Chapter 620: A Bold and Risky Approach

Wang Changfu is not as optimistic as Ye Zishu. Although the battery industry is developing very fast, it pales in comparison to their future development plans.

Whether it is an aircraft project, a high-speed rail project, or even a shipbuilding project, they are all projects that consume a huge amount of funds. Not to mention research and development costs, it is the construction of the industrial chain, which is not so simple.

I saw Wang Chuanfu said: "In fact, we also want to build our own headquarters, but in the face of uncertainties in the future, we can only be cautiously optimistic.

The next step is to look at the development of the automobile industry. If the development of the automobile industry is good, then we will immediately start building our headquarters.

If the development is not as expected, we may continue to live a difficult life, reserve funds and plan for the future, we can't ask you for money, right? "

To be honest, he heard Wang Chuanfu's words and felt that they were too pessimistic. Except for their low brand awareness, their auto products surpassed their competitors in all aspects.

In any case, it will not lose money in the auto industry, it is just a matter of earning more and earning less, and the construction of the headquarters actually does not cost much, even if it is built according to the Phoenix Technology Company, it is only a few billion yuan.

Seeing his expression, Wang Chuanfu had no choice but to explain: "Don't look at the amount of money we've earned, but we've already spent a lot of money, and we don't have much money left."

"Oh? I want to hear where all your money is spent?" Ye Zishu asked with a smile.

Hearing Ye Zishu's words, Wang Chuanfu didn't change much on the surface, but he had already started complaining in his heart. This information can actually be found in the system, which shows that the boss didn't pay attention to their industries at all a while ago.

However, he still explained: "We have built 10 various automobile production bases across the country, and the investment scale of each automobile production base is 15 billion yuan. These investments alone cost 150 billion yuan."

"It seems that the previous plan was not like this?" Ye Zishu said.

"The plan you discussed with us at the beginning was indeed different from this one, but we temporarily changed it based on the actual situation and financial situation, and we thought it was a more feasible plan." Wang Chuanfu said.

"What is your judgment based on? To build so many production bases, if the production capacity cannot be digested, it is a waste of investment." Ye Shu said.

"Actually, despite our large investment, in fact, the annual production capacity is only about 6 million vehicles, which is not as much as you imagined.

This also includes the annual production capacity of 2 million transport vehicles,

The production capacity of 1 million passenger vehicles, the production capacity of special vehicles is 1 million, and the remaining 2 million is the production capacity of passenger vehicles.

The reason for this is mainly because we are building the entire industrial chain, and we spend a lot of money on the construction of the industrial chain. If we just build the equipment line, we may only need about 20 billion yuan. "Wang Chuanfu said.

Listening to Wang Chuanfu's explanation, it seems that the production capacity is not very large. Although 6 million vehicles is amazing, in fact, the domestic economy is developing so fast, and the demand for various vehicles is also increasing rapidly.

Especially in the transportation of goods and personnel, in the absence of rapid development of other means of transportation, only automobiles can be used to meet the needs of economic development.

It's just that they have prepared a production capacity of 1 million for special vehicles. In his opinion, the demand for special vehicles in the future will definitely not be low, but many of them are not practical now.

For example, city cleaning vehicles, many cities now use a large number of cleaners, as long as the ground is not seriously dirty, it is not necessary to make it so clean like in previous lives.

He expressed his doubts, but Wang Chuanfu did not agree with this, and even believed that the annual production of 1 million special vehicles may not be able to meet the market demand.

In the field of special vehicles, Huanyu Group mainly focuses on special vehicles for urban public services, including medical, fire, police, sanitation, and urban maintenance.

Others include industrial vehicles, dangerous goods transport vehicles, television relay vehicles, and vehicles that require special customization, with a wide range.

It is precisely because of the wide range that the production system they built is also flexible, and the production line is also a non-standard production line, and the construction cost is higher than other production lines.

In fact, there are still construction vehicles, but this piece of Wancheng Foundation is doing it, and it is doing well. There is no need for Huanyu Group to come in to grab business, and it can't win.

Hearing what he said, it seems that there are not many special-purpose vehicles with an annual output of 1 million. The country is so big that the domestic market alone can digest it.

More importantly, these vehicles are purchased by wealthy units. As long as the quality of the vehicles is really good, there is no need to worry about not being sold, and most of the vehicles are sold at very high prices.

Like a negative pressure ambulance, the minimum price is 200,000 to 300,000 yuan, and high-end products can reach 700,000 to 800,000 yuan, and there are even more expensive than this, depending on the equipment on it.

In fact, Ye Zishu gave them the relevant technologies of these special vehicles before, but suggested that the research and development and production of this area should be put in the back, and the freight, passenger vehicles and passenger vehicles business should be handled first.

Because the amount of funds of Huanyu Group was not enough at that time, Ye Zishu only gave them 20 billion yuan, and their number of scientific researchers was relatively small, so they could not develop so many projects at one time.

Now that the plan has changed so much, it may be because the revenue of the battery industry has given them the confidence to start many projects that were originally postponed.

The battery revenue has reached 200 billion yuan, and the profit margin of lithium-ion batteries is very high, reaching about 70% overall. The profit margin of lithium iron phosphate is lower, but also about 50%.

The lowest is nickel-metal hydride batteries, the profit margin is generally only about 20%, and this is still in the case of no significant increase in related raw materials.

If the prices of raw materials such as nickel and lithium rise, the profit margin may not be able to maintain such a high level. If you want to continue to obtain high profits in the future, you must start with raw materials.

In addition to these, the production capacity of passenger cars has also doubled. It seems that they are also very optimistic about this market. Ye Zishu also asked about the production capacity arrangement in this area.

Huanyu Group plans to produce 2 million passenger cars, of which 1 million is reserved for domestic production. Among them, the annual production capacity of about 500,000 vehicles is less than 100,000, and the production capacity of more than 100,000 vehicles is only 500,000.

The production capacity of 1 million vehicles for export is basically vehicles with a price above 200,000 yuan, and vehicles with a price that is too low will not be exported.

It’s not wrong for them to arrange this way, it’s just that they are a bit overconfident, and they are preparing to compete with brand-new car brands and old-fashioned cars in the mid-to-high-end field.

Generally, new auto companies will start with the low-end market first, and after slowly accumulating, they will gradually enter the mid-to-high-end brands. This is a safe way, at least to ensure that their own companies have income.

Although the Huanyu Group has branded vehicles ranging from 150,000 to 200,000, in fact most of the exported vehicles are around 300,000, and there are even luxury brands, all of which are priced at more than one million yuan.

There is also a top luxury brand with a price of tens of millions of yuan. This car was originally tailