The Super Rich: Start from when the family business is about to go bankrupt!

Chapter 596 WPGEMA Forces Open Trade at Dawn! Legalizing Trade by Force! High Tariffs Loom!

While netizens in Xia Kingdom were still envious of Wugengtian Pharmaceutical Group for paying salaries early and distributing extra New Year's bonuses, a meeting was taking place in faraway Europe, centered around Wugengtian.

Holland, Armsdam.

The Europa Medicines Agency/EMA is in discussions regarding products related to "Five Watches".

The issue of Wugengtian colluding with European pharmaceutical giants to smuggle drugs has always been an open secret, but some people have taken money to suppress it.

But some people didn't receive their money!
Unequal distribution of protection fees will inevitably lead to conflict!
As a result, those stakeholders who did not benefit from the drug smuggling channels at dawn started to stir up trouble.

The EMA is holding a meeting at its headquarters today, and it's all the work of these people behind the scenes.

In the conference room, representatives from the management committees of the 28 member states of the Europa Union are holding a meeting.

The highest decision-making body of the EMA is the Management Committee, which consists of thirty-six members.

分别包括二十八个成员国代表、欧罗巴委员会代表2名、欧罗巴议会代表 2名、患者组织代表2名、医生组织代表1名、兽医组织代表1名。

However, there are only representatives from 28 member countries today.

Because today's meeting was held behind closed doors, the topics they discussed were somewhat sensitive.

Representatives from Germany, France, and Switzerland were the main targets of criticism.

Bayer Pharmaceuticals from Germany, Sefil Pharmaceuticals from France, and Nova Pharmaceuticals from Switzerland were all involved in the smuggling of Wugengtian medicines.

Meanwhile, officials from these three countries facilitated their smuggling operations and distributed the drugs related to "Wu Gengtian" throughout the Europa Union.

More importantly, this kind of sales activity across the entire Europa Union is a gray market transaction, as no corresponding taxes are paid. In other words, all the benefits are taken by the three countries, but they enjoy the entire Europa Union market.

As for the British Empire?

They have withdrawn from the Europa League, and Grand Pharma usually only sells within the British Empire, so this meeting is not aimed at Grand Pharma.

After a discussion that lasted for more than two hours, and which brought the unspoken rules and gray transactions to the forefront, the unspoken rules were finally broken and the gray transactions were formalized.

Even though Germany and France are the only two big brothers in the current European Union, they cannot fight against the entire European Union when they are in the wrong.

Therefore, the smuggling trade that was once rampant now needs to be legalized!
The European Medicines Agency (EMA), headquartered in Amsterdam, Netherlands, officially announced at 12:00 noon local time on December 22, 2021, that several products under the Wugengtian brand had obtained EMA certification.

Corresponding products include: Ba Chunxiao, Liang Huanxi, Shuxinwan, Jiuxinwan, Ningzhiruoxue series essence cream, lupus erythematosus relief medicine, and bitter orange scented candles, etc.

This time corresponds to 6:00 PM in the capital of the Xia Kingdom.

An Wuyang had just arrived at Huashan Apartment when he reached room 3602. Xia Yuqing and Lu Manman were playing on their phones in the living room.

"Brother Wuyang, we just saw some good news!" Xia Yuqing ran towards An Wuyang, then took his arm, revealing her longing for him.

An Wuyang replied with a smile, "What good news?"

"I just received a news notification that the Europa Medicines Agency has approved all of your Wugengtian products. Your Wugengtian products can now be exported to Europa!" Xia Yuqing said happily.

An Wuyang was slightly taken aback. All of Wugengtian's products had passed EMA certification?
Is this a good thing?
If it were the very beginning, when the sun was just rising at dawn, then this would indeed be a good thing.

But things are not like they were at the beginning!
Xia Yuqing noticed that An Wuyang wasn't as happy as she had imagined, so she asked, "Brother Wuyang, isn't this a bad thing for you?"

"It has its pros and cons," An Wuyang replied.

This matter has advantages for Wugengtian, such as the freedom to enter the European market without having to sneak around through special channels, and even the ability to earn more money.

But the problem is, this will also change the relationship between Wugengtian and Europa distributors!

After all, if people can enter the European market through legitimate channels at dawn, it means that the demand for local distributors will decrease, which will greatly threaten the interests of overseas distributors.

In a relationship based on mutual interests, how can the relationship be good if there are no shared interests to sustain it?
Just like cattle and horses working in a company, if they only earn three thousand yuan a month, the company shouldn't demand too much from them.

