Reborn in 08, a heretical cultivator starting a business

Chapter 161 Acquiring Little Ducks? A Zoned Washing Machine! (Third update, bonus chapter for monthly votes)

Future international warehouses in the North China region, including those in Beijing, Tianjin, Shijiazhuang, and Jinyuan, are all being closely watched.

The same applies to other regions. Everyone knows that a region, consisting of several provinces, has only one international warehouse.

The surrounding provinces and major cities naturally saw a frenzy of buying.

The competition is even fiercer in the East China region!
Not only are Shanghai, Hangzhou, and Hefei vying for it, but the Thirteen Protectors of Suzhou are also eager to participate!

Even the major international warehouses in Shandong Province, such as Jeju Island, Qingdao, and Lanling, are scrambling to get their hands on them!
The Party Secretary of Binhai City stormed into Vice Mayor Han's office: "Old Han, aren't you and Wang Junshan on good terms?"

"Call him, ask for whatever policies you want, and he'll give you those policies. We must secure this major international warehouse!"

Vice Mayor Han hesitated, saying, "Secretary, Wang Junshan is from Jeju Island, so my phone call might not be effective. Besides, Binhai is located at the easternmost part of the province, which is not suitable for a logistics center."

Shandong Province has a population of over 100 million. Although it belongs to the North China region, it still needs to have a dedicated international warehouse.

Otherwise, a single international warehouse in North China would be unable to supply the capital, Tianjin, Hebei, Shanxi, eastern Inner Mongolia, and Shandong Province with a population of over 100 million.

Even major warehouses in East China are under heavy burden and cannot keep up with demand.

Therefore, Shandong Province must build an international warehouse independently; there is no other way.

Generally, logistics centers are located in the central part of the area.

Located in Jeju Island, it is easily accessible, supplying goods to western, central, and eastern Shandong, with high logistics efficiency.

However, if the location is in the easternmost island city, supplying the Jiaodong Peninsula is not a problem, but supplying central and western Shandong will result in lower delivery times and higher costs.

This is obviously unrealistic.

Mayor Han himself felt it was unrealistic.

The old Party Secretary waved his hand:
"Whether it works or not, let's fight first! Although geographically speaking, it's not as good as Jeju or Lanneung. But we have a port and a planned bonded zone, which facilitates import and export."

"This time, it would be best if we could secure the Shandong International Warehouse. If that's not possible, we should at least strive for a central warehouse that serves the Jiaodong Peninsula and is the main hub for import and export!"

"Currently, YouTuan Technology's central warehouse in Binhai is rented, which is not reliable. Once the strategy shifts, they can just leave. Let them build their own, and we will provide policy support, land, and loan support!"

Mayor Han nodded: "Those who aim high will achieve something in the middle. If we can't secure the international warehouse, let them build their own central warehouse in Qingdao. That will make things much easier!"

"However, we need to formulate good policies. With a 50 billion yuan investment, a 250 million square meter international warehouse, and the development of Vipshop, the whole country is scrambling to get our hands on this scale and offering the best treatment. We also need to show our sincerity."

The secretary nodded: "Yes, we should not fight battles we are not confident of winning. We should not only arrange policies well, but also prepare two sets of policies."

"One plan: build an international warehouse, 30 square meters of storage space, and give him a 500-acre logistics park."

"One plan involves a 20-square-meter central warehouse plus a 5-square-meter bonded warehouse. The bonded area also needs to reserve land for customs. All of this adds up to 500 acres."

"That's true. Because of the existence of bonded warehouses, the two are actually quite similar."

"Yes, the tax incentives are all in place, and there are also loans with interest subsidies."

Mayor Han nodded: "Loans are not a problem. Banks are practically begging Future Technology to lend to them, given their cash flow. And the logistics park project is a capital-intensive project with tangible collateral, which makes banks even more reassured. Subsidizing the interest is no problem at all."

"Yes, we'll give you the land for free, the bank will provide the money, we'll subsidize the interest, and we'll also give you full tax breaks to minimize the difficulties."

"Alright, I'll go find Wang Junshan and do my best to secure the international warehouse!" Mayor Han said with a smile.

"Thanks for your hard work."

Mayor Han quickly contacted Wang Junshan:

"Junshan, sigh, to be honest, I'm calling you this time while on a mission."

“I understand, I completely understand,” Wang Junshan said with a smile.

We should never forget those who dug the well when we drink the water.

When YouTuan Technology was just starting out, Mayor Han led a delegation to visit, and provincial and municipal media outlets took turns reporting on it, contributing the first wave of traffic to Wang Junshan.

This directly led to an explosive growth in the number of WeChat users, from tens of thousands to two million!
U-Tuan International's revenue also surged rapidly, allowing it to firmly establish itself.

Without this boost, YouTuan Technology wouldn't have been able to grow so rapidly.

Wang Junshan remembered this kindness: "Mayor Han, you can just say so."

