Chapter 534 Alertness
The discussion has now reached a very crucial point.

Even the fact that Liu Qilin was able to bring up this "key issue" surprised Xu Chen greatly.

At the same time, I am once again amazed by Dr. Liu's forward-thinking vision.

Xu Chen even suspected that the Dr. Liu in front of him might also be a reincarnated or time-traveling person.
Liu Qilin: "The biggest problem for 'electric vehicles' to reach the same scale as gasoline and diesel vehicles, both now and in the future, is energy storage and charging."

After all, it's not a small battery like that of an electric bicycle...

“Similar to the models of PetroChina and Sinopec, the future will require providers of power storage and energy supply infrastructure.”

However, this type of infrastructure will most likely remain in the hands of the power grid.

This type of infrastructure involves national security, and ordinary private companies simply do not have the capability to build a nationwide charging network.

"There is also a future 'technology black box' that is a key constraint on the electric vehicle industry."

We cannot foresee how far battery or charging technology will develop in the next ten or twenty years…

Seeing that the conversation had gone so far, Xu Chen spoke up:

"Dr. Liu truly has foresight into the future."

In fact, for 'Chenfeng Technology', besides becoming an 'electric vehicle' manufacturer, there is another option for the future.

Liu Qilin: "What options?"

Xu Chen thought for a moment and then continued:
"A gasoline car can run simply by carrying a fuel tank, but an electric car needs to carry a battery..."

Dr. Liu just mentioned the 'technology black box'; no matter how advanced electric vehicles become, they will always have to carry batteries on the road.

"At least for the next few decades..."

Liu Qilin paused, seemingly understanding what Xu Chen meant:
"Moreover, given the current battery technology and future trends, battery costs will be a very large part of the overall vehicle cost..."

He paused, frowned, and thought for a moment before continuing:
"You said so..."

Guo Liang was even more confused.

It seems that Dr. Liu and Mr. Xu have started speaking in riddles.

Xu Zhiquan remained silent, lit another cigarette, but seemed to have caught a clue.

Xu Chen continued:
“Currently, major domestic automakers are fiercely competing, but integrated solution providers like Bosch or glass suppliers like Fuyao are almost guaranteed to make a profit.”

They operate behind the scenes of car manufacturers, but in reality, they make money from every single car—Mercedes-Benz, Toyota, Cadillac…

Xu Zhiquan took a drag of his cigarette:
"You mean, in the future, major electric vehicle manufacturers may face fierce competition, but they will all need to purchase batteries from 'Chenfeng Technology'?!"

Xu Chen smiled, thinking to himself that Old Xu had really "hit the nail on the head".

Guo Liang suddenly realized what was happening and immediately gasped:
"If, as Dr. Liu and Mr. Xu just analyzed, electric vehicles will take away a large share of the market from gasoline and diesel vehicles, then selling batteries to car manufacturers will be a sure-fire way to make money!"
I heard Director Yang mention that the two battery suppliers in the north and two in the south are currently very dominant in terms of pricing!

In fact, Xu Chen had considered this business direction before.

After all, Xu Chen, who had been reborn, had seen the competitive landscape of the electric vehicle industry in the future.

In the 2010s and 2020s, every year or two, so-called "new force" brands would fall in the fierce competition.

Even with the "information gap" brought about by his rebirth as an aid, Xu Chen cannot guarantee 100% that "Chenfeng Technology" can rise without any obstacles in the extremely fierce competition of the electric vehicle industry.

The capital and resource competition, policy changes, market competition, and other factors involved behind this are all too brutal.

But Xu Chen is certain that no matter how the so-called new energy and emerging brands rise and fall in the future, there will always be a stable and profitable industry behind them, and there will be a typical company.

This is the battery supplier known as "Ningwang" – CATL (Contemporary Amperex Technology Co., Limited).

From the perspective of industry layout, purchasing batteries, which is unavoidable for all manufacturers, is naturally a reasonable option and path choice.

If Xu Chen remembers correctly, CATL was officially established around 2010 or 2011.

So, it was still not too late for Chenfeng Technology to make industry layouts and accumulate technology in advance in 07 and 08.

After all, Tesla had not yet gone public, and the entire industry was still on the verge of a breakthrough.

The domestic lithium battery manufacturers currently do not have a significant first-mover advantage in technology; they all rely on battery technologies that have been accumulated over many years.

As we already knew from the previous conversation, although Dr. Liu Qilin's main research focus is on motors, he is also very knowledgeable about the latest battery technologies and the global battery industry.

When discussing the batteries procured by "Chenfeng Bing Power," Liu Qilin also gave a clear account of the current situation of several battery suppliers in the north and south.

We also have access to the latest technological information regarding cutting-edge battery research in Europe, America, and Japan…

Liu Qilin leaned back in his chair, arms crossed, frowning as he pondered deeply.

He then turned to look at Xu Zhiquan and said:

"Mr. Xu, this is actually a very good direction."

unless……"

Xu Zhiquan: "Unless what?"

Liu Qilin: "Unless Mr. Xu is still obsessed with 'making cars'."

Xu Zhiquan was taken aback for a moment, then laughed heartily:
"I'm not obsessed with 'building cars,' but I'm obsessed with building something together!"

Moreover, as long as 'Chenfeng Technology' can grow bigger and stronger, it wouldn't be a bad thing for us to spare some energy and resources to tinker with other things on our own.

Therefore, the prerequisite for everything is still to first grow bigger and stronger!

Liu Qilin straightened his expression and said seriously:

"As long as we follow the major trends, whether we are making mainframes or batteries, we have the opportunity to grow bigger and stronger."

This is a crucial route choice.

He paused slightly:

"But the few decades we've had to dedicate ourselves to our careers may only last for the next one or two decades."

Time and resources may only allow us to choose one path.

Therefore, this route selection needs to be clearly demonstrated.

Xu Chen considered the industry outlook for the next few years, especially since Tesla would be released next year, and new domestic electric vehicle manufacturers would gradually emerge after 2010...

"We may not have much time to justify this path selection."

Xu Zhiquan lit another cigarette and nodded slightly.

……

……

Before we knew it, we had been chatting until after 10 p.m.

The four of them huddled together in the small private room, and the more they talked, the more excited they became.

While there is no clear conclusion at present, the clear route choices and considerations are already in front of us.

There are also some industry analyses and technical refinements that Dr. Liu will begin working on when he gets back.

Ultimately, the decision will rest with Xu Zhiquan.

Old Xu smoked almost a whole pack of cigarettes, and he fully understood and digested all the information that Dr. Liu and "Teacher Xu Chen" had given him.

Guo Liang, who couldn't say much about the technical aspects, was extremely excited as he listened.

The future visions and expectations that Dr. Liu and Mr. Xu discussed were even more ambitious than the "Chenfeng Technology" picture he had originally imagined.

That's not just about being a leading brand of "electric bicycles" in China.

Even those listed as "Fortune 500 companies" have a very good chance...

It wasn't until the waiter knocked on the door that the four "men" in the private room were startled and snapped out of their immersive conversation.

"Sir... I'm sorry, our store is about to close!" Xu Zhiquan responded, while Guo Liang quickly got up to pay the bill.

Liu Qilin suddenly remembered something and grabbed Guo Liang's arm:

"Mr. Guo, don't move. I said I'm treating, so I'll pay the bill!"

Guo Liang remained silent, but smiled and glanced at Xu Zhiquan.

Xu Zhiquan laughed heartily twice:
"Thank you very much for your hospitality, Dr. Liu!"

When you arrive in Tiancheng next month, I'll arrange your hospitality in the park!

Liu Qilin took out a credit card and handed it to the waiter, then turned and said:

"Next month, Mr. Xu will also be in Tiancheng, right? We'll have to get together and chat again."

Xu Chen: "I'm definitely in Tiancheng!"

Even if I'm not in Tiancheng anymore, I'll definitely come back immediately if Dr. Liu summons me!

……

……

July has arrived, bringing with it the height of summer.

It's unbearably hot during the day, but cool and pleasant at night.

After finishing their meal, the group came out to wait for their ride. Old Xu and Guo Liang each lit a cigarette.

Liu Qilin was still somewhat drunk, and Guo Liang was supporting him a little.

Dr. Liu's shirt is now undone, with the top button undone and three or four buttons undone on the front. His once impeccably tailored light blue shirt is now loose and baggy.

This is the relaxing effect of alcohol, and it also stems from the relaxation and excitement of the mind.

In a good mood, Lao Xu chatted with Dr. Liu about the construction of Tiancheng Industrial Park.

It was specifically mentioned that a piece of land had been reserved for the "laboratory" so that Dr. Liu could make his own plans after he arrived.

Guo Liang hailed a taxi and helped Dr. Liu into the car.

Liu Qilin remembered something else and turned to Xu Zhiquan, whispering:

"I still heard some things from that meeting at the end of May."

The government will release further policies to support industrial development.

He paused, smiled, and said:

"Funding might not be a big problem."

Xu Zhiquan was stunned for a moment, then turned to look at Xu Chen.

Dr. Liu: "Of course, this matter cannot be rushed. Even if there are first-batch support policies, such as direct funds or subsidies, they will definitely be given to the main engine manufacturers of state-owned enterprises first."

However, in the long run, it's definitely necessary to revitalize private enterprises for this to be truly effective.

……

……

Guo Liang first took Dr. Liu back.

Xu Zhiquan put his arm around his son's shoulder and looked up at the bright moon:

"It's not far from the hotel, let's walk back with Dad and have a stroll around the bar!"

Xu Chen: "Okay!"

……

A gentle night breeze blew as the father and son chatted as they walked toward the hotel.

Xu Chen learned from Lao Xu that Dr. Liu was indeed not very old and was a true "child prodigy".

He hadn't been married long; his wife was a lecturer at a second-tier science and engineering university in Beijing.

Mrs. Liu initially had some objections to Dr. Liu going to work in Tiancheng, since she couldn't possibly give up her university job to go to Tiancheng with him.

However, since Liu Qilin had made the decision and agreed to Xu Zhiquan's request, it meant that he had already discussed it with his family.

Liu Qilin is a true "high-level talent." After Xu Zhiquan communicated with the city, the city gave him a very good "talent introduction reward."

There is a "settlement allowance" of 500,000 yuan and a 120-square-meter "talent apartment", which are basic guarantees provided by the city and the province.

It is said that Dr. Liu's joining "Chenfeng Technology" in Tiancheng sparked a wave of discussion in the academic circles of the entire province of Wenchuan.

Some local universities have even used their connections to contact Xu Zhiquan, hoping to invite Dr. Liu to be a visiting professor or something similar...

Xu Chen then remembered something important and said:
"Dad, Jiang Huaqin talked to you about the 'Shenbiao Electric Bike' today..."

You're not really considering acquiring them, are you?

Xu Zhiquan, with a cigarette dangling from his lips, smiled and said:

"I have been thinking about it, but I haven't talked to anyone about it yet."

During this period, I traveled to Hebei Province and the surrounding areas of Tianjin to explore the market. I've gained a comprehensive understanding of the situation, and acquiring the 'Shenbiao' isn't entirely impossible.

He exhaled a puff of white smoke and then said:
"Jiang Huaqin's judgment on issues is quite accurate."

'Shenbiao' is not doing too well right now, especially after our 'Chenfeng' gained momentum, which has had a drastic impact on 'Shenbiao's' sales.

However, they are not as powerful as 'Aibang', whether in terms of capital, resources, or relationships.

In addition, their founder is getting old and is considering retirement, but the second-generation son is an art student and has no intention of taking over.

The R&D system and vehicles of 'Shenbiao' are of average value, but their main advantage lies in their existing production base located in Jinshi, which allows them to leverage the production resources of the Jinshi industrial belt.

What I'm interested in are their tangible assets in the two industrial parks in Jinshi and the surrounding suburbs..."

"However, I've only thought about this for now; it would be very difficult to actually do it."

One aspect is the financial pressure.

To negotiate an acquisition, you need to put up real money, and this scale is not as simple as dealing with the 'Guangming Factory' back then.

On the other hand, this matter still needs to be consulted with Wu Yongming in advance.

Leaving 'Chenfeng Technology' in Tiancheng was something I agreed upon with Wu Yongming and the city. I'm going to take over a factory in another province, but I don't know what the leaders and the city will think.

In addition, there may be other matters that need to be considered with respect to the leaders, the city, and the province.

Although we are a private enterprise, we cannot completely escape the opinions of the city, especially given that Wu Yongming has helped 'Chenfeng' so much.

Or, in this matter, we might be able to obtain some support and assistance from the city or province that we don't know about now.

In short, you need to communicate with your supervisor in advance.

Moreover, even if you don't ultimately take action, just having the idea requires informing and communicating with others first; that's the rule...

That's why I didn't tell anyone about it beforehand; I just kept it to myself first.

Xu Chen thought for a moment, then voiced his suspicions:

“Dad, you never mentioned it to anyone, but Jiang Huaqin figured it out…”

Xu Zhiquan frowned and took a deep drag on his cigarette:

"So, Jiang Huaqin is no simple man!"

(End of this chapter)

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