However, if the salary is 30,000, then the loyalty of employees to the company will increase significantly.

The same applies to the cooperation between overseas distributors and Wugengtian; everything is maintained by mutual interests.

"However, overall the problem isn't too serious," An Wuyang added.

While EMA's move to certify all of Wu Geng Tian's products is indeed a bit harsh, it's not enough to damage Wu Geng Tian's core business.

From an economic perspective, Wugengtian suffered almost no losses.

This is due to the special delivery mechanism at dawn.

Wugengtian's delivery mechanism involves distributors picking up the goods from the customer's door; Wugengtian does not participate in any other环节 (links/steps).

When Wugengtian's products are sold to the Europa League through official channels, it means that customs duties and consumption taxes will be levied, but these tax costs are borne by the distributors.

As for whether distributors will pass on the costs?

Does this even need to be considered?

An Wuyang explained these things to Xia Yuqing and Lu Manman, and then asked, "What are we having for dinner tonight?"

"I asked Aunt Yu to make a spicy shrimp ball, a shredded pork with garlic sauce, and a stir-fried peanut and bean sprout dish," Xia Yuqing replied.

"That's all?" An Wuyang asked, puzzled.

Is dinner really that simple?

Lu Manman chimed in, "Qingqing and I ate vegetable salad and eggs."

"Are you going to control your weight again?" An Wuyang asked curiously.

Xia Yuqing replied helplessly, "It's almost the end of the month again."

"There's another physical test at the end of the month? Isn't it almost finals?" An Wuyang asked in surprise.

Is the Shanghai Dramatic Arts Academy really that outrageous?
"We won't get a holiday until the middle of next month, and we'll definitely have physical tests at the end of this month," Xia Yuqing replied.

Lu Manman seconded, "Our winter vacation is also very short."

"How many days?" An Wuyang asked curiously.

“Less than a month,” Lu Manman replied.

Xia Yuqing asked curiously, "Brother Wuyang, how many days is your winter break?"

An Wuyang joked, "Does it matter how many days our winter break is?"

What does the number of days of winter break at East Soft College have to do with An Wuyang?
It's as if you're perfectly fine and need to go to school!
This is also a very important reason why An Wuyang chose East Soford College, as he can avoid going to school for a long time.

If An Wuyang were to choose a prestigious university, the university, due to reputational and public pressure, might not grant him special privileges. However, a small college like Eastover College would treat An Wuyang like a deity!
The three of them had dinner together, and then Lu Manman took the opportunity to run away and return to room 3202.

An Wuyang and Xia Yuqing were snuggling together on the living room sofa. Xia Yuqing was resting her head on An Wuyang's lap while playing on her phone, and An Wuyang was also looking at messages on his phone.

This quiet and unawkward atmosphere when couples are alone together is simply wonderful!

An Wuyang was reading the message sent by Tang Wenshu when Wu Gengtian received an email notification from EMA stating that all of Wu Gengtian's products had passed certification.

This situation left Tang Wenshu somewhat puzzled.

Did they apply for certification from the Europa Medicines Authority before dawn?

This unilateral announcement of certification seems a bit outrageous, but it's something Wu Gengtian can't refute.

The EMA is indeed qualified to make such a declaration, and it's useless even if someone comes forward in the early hours of the morning to say they didn't apply for EMA certification.

Because the EMA can clearly state that, in order to ensure consumer safety, they obtained the products from the consumer channels before dawn for testing.

After all, the products sold at dawn are actually available in the European market, so EMA's actions are entirely justified.

Tang Wenshu: Mr. An, what should we do now regarding the certification announcement issued by the EMA?

'All right: Just leave it at that!'

'An Wuyang: They can make their announcements, we'll do ours. We're not actually going to directly enter the European market, so we can ignore them for now.'

Tang Wenshu: Understood.

An Wuyang saw through the sinister purpose hidden behind EMA's announcement that all of Wugengtian's products had passed certification: to lure Wugengtian directly into the European market.

If Wugengtian directly enters the European market, it means that Wugengtian will have to end its cooperation with Europe's existing overseas distributors.

That also means that Wugengtian is isolated and helpless in the European market!
However, An Wuyang would never do such a thing. An Wuyang knows all too well what money should be earned and what money should not be earned.

An Wuyang had just finished communicating with Tang Wenshu when he received a message from Melissa Foster, the representative of Nova Pharmaceuticals in Xia Country.

