Japanese investors

Chapter 514 Going Short
At about ten o'clock on Sunday morning, Park Junyong and Shin Yeon-soo met by the window of a coffee shop in Gangnam District, Seoul.Not only do both of them have Japanese blood in their bodies, but they can also speak standard and fluent Japanese.

Xin Yanxiu smiled and said: "It is said that your father has made another big move. Karuizawa Heavy Industries, based in Wakayama City, Japan, is about to be established."

Park Junlong was not surprised at all when he heard this. After all, it had already spread among the established circles in Korea.Some are happy and some are unhappy.

Those who are happy are just thinking that there is another choice for importing raw materials such as steel.By then, the involution of the steel industry will intensify, which is tantamount to the outbreak of a price war.

There is bound to be something to be gained by picking up "bargains" from this.Korean businessmen are very different from businessmen in other countries, and profit comes first.

No matter how patriotic they keep saying and advocating the use of domestic products, they are generally just showing off.To be precise, it is a performance for the common people of Korea to watch.

As long as the steel required meets the testing requirements and is cheaper, then which company's products will be used.They don't care whether it's Japanese or Korean.

Besides, if Korean steel and Japanese steel are placed next to each other, no one can tell them apart just by looking at them.

What's more, if you ask about the steel in front of you, which ones come from South Korea and which ones come from Japan, see if they will respond?
As for the other unhappy people, they already have a sense of crisis.They are strongly aware that there will be an inevitable business war in the future.If the other party is a small company, that's fine.

However, what they will face in the future is the challenge from Karuizawa Heavy Industries, a subsidiary of the Karuizawa Group, one of Japan's top ten chaebols.In terms of steel consumption, South Korea is definitely a country that is a big consumer.

The most representative of these are the country's shipbuilding and automobile industries.Even Posco Steel Group, which they are currently proud of, uses a large number of technologies from the Japanese steel industry.

In 1969, Japan agreed to provide loans and designated Yawata Steel, Fuji Steel (later merged into Nippon Steel) and NKK to be responsible for technical assistance to South Korea.

By 1970, Pohang Steel Works came into being.In short, the construction of the Pohang Steel Plant, relying on technical assistance and loan support from the Japanese steel industry, laid the foundation for the development of the Korean steel industry.

After Pu Junlong pondered for a while, he finally said: "Those are all my father's achievements. All I can think about right now is making the Tai Chi Tiger Fund I manage bigger and stronger."

Xin Yanxiu's smile did not change and she said: "It seems that you don't care! You can't do this. The Korean steel industry has begun to feel like it is facing a formidable enemy.

South Korea's steel production reaches more than 7000 million tons per year, but it is mainly crude steel.In contrast, Japan produces 1 million tons of steel every year and exports 3000 million tons.

A quarter of this is made of special steel.Mainly automotive steel, electrical steel, etc.For a country like South Korea, which mainly focuses on shipbuilding and automobiles, it will inevitably have an impact. "

Park Junyong seemed to understand the other meaning of her words and said: "Am I going to short South Korea's steel industry from now on?"

Xin Yanxiu looked at him with her left hand on her chin and said, "I understand neither business nor finance."

Pu Junlong said doubtfully: "You are not joking with me, are you?"

Xin Yanxiu said truthfully: "I believe that while our family was investigating you in private, your family also did exactly the same thing to me.

No matter the major I studied in university or my current job, they have nothing to do with business or finance.I'm not interested in these things either.Because you like it, that’s why I pay attention.I don’t want us to sit together and have nothing to talk about.If we don't speculate now, won't everyone suffer when we get married in the future? "

Seeing the truth of her words, Pu Junlong did not hide it and said: "Relationships need to be cultivated slowly and cannot be rushed. What you just said reminded me. It is indeed feasible to short the Korean steel industry.

This has a major premise. In addition to my full confidence in Karuizawa Heavy Industries, the steel from Karuizawa Heavy Industries will directly disrupt the Korean steel market in the future.

By then, even if the South Korean government thinks of imposing certain restrictions on steel imports from Japan, it will not work because reality does not allow it.

Once steel from Japan, especially steel from Karuizawa Heavy Industries, is not used, the costs of Korean automobiles, shipbuilding, etc. will rise significantly.

In this way, profit margins will be directly compressed, and corporate profits will be significantly reduced.Given the current development of the economic situation, inflation will only continue to rise for several years to come.

This is tantamount to pushing up the prices of various commodities, which will inevitably lead to an increase in the cost of living for the general public.At that time, people from all walks of life, especially workers, will have to demand a wage increase.

This further pushed up labor costs.Industries such as automobiles and shipbuilding are not immune, after all, there are so many people working in them. "

Xin Yanxiu asked incomprehensively: "Then what are you worried about?"

Park Junlong said bluntly: "First of all, the steel price of Karuizawa Heavy Industries needs to be attractive enough. That is, there is a considerable advantage in price. Otherwise, if I short the entire Korean steel industry, I will fail."

Xin Yanxiu understood and said: "So that's it! I thought you didn't short the Korean steel industry because of your patriotism!"

Park Junlong couldn't help but laugh a little and said: "Don't you know about Korea? South Korea is also a country that laughs at the poor but not at prostitution.

If you have money, you are awesome.If you don't have money, you are a fool.Although you and I are both Korean nationals, our bloodline is not pure.

In Korea, which values ​​pure blood, we don’t seem to be Koreans.Of course, it is precisely because we have money that we are treated as compatriots, not foreigners. "

Xin Yanxiu expressed great agreement: "That's true. In your heart, do you stand more on the side of South Korea or on the side of Japan?"

Park Junyong said without hesitation: "I am not on either side of Korea or Japan, but only on the side of money. Rich people can be counted as citizens of the world."

It is not difficult to become a naturalized citizen of any country.With money, you will be a superior citizen in any country you go to.

If you don’t have money, you will still be a fool in any country you go to.Not only will you be exploited and enslaved, but your children and grandchildren will also be exploited and enslaved. "

(End of this chapter)