On Tuesday morning, Zhou Zhigang brought great good news to Li Guangyu. After nearly a week of communication and negotiation, Xiangjiang Petrochemical Industry Group has achieved a very high proportion of domestic sales in many aspects of its products.
The first is fertilizer products. The mainland allows Heung Kong Petrochemical Group's products to be sold freely without quota restrictions.
Followed by asphalt products, there are no restrictions in this regard, and Xiangjiang Petrochemical Group is free to compete for sales.
As for diesel, gasoline, heavy oil, naphtha, aviation fuel and other products, the domestic sales quota is 75%, allowing Heungkong Petrochemical Group to use three-quarters of its production in the mainland for domestic sales.
As for ethylene, one of the cores of the petrochemical industry, the domestic sales ratio given by the mainland is 70%. As for the supporting industries of other groups commonly used by the Li Group to settle in the surrounding areas, the relevant quotas have also been clarified.
For example, the domestic sales quota of the medical alcohol production company established by Xiangjiang Medical Group is 60%, the domestic sales quota of daily chemical products established by Jiade Group is 50%, and the domestic sales quota of the polymer fiber company jointly established by several major clothing groups is not restricted.
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The entire petrochemical industry chain is extremely huge, and it is impossible for Li Guangyu to finish it all. For example, synthetic rubber, Li Guangyu does not plan to do it. The focus of Xiangjiang Petrochemical Group is refineries, ethylene chemicals, fertilizers and asphalt.
There is no need for Xiangjiang Petrochemical Group to develop other industries for the time being. As long as these few things are done well, Xiangjiang Petrochemical Group will become another pillar industry of the Li Group in the future.
Li Guangyu was quite satisfied with the current domestic sales quota. He asked on the phone: "What about terminal sales? Can we build our own gas stations? Can our fertilizers, ethylene products, asphalt, etc. be directly on the market?
Sale?"
Just having a domestic sales quota without sales channels is of no use. If these channels are controlled by those giant companies, then Xiangjiang Petrochemical Group will have no development prospects in the mainland. All sales volume and pricing power will be controlled by others. It will be fatal.
It was not something he wanted to see in other people's hands.
Zhou Zhigang will naturally not leave the development future of his group in the hands of others. The focus of this communication is domestic sales quota and terminal sales. From last Wednesday to this Tuesday, he met with the core senior executives three times, and met with the heads of various major departments for more information.
We had detailed discussions on this issue more than a dozen times, and finally achieved a result that was more favorable to Xiangjiang Petrochemical Group.
He said to Li Guangyu: "Li Sheng, there are no restrictions on fertilizers. We can establish our own sales channels. The same is true for asphalt and ethylene products. We just have some regulations on building our own gas stations."
It turns out that the top management was worried that Xiangjiang Petrochemical Group would only build gas stations in prosperous areas and would not build in remote areas. It was squeezing several major domestic companies through price wars, so they specially imposed some restrictions.
One of the regulations stipulates that in order to meet local oil demand, every time Xiangjiang Petrochemical Group enters a region, gas stations must take into account the layout of towns and villages. 1/3 of the towns in each county or city must have gas stations of Xiangjiang Petrochemical Group. In the previous county or city,
Before the layout is completed, you cannot enter the next county or city. Before the layout of a province (city, district) is completed, you cannot enter the next province (city, district).
At the same time, the price must follow the government's guidance price, and the fluctuation should not exceed 3%. Discounts and gifts for refueling are not allowed.
The leaders in the Mainland are very aware of the Lee Group's usual methods. Price war has always been the Lee Group's magic weapon to suppress competitors. Even if it is just a price limit, it is useless. They can use various methods to break through this restriction.
The top management does not want Xiangjiang Petrochemical Group to only focus on the market in prosperous cities and turn a blind eye to remote areas. In this case, the major domestic companies will have no way to compete with them. After all, the major domestic companies have to consider remote areas and build gas stations even if they lose money.
This is to meet the living needs of the people.
Li Guangyu doesn't have much objection to such restrictions. The 1/3 requirement is not high. Although most of the gas stations established in towns and villages cannot recover the cost in a short time, Li Guangyu believes that with the development of time,
It will create a steady stream of profits for him in the future.
Under the current situation, the markets that Li Guangyu first chose to enter are Shanghai, Tianjin, Beijing and Guangdong Province. In the first three municipalities, Xiangjiang Petrochemical Group can complete the planning at once. In Guangdong Province, it can only start from Huacheng and Pengcheng.
, followed by Wancheng, Xiangshan, Chancheng, Echeng and other places.
Such restrictions are destined to make it impossible for Xiangjiang Petrochemical Group to spread all over the country immediately. It can only slowly deploy province by province. In many cases, the capacity of its market must also be considered. After many years, many provinces may not have the market for it to enter.
And entry is likely to result in losses. After all, several major domestic companies are also making plans. Due to conditional restrictions, 1/3 of the towns in a county must have gas stations before they can proceed with further expansion. In some provinces and cities where the market is relatively saturated, Xiangjiang Petrochemical
The group will lose money if it enters.
Li Guangyu estimates that the introduction of such a restriction this time is also to protect several domestic companies. Xiangjiang Petrochemical Group still has many choices in the early stage, but it will be more troublesome in the later stage.
Li Guangyu said: "I plan to temporarily deploy gas stations in Beijing, Tianjin, Shanghai and Guangdong Province. You will visit the top government officials in these places and negotiate on this matter before returning to Xiangjiang."
Zhou Zhigang strongly agrees with Li Guangyu's choice. Since the municipality's territory is small, their layout will not be too stressful. Guangdong Province can take its time.
Zhou Zhigang responded: "Li Sheng, will arrange the next work and try to allow our Xiangjiang Petrochemical gas stations to be deployed in these areas as soon as possible. In addition, the deputy senior official of the Guangdong Provincial Government is also in the capital. He asked me to meet again in the afternoon today.
We are discussing the industrial base issue of the Petrochemical Group, and I don’t know how I should respond?”
"Guangdong Province has always been very sincere, and our cooperation with Guangdong Province has always been very good. This time we will put the production base in Echeng. You can assist with port construction issues and strive to start construction of Echeng Port as soon as possible.
Construction, which is also very beneficial to the development of Xiangjiang Petrochemical Group."
Li Guangyu still plans to stay in Echeng, especially after the restrictions come out this time, except for several municipalities, Li Guangyu will choose Guangdong Province as the first province.
In the afternoon, when the deputy senior official of the Guangdong Provincial Government heard that Zhou Zhigang had placed the industrial production base of Xiangjiang Petrochemical Group in Echeng, he was very excited.
This is a project with an investment of more than 1.5 billion US dollars, and it also involves several supporting companies of other groups under Li's group and Echeng Port. With the entry of these funds, Echeng's economy will grow rapidly.
He smiled and said: "President Zhou, I am very happy that your group can choose Echeng. Our government will do its best to serve you and ensure that your company's production base can start construction and put into operation as soon as possible."
The senior official of the Echeng City Committee who sits under the deputy senior official of the Guangdong Provincial Government is even more happy. Watching Pengcheng's development speed over the years, Echeng is envious. This time with the entry of Xiangjiang Petrochemical Group, they can also become a dazzling company in Guangdong Province.
exist.
He is very aware of the strength of the Li Group. As long as they start to enter the layout, they will continue to expand their local investment in the future. The future development prospects of Echeng are worth looking forward to.