Melissa: Ms. An, you saw the EMA announcement, right? And you should have received the email from EMA as well.

An Wuyang: Did the three of you pull this trick?

An Wuyang knew perfectly well that it wasn't the three overseas distributors who were behind it. His question was just a way to put pressure on them and get more information.

Melissa: No.

Melissa: In fact, we are victims too.

Melissa: The three of us got your products sold in Europe, and while we shared some of the profits, some people didn't benefit, so they started targeting us.

Melissa: These people pushed for the EMA's relevant resolution, so the end result is that your entire product line at 5 AM received EMA certification.

Melissa: Mr. An, from now on...

Melissa: Do you have plans to sell your products in Europe?

An Wuyang understood Melissa's meaning; the overseas distributors were worried that they wouldn't be able to resist the temptation of profits in the early hours of the morning.
Admittedly, if they bypassed Europa's three overseas distributors, Wu Gengtian would indeed earn more.

But if we can bypass Europa's three distributors at dawn today, does that mean we can abandon our other allies tomorrow?

These issues are always matters that affect the whole situation.

Perhaps ordinary people don't need to think so much. In the eyes of ordinary people, products sold at dawn can be sold however they want, but only ordinary people can think like this.

However, as the leader of Wugengtian, An Wuyang dared not and could not act recklessly!
Because of one wrong step.
Ahead lies a bottomless abyss!
This is actually the dilemma that An Wuyang encountered. The things he had to consider were things that many people couldn't understand or even comprehend.

After all, many of An Wuyang's decisions seem to be counterintuitive and illogical choices.

'An Wuyang: How will you sell your products in Europe in the future?'

'An Wuyang: Now that all of our Wugengtian products have passed EMA certification, you won't be able to get them through special channels anymore, right?'

The EMA's move is undoubtedly linked to the European Union Parliament.

This means that it will be much more difficult for Europa's three major distributors to smuggle goods, and they may even encounter more stringent inspections.

Melissa: It's definitely going to be tough from now on.

Although Melissa answered 'difficult,' in reality, whether it was Melissa of Nova Pharma, Galvin of Sefir Pharma, or Lyndon of Glenn Pharma, they all breathed a sigh of relief.

They were all gathered together at this moment, and Melissa was chosen by them to represent them in contacting An Wuyang, in order to test An Wuyang's attitude.

Now that An Wuyang has clearly shown an attitude that allows them to continue as distributors, they naturally breathed a sigh of relief.

'An Wuyang: What are the tariffs on our products made at dawn?'

Wugengtian was attacked by the EMA, turning Wugengtian into a 'regular army'. How much tariff will Wugengtian's products have to pay when entering the territory of the Europa League?
Xia Guo and Europe are both members of the WTO and both enjoy most-favored-nation status.

Under normal circumstances, tariffs on pharmaceuticals are not particularly high.

However, most products from Wugengtian can be classified as 'herbal medicines', and the corresponding tax rate may be relatively high.

Products like nitroglycerin tablets will be subject to even higher taxes because they contain ingredients from endangered species.

Other products, such as Two Joys and Bitter Orange scented candles, may be classified as "specific controlled drugs" and thus subject to a special tax rate.

There's also a consumption tax!
Different countries have different consumption tax rates. When these taxes are combined, the three major distributors in the Europa League either have to give up a large amount of profit or raise prices for consumers.

In response to An Wuyang's question, Melissa gave the corresponding answer.

Melissa: Your products, produced before dawn, are subject to a base tariff of 15%.

Melissa: This basic tariff only includes comfort pills.

Melissa: Given that lupus medication contains a "vitality restoration factor," which is classified as a "specifically controlled drug," the corresponding tariff has increased to 25%.

Melissa: The tariff on nitroglycerin pills is higher because they contain ingredients from endangered species and are classified as controlled substances, resulting in a tariff of 35%.

Melissa: As for the Two Delights and Bitter Orange scented candles, they are also classified as "specifically controlled drugs" and are subject to the same 25% tariff.

Looking at the tariff information listed by Melissa, An Wuyang couldn't help but sigh, "Isn't this tariff a bit too high?"
After all, most of the medicines exported from Xia Kingdom to the European Union are subject to a zero-tariff policy, and even if there are tariffs, they usually do not exceed five percent.

But does the starting percentage for products made at dawn really start at 15%?
This is clearly an attempt to forcibly extract benefits!

(End of this chapter)