"Here's the thing, the Party Secretary and the leadership team discussed and hope that you can build an international warehouse in Qingdao. We've planned a 500-acre logistics park for you, which you can develop into an international warehouse plus a bonded warehouse. We'll take care of everything for you. We're close to Japan and South Korea, which makes it convenient for the import and export of 3C products, cosmetics, and domestic furniture and appliances."

"The tax policies will be arranged for you in full, and you will be given the most generous treatment."

"As for the start-up capital, we can guarantee that the Bank of China and Binhai Bank can provide you with three to four hundred million yuan. In addition, we will subsidize part of the interest, so there will be no pressure on funds."

What do you think?

Wang Junshan smiled.

The land was given away for free.

The project funding comes from bank loans of three to four hundred million!

The tax policy is generous!

It means that Wang Junshan only needs to pay some interest to get things going.

Some places even offer interest subsidies, so the interest rates are not much.

As for the principal of the loan of three or four hundred million, it can be repaid in installments over several years. Once the logistics park is operational, its revenue and profits will be more than enough to pay off the loan.

If Wang Junshan were to refuse such a good offer, he would truly be being unreasonable.

"Mayor Han, to be frank, Binhai City is too far to the east. It's really not suitable as a major warehouse of Shandong Province. The costs are high and the efficiency is low."

"But I have to give Mayor Han face no matter what."

"In this way, I will make an exception and add an international warehouse in Binhai City, a 20-square-meter warehouse to cover the Jiaodong Peninsula, and a 5-square-meter bonded warehouse for import and export!"

"Okay, great!"

Mayor Han was overjoyed.

This is definitely top-of-the-line warehousing.

Even without bonded warehouses, it is entirely possible to achieve a storage area of ​​30 square meters.

But bonded warehouses are different. Space must be left for customs, so the density must be low. That 100,000 square meters of land can only be reduced to 50,000 square meters.

However, with bonded warehouses, import and export become much more convenient, which is something that ordinary international warehouses cannot match.

Just as the call ended, Shen Huaijin walked in:
"Chairman, it's Mayor Zhao of Jeju on the phone."

"Get in."

Call connected:
"Chairman Wang, this is Zhao Jiwei. I hope you will forgive me for disturbing you in this way."

"Mayor, you're too kind. It's all for the development of Jeju. Please understand."

"Haha, I'm relieved to hear that," Zhao Jiwei laughed.

"Here's the thing, the city hopes that our province's international warehouse can be located in Jeju. You can choose any location you like, we'll give you 500 acres of land in the logistics park for free, we can also guarantee and subsidize the loan, and provide plenty of tax incentives."

"We hope Chairman Wang will consider developing his hometown."

Seeing how straightforward Mayor Zhao was, Wang Junshan couldn't refuse any longer.
“Okay, I’m from Jeju Island, so it’s only right that I contribute to the development of my hometown.”

"As for the location, it's in eastern Jeju, near Guo Station on the Jiaoji Railway. It's close to the railway, so transportation is convenient," Wang Junshan said.

As early as one or two months ago, Wang Junshan proposed the idea of ​​ten large warehouses.

The initial plan was to have only 10 warehouses of 50,000 square meters each, totaling 500,000 square meters.

However, the e-commerce business is developing too fast, with YouTuan International, Vipshop, and YouTuan Group Buying all experiencing explosive growth!
500,000 square meters is simply not enough.

So it was upgraded to 100 million square meters, and now it's 250 million square meters.

The future logistics department was established long ago. However, in order to wait for the four trillion yuan stimulus package to be released, the entire department has been operating discreetly and has not disclosed the ten large warehouses to the public.

Despite keeping a low profile, the logistics department is far from idle.

In the past month or so, I have already explored every province and all first- and second-tier cities across the country.

From the business environment to infrastructure, industrial layout, and future plans, everything has been thoroughly investigated long ago.

Furthermore, each city selected multiple industrial park locations as alternatives.

Then, a comprehensive evaluation is conducted.

The best choice is near Gwak Station on the Jiaoji Railway in Jeju.

With the Jiaoji Railway just a stone's throw away, 20 freight trains depart daily, making it easy to transport large appliances.

The Jinan-Qingdao Expressway and the Ring Expressway are both nearby, making it very convenient to travel to several surrounding cities.

Located 28 kilometers from the airport, a 30-minute drive by expressway, electronic products can be easily transported by air.

Its location is unparalleled.

And the industry is even more powerful.

The software park is located within a 5-kilometer radius, making it convenient to recruit IT operations and maintenance teams.

Ten kilometers away is the Linuo Photovoltaic Base, where a direct solar power supply agreement can be signed, allowing electricity costs to be as low as 30 cents per kilowatt-hour, which is 60% cheaper than industrial electricity!

There's also the Little Duck Group, which is located 8 kilometers away.

Although the future development of Little Duck washing machines is somewhat disappointing.

They are not in a good situation right now, but they can still become Vipshop's customers.

Furthermore, there is room for further cooperation.

For example, they signed a contract with Little Duck to serve as Future Technology's return and refurbishment center.

Returned home appliances can be sent to the Little Duck Industrial Park at the Jeju International Warehouse for inspection, repair, cleaning, repackaging, and refurbishment labeling before being sold at a low price.

