Chapter 329 The battle for raw materials
When the offer was made, the two bad apples, Pan Fatty and Lu Guangkun, poached the action of Amazon Group to be very angry. In order to show sincerity, Feng Tao lowered the offer price very low, with a profit of only about 10%.
Unexpectedly, the project was brought back, but before the design was completed, the steel raw materials began to rise. Seeing that the estimated profits were falling, Feng Tao was so worried that he couldn't sleep well. He got up in the middle of the night and scolded Pan Lu and two bastards.
After Liu Ming understood the situation, he nodded, "I see that infrastructure projects are launched in various parts of China, and the market for this steel may still rise for a while. You should report to Song Yuan quickly, and purchase raw materials as soon as possible after getting the material list!"
Feng Tao nodded and left.
After a while, Lu Zhan came over.
He said to Ai Ai, "Boss, I have some private matters. Can you help me?"
"Speak and listen."
"That's it... A while ago, I went home to visit my relatives. My uncle's army has laid off again this year. He was reluctant to let these good soldiers go home to plow the fields. He asked me if I could arrange these demobilized soldiers to be workers in factories?"
Liu Ming was stunned for a moment, "As long as you are serious and willing to do it, I will accept it!"
Lu Zhan was happy, "Boss, don't worry, the re-employed soldiers from the army are different from the 85th National Congress. They are all good at driving, knowledgeable, educated, and absolutely obey orders."
Liu Ming nodded and asked casually: "How many people?"
“More than 400 people.”
"..." A string of black lines appeared behind Liu Ming's head.
"Actually, uncle has already put a large number of them back before, otherwise, there would have to be 2,000 people."
Liu Ming asked quickly: "Uh, what is your uncle's position?"
"Commander!"
Liu Ming covered his chest and suddenly remembered that he had met Lu Zhan when he first started working. The boy said proudly that he did not like to join the army and had escaped from his home to apply for a job.
He thought there were only a dozen people, but he let him go all out of the big talk, so he had to beat the swollen face and pretend to be fat. The team of 80,000 people was all raised, and these 400 big-headed soldiers were not missing.
Liu Ming suddenly remembered something. The production workshop is now full of staff and is vigorously reducing the staffing. The newcomer will definitely not be able to stuff it there any more.
"Arrang some to the security department, or just stuff them to Zhongcheng." Liu Ming thought to himself.
Liu Ming sighed inwardly that this is another place to spend money. His family business is big and there are holes in spending money everywhere. As a parent, he is the first to be affected.
After returning from Nan Goryeo vacation, the executives were energetic and returned to work, and the atmosphere of the company finally changed a lot.
On this day, at the group team meeting, Song Yuan mentioned the issue of steel procurement in a speech.
"The steel mill that had a supply agreement with us before has sent a letter and there is insufficient spare."
Wang Xingguo asked: "Have you contacted other steel mills?"
Song Yuandao: "There are two situations. Small steel mills do not have such a large amount of goods. The shipment period of large steel mills is uncertain. Moreover, the steel market is almost one price per day, and it seems that it has risen by 10%.
Liu Ming frowned. Last year, he only wanted to increase orders to revitalize Oriental Factory. He signed a small billion order with Amazon and Tianzhu Guodian in one go. As a result, the price of steel is soaring, and almost all the profits of his company have entered the pockets of those steel mills and ore vendors.
How can this work?
Liu Ming asked: "Why doesn't the steel mill we cooperate with import ore?"
Song Yuandao: "It is said that there is no mine purchase license. They can only buy second-hand iron ore from the large steel mill that has been added. In this way, the steel refined not only has no profit, but also sells for higher prices than the price of the large steel. The head of the steel mill told me that this situation will last for another three months and the steel mill will cease fire and close down."
Wang Xingguo frowned and said, "The cost of raw materials has increased sharply, which will seriously affect our mechanical processing companies. In the past, the factories would have reserved some raw materials, but recently, major projects have been launched frequently. The little material in stock can't even last for three days. I think it's better to order a batch of steel mills first. The more they drag it to the back, the higher the price."
Everyone here knows that with the current offer from the Big Steel Factory, it is probably a waste of work.
Liu Ming said, "In this way, I will find Amazon Group to think of a solution."
After the meeting, Liu Ming called Sanchez specifically.
"Hey, friend! Why do you think of me?" Sanchez said comfortably.
Liu Ming asked: "The ore price has risen recently, I think you have made a lot of money, right?"
"It's good that's fine, we Amazon just make some money." Sanchez already understood the purpose of Liu Ming looking for him.
Liu Ming, regardless of whether he was modest or not, said directly: "My steel factory is short of raw materials, so I want to buy you two ships of iron ore."
"Oh, this is a bit troublesome," Sanchez explained hesitantly: "We formed a consortium with several other large iron ore vendors to sell iron ore to Asian customers. So we can't sell it to you alone."
"Hey! Don't you make money? When did you follow the rules like this? Help me think of a solution!"
"Uh, by the way!" Sanchez said: "The ore must not be sold, but we have rough steel billets! You gave me the idea before!"
Liu Ming slapped his thigh, how could he forget this? It's really a way out.
"I won't say anything, come on board a boat! Just follow your price."
"Okay, you'll be in port as early as next month," Sanchez said.
Liu Ming put down the phone and called Song Yuan over.
"A ship of rough steel billets will come at the beginning of next month, about 300,000 tons. We spend money to eat it. I guess there is no need to worry about the materials for the first half of the year. You can go to that steel factory yourself and ask how to calculate the processing fee. We will keep some stock raw materials this time to prepare for the subsequent price increase of steel!"
Song Yuan nodded quickly and said that.
The next day, Song Yuan sent a message back that in order to maintain the furnace opening, the steel mill said that it could charge very low processing fees. After calculation, the steel price was slightly lower than last year's average.
Liu Ming thought to himself that the billet shipped from Brazil and the various freight costs were actually lower than imported iron ore. What kind of iron ore consortium Sanchez said was absolutely terrible profits made!
However, since he has found a solution, Liu Ming can't make a mistake and then study the bigwigs in the ore industry in this consortium. Everyone will not make a mistake.
As a result, the weather did not follow others' wishes. One day half a month later, Liu Ming suddenly received a call from Sanchez.
"What did you say?! The crude steel billets are also included in the scope of consortium operations?"
"Yes, I just got off the joint meeting and called you."
Chapter completed!