"Please tell me, Mr. Chen."
Li Xiang, He Peng and others couldn't hold back. They didn't expect Chen Xing to bring them such in-depth technical support.
"Come with me to fight against foreign-funded cars."
As soon as Chen Xing finished speaking, Li Xiang could no longer sit still and asked, "Are you asking us to build commuter cars below 30 and continue to squeeze the living space of foreign-funded car companies?"
"No!" Chen Xing shook his head and explained, "You can build whatever cars you want. You only need to target foreign-funded car companies. They have been making money in our Long Country for so many years, and it's time to put pressure on them."
In the past, the people of Long Country were bullied and had no choice, with a premium of 50% or even 60%. Now what Chen Xing has to do is to give the people a choice and kill those foreign-funded car companies.
He also knew that the counterattack of foreign-funded car companies could come at any time. Instead of leading the car to fight alone, it is better to attack with all the troops.
"No problem, Mr. Chen. Since you said so, I must respond. Thank you for giving me this opportunity." Li Xiang was the first to express his opinion, followed by He Peng, Li Bin, Zhao Kuo...
"Thank you Mr. Chen for your technical support. We will let those foreigners know that Longguo's domestically produced cars are the best!"
"That's right, domestically produced cars are the best. The automotive industry should have been reshuffled long ago!"
"They have been cheating us for so long with the premium. It's time for them to feel the taste of overturning the table!" (End of this chapter)
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