For e-commerce groups, this is essential.

If it were lost outright, no platform could afford to lose it.

It's not far from Jinan Iron and Steel Group. It's a newly built frame structure, so we can directly purchase raw materials from Jinan Iron and Steel Group.

Furthermore, the laid-off workers from Jinan Iron and Steel Group could be recruited to work at the Jeju Grand Warehouse.

These high-quality workers are far more capable and skilled than workers recruited casually.

They could even directly sign re-employment agreements with Jinan Iron and Steel Group for laid-off workers, achieving a win-win-win situation.

The future logistics team has conducted thorough research, analysis, and planning for all of these.

It has made the best use of resources and people, and utilized resources and policies to the fullest extent.

Wang Junshan was very satisfied with this.

"Guo Station, this way!" Zhao Jiwei quickly determined the location:

“No problem, this piece of land is vacant. Although it’s not an industrial land quota, we can still do it.”

"There's also the value-added tax, which is 25% of the local tax revenue retained at the district level. We'll refund 90% of that to you for five consecutive years."

“There’s another problem,” Wang Junshan said. “The renovation of the industrial wastewater pipeline network near the logistics park is also a major issue.”

"Hmm..." Zhao Jiwei was somewhat surprised, not expecting that Future Technology had already done such detailed work!
They even considered this!

But it’s right to think about it.

If Future Technology were to undertake this industrial-grade sewage pipe network renovation themselves, the cost would start at least at 3000 million!

"We'll take responsibility and make all the necessary modifications for you."

Zhao Jiwei smiled and said, "I hope Chairman Wang will have the opportunity to invest in Jeju more often."

"No problem, I'll definitely go if I have the chance."

"That's a good idea. Perfect timing, there's an opportunity right now. Little Duck Group is poorly managed, on the verge of bankruptcy, and has a lot of bad debts. I wonder if Chairman Wang has any plans to invest or acquire it?"

"Acquire ducklings?" Wang Junshan fell silent.

"Of course, this is a big deal, Mr. Wang. Please take your time to consider it. If you are truly willing to acquire or invest, we will definitely give you a satisfactory price."

"Okay, Mayor Zhao, I'll think about it."

After the call ended, Mayor Zhao immediately approached the Party Secretary:

"It's all settled. Chairman Wang is willing to establish an international warehouse in Jeju. He has his eye on the land near Guo Station on the Jiaoji Railway."

"here!"

One leader quickly identified the location: "Good eye! This plot of land is in a great location, with convenient transportation and no issues with the approval process. The only problem is that it's not currently designated for industrial use."

"Can it be operated?" Mayor Zhao asked.

The director of the planning bureau nodded: "We can use the 'retreat from secondary industry and advance to tertiary industry' policy to exchange other plots of land with industrial land quotas with this one."

"For example, the land of the fertilizer plant can be exchanged for the land here in Guozhan, totaling about 800 mu. 500 mu will be given to Future Technology to make an industrial park, and another 300 mu will be used."

"Don't rush with these 300 acres, let's see if we can give them to Future Technology together."

The Party Secretary laughed: "Old Zhao, do you want Wang Junshan to invest in Jeju?"

“Yes. Let’s see if he’s interested in Little Duck Group first. If he’s not interested, or if he’s interested in investing but doesn’t want to take over Little Duck Group’s mess, then we’ll give him this 300-acre industrial park.”

"This is a great idea. It's right next to the Jeju warehouse, making logistics convenient, and there are also Vipshop and Youtuan. With logistical advantages and e-commerce platforms, whatever Wang Junshan does, he'll have a unique advantage!"

"Yes, especially in the high-tech field, Jeju needs to catch up. Our Shandong province has all the industrial categories, but Jeju is even stronger. Whatever industry Wang Junshan decides to pursue, Jeju can provide support!"

"If it is well integrated with future technologies, Jeju's industrial development can be further advanced."

"No problem, you're in full charge and do your best to make it happen. We can discuss any requests you may have."

Future technology.

Wang Junshan also fell into deep thought.

Little Duck washing machines are of very good quality and have many patented technologies.

His family's little duck washing machine lasted from when he was a child until he graduated from university without breaking down.

However, the development of the Little Duck Group has been less than satisfactory.

Little Duck Group was originally a state-owned enterprise and was once famous throughout the country.

Later, development was hampered, and in 2005, restructuring and reform began, introducing social capital. The Jeju State-owned Assets Supervision and Administration Commission still holds a large share.

However, the restructured Little Duck Group has performed poorly and is now insolvent, on the verge of bankruptcy once again.

That's why Mayor Zhao asked Wang Junshan if he was interested in acquiring or investing in the company.

The economic crisis coupled with the near-bankruptcy of the Little Duck Group presents a good opportunity to buy at rock-bottom prices.

However, Wang Junshan had no intention of taking over the whole mess.

Instead, he only wants to take the opportunity to buy up some core assets at rock-bottom prices and transform them into smart homes for the future.

Of course, it's not for producing ordinary washing machines, but for producing high-end, partitioned washing machines!

(End of this chapter)