Spark 2003

Chapter 81 70 Million Contract

The efficiency of the Saudi side is extremely high. After seeing the astonishing performance of the J-180 III, Khatim immediately verbally promised the purchase intention of [-] J-[-]s, and voluntarily declared that the purchase will be done by general contracting.

In other words, the follow-up maintenance and weapon supply are all in charge of Huaxia, and they are only responsible for one thing:
Pay!

"So, your quotation for 180 J-[-] IIIs. Should you give us a discount this time?"

Hatim looked at Wang Ming and asked with a half-smile.

Wang Ming also returned him a sincere smile, and then said:

"Hatim, so what is the budget you originally planned to purchase Mirage 2000?"

"This is classified information, I'm afraid I can't tell you."

Hatim looked at Wang Ming helplessly, and continued to add:

"Well, I understand what you mean, but the fact is that internationally, everyone still thinks that the Mirage 2000 is a better third-generation aircraft than the J-[-] III, even if it is only in terms of 'goodwill', You don't have an advantage either."

"I can't offer you an offer based on the contract with the French—even if I wanted to, my superiors wouldn't agree."

"After all, the J-[-] III is an untested fighter, and your credibility in weapons has just suffered a major blow."

"So, I can only give an offer that is relatively reasonable in my mind."

Wang Ming nodded to express his understanding, and then said:

"That's reasonable—but what's a reasonable offer?"

"That depends on how much you want."

Khatim remained silent on purpose. Although the rumor that "one finger represents [-] million U.S. dollars" was just a rumor, judging from the situation at the time, the budget held by Saudi Arabia was indeed far beyond the psychological quotation of China.

For the 35 Dongfeng 3 missiles, the Saudi royal family prepared a budget of 80 billion U.S. dollars, while Huaxia's psychological offer was only 5000 million U.S. dollars each.

After the end of the first round of tentative negotiations, the Saudi budget was quickly exposed, and the flaws were gradually caught in the later stage.

This negotiation lasted for half a year, and finally ended with Huaxia raising the price to 1 million US dollars.

Although Saudi Arabia is still making a lot of money even at this price, it may save a little, after all, no one will spend money wrongly.

Therefore, in all subsequent arms import negotiations, the Saudi side has learned to be smart, and most of the time it waits for the Chinese side to offer offers.

Although the result is not good
And Wang Ming obviously guessed Hatim's thoughts, he stepped forward and patted Hatim's shoulder with a smile on his face, and said:
"Hatim, my friend, most of the quotations for a Mirage 2000 in the international market are in the range of 5500 million to 5700 million US dollars, and our J-[-] is not as good as it in terms of avionics and radar. even outperforms it.”

"So, I don't ask you too much."

"Buy it now, 5000 million, how about it?"

"Ming, are you kidding me? I can't explain this price to the royal family at all."

"No, no, no, you can explain to them. You know, they are just a group of people who don't understand technology at all, don't understand weapons, and just like to watch the fun. Sorry, maybe I shouldn't say that about those royal family members."

"But it's also true, isn't it? As long as you fly the J-[-] III back, I can guarantee that they will sign this contract without hesitation."

Hearing this, Hatim shook his head seriously and said:

"No, it's absolutely impossible."

"Ming, we are not that rich now. I can only give you a maximum of 70 billion dollars for this order, including all maintenance, training services, and the first batch of random weapons and equipment."

"Also, you also need to provide us with priority procurement rights—we must get these fighter jets as soon as possible to form combat effectiveness as soon as possible."

Wang Ming frowned in embarrassment, and said hesitantly:

"This quotation is really too low. You have to know, this is a fighter plane that we spent a lot of effort to transform successfully."

"I don't know how many researchers worked hard for it, and even some young children fell tired at work."

"Their only hope is the day when they see this plane fly into the blue sky and confront those so-called third-generation planes in the West with dignity."

"so."

"We want an advance payment."

Hatim sighed and asked:
"What ratio?"

"60%."

"60.00%! Ming, you are crazy"

"We need money to build this plane, and the more urgent it is, the more start-up capital is needed, isn't it?"

Wang Ming said confidently, but Hatim thought for a long time, and finally nodded.

"Well, I will report this news to the royal family --- as a friend, I can tell you that the probability of it being passed is not low."

"However, you must ensure the quality of the delivery, otherwise, I can't guarantee to pay on time."

"Of course, of course!"

A sincere smile finally appeared on Wang Ming's face.

This can't help but make him unhappy.

After all, the cost of a J-5900 III at this time is only about 7000 million yuan. Even if maintenance, training, and weapons are added, the total cost will not exceed [-] million yuan for a single unit.

But now, according to the general package quotation of 70 billion US dollars, the price of a single machine has reached 3 million yuan
Rounding up, that's almost a tenfold profit.

And Hatim probably felt that he had made a profit.

Where can I find such a good customer!

For a US$70 billion contract, the advance payment is 42 billion. After deducting the cost of delivering a batch of fighter jets, there will be nearly US$30 billion left.

The follow-up funds for Project 22 should be enough, right?
No, in addition to Project 22, the remaining funds can be invested in other areas.

Judging from the recent macro analysis report, the domestic economy will encounter short-term difficulties, and the income from military trade may be able to make up for these shortcomings.

Damn it. One day, sooner or later, they will be brought down.

Thinking of this, Wang Ming politely sent Hatim to the hotel, and on the other side, He Ye from Northern Industries had just negotiated his first order.

The order is not big, just 40 A-300 rocket launchers, but this order also brought in nearly 10 million US dollars in revenue, and there are nearly [-] more buyers with the same intention.
The only thing that hasn't been sold yet is the Feinu individual air defense missile, but neither Wang Ming nor He Ye are worried about it.

Because they know that from the perspective of the macro situation, the war in Iraq is absolutely impossible to end in a short period of time, and once it turns into a security war, a steady stream of weapons orders will pour into China.

At that time, making money will not be difficult at all.

The only thing to consider is whether to sell it, and if so how to sell it.
(End of this chapter)