Reborn 80s

Chapter 1022 Trading Giant
New Year's Day in 2009 was supposed to be a new year, but there was a hint of sadness on people's faces.

In the past year, too many things have happened.

There is sadness, passion and helplessness in life.

The subprime mortgage crisis has begun to evolve into a global economic crisis, affecting all countries.

People have been spending a lot more time watching the news recently.

Everyone is paying attention to how the economic situation will evolve. If the overall economic situation is not good, the lives of ordinary people will not be easy either.

A dog in prosperous times is better than a man in troubled times!

When the economic environment is good, I dare not say that everyone makes a lot of money, but celebrities can feel that life is easier.

Last September, the global financial crisis broke out. It was not just a matter of the collapse of several important financial companies in the United States.

Instead, it has guided the entire world!
As the center of global finance, anything that happens on Wall Street will be transmitted to the whole world on a large scale.

In the third quarter, China's GDP growth rate accelerated its decline; in the fourth quarter, China's export volume showed negative growth.

The troika that drives the economy are investment, consumption and exports.

During the financial crisis, social investment will definitely decrease. As for consumption?
The domestic consumer market is not that big now.

The domestic market is already quite large at this time, but its potential has not yet fully exploded.

If you want to release domestic consumption power, it is undoubtedly necessary to increase wage income.

The minimum wage standard has now been implemented. For enterprises, it has indeed increased labor costs in a short period of time.

But in the long run, it will expand the consumer market.

Another point is that a company or factory simply reduces costs by squeezing employees' wages. To be honest, letting such companies and factories go bankrupt is the best option.

It is useless for socio-economic progress.

As for being able to provide jobs, it doesn’t matter if there are no jobs for such enterprises.

Affected by the international financial crisis, countries around the world are not doing well in terms of consumption.

Or to put it more directly, many people who used to spend lavishly are now completely in debt and directly bankrupt.

A large number of people with the ability to spend have fallen.

Others are now scrimping on food and clothing, waiting for the follow-up.

Those who spend money lavishly at this time are really big-hearted.

At this time, all countries are taking active measures and using visible hands to maintain the situation. It is inevitable that the Great Depression will not happen today.

As for the invisible hand of the market...

It is indeed good, but this invisible hand seems to be very delayed in the reaction, and it is an afterthought reaction.

Moreover, there are some influences above.

At this time, Chen Huaiqing was trading in Hong Kong.

Xiangjiang Yuantao is a world-renowned trading company with operations all over the world.

It has the largest ocean-going merchant ships in the world.

Xiangjiang Yuantao owns a total of 1015 ships including new shipbuilding orders, with a total ship asset value of more than 300 billion US dollars, ranking first in the world.

Xiangjiang Yuantao has more ships than the second and third largest companies combined.

Among them, Xiangjiang Yuantao owns the world's largest ore ship, which can load 37.7 tons of ore.

Xiangjiang Yuantao has three such ships!
These three ships mainly sail to West Pakistan and Australia, loading iron ore directly from the port and then transporting it to the country.

Since 2001, domestic steel production has maintained a rapid growth.

In just a few years, annual steel production has tripled or quadrupled.

Steel is national strength!
Now the era when steel is national strength has passed, but a country's steel production capacity is still an important indicator for judging the country's industrial strength.

Domestic steel production and demand are strong, so it is natural to consume a large amount of iron ore.As everyone knows about domestic iron ore, there are very few high-grade iron ores.

Even if the grade is not high, a lot of iron ore still has associated ores.

For steel plants, the cost of producing this type of iron ore is quite high.

The price of iron ore imported from abroad is lower than that of domestic iron ore in Hong Kong, and it is also easier to refine.

Greatly reduces production costs.

Under such circumstances, the demand for overseas iron ore has increased significantly.

Xiangjiang Yuantao controls about 70.00% of domestic iron ore imports.

Xiangjiang Yuantao purchases iron ore overseas and then transports the iron ore to various steel plants.

For example, Xiangjiang Yuantao sent 100 million tons of iron ore to Yangtze Steel, and then directly piled the iron ore in Yangtze Steel's warehouse.

Yangtze River Steel does not need money to purchase these 100 million tons of ore.

Yangtze Iron and Steel needs [-] tons of ore, so the money to mine [-] tons of ore will be given to Xiangjiang Yuantao.

In this case, Yangtze Steel will not have to put funds on goods.

In order to maintain normal production, Yangtze Iron and Steel's ore warehouse must be able to store ore that can consume more than three months at any time.

Yangtze Iron and Steel Group has several branches, which consume a lot of ore in three months.

Xiangjiang Yuantao not only cooperates with Yangtze Steel, but also cooperates with other domestic steel companies.

Because Xiangjiang Yuantao is a large-scale, long-term purchase, it has a strong bargaining power with mining companies.

Xiangjiang Yuantao has maintained a long-term inventory of [-]-[-] million tons of iron ore in domestic ports and in the ore warehouses of various steel plants.

Just this iron ore is worth 3000 billion.

Of course, relying on iron ore, Xiangjiang Yuantao's annual profits are tens of billions.

In addition to iron ore, there are also copper ore, aluminum ore, nickel ore, chromium ore, etc.

Relying on strong capital and long-term cooperative relationships with domestic metallurgical companies, Xiangjiang Yuantao's annual profits in the ore industry are more than [-] billion.

Chen Huaiqing flipped through the internal data of Xiangjiang Yuantao. From these data, we can see the economic operation situation at this time.

Not too good!

Above the exit, the drop is too obvious.

In addition, there has been a lot of decline in imports.

In the past, it was difficult to find a ship, but now there has been a change. There are already ships but no cargo.

Chen Huaiqing didn't care too much about this.

The difficulty is only temporary and things will get better soon.

Although the financial crisis was approaching fiercely, it was still dealt with, and soon economic development was on the right track.

The global economy continues to maintain a relatively rapid growth.

Regarding Xiangjiang Yuantao, Chen Huaiqing listened to the report. Xiangjiang Yuantao will take some measures, but he will not say that they have done too much.

The Xiangjiang Yuantang family has a great cause, and any decision they make will not be radical.

As Meta investment gradually came to an end in the global financial market, a large amount of profits began to accumulate in various bank accounts.

Conian Bank's account naturally has the most money.

The other ones are China Bank, ICBC, etc.

There are also some funds in the accounts of other international banks.

With so much money, you always have to find new investment directions.

(End of this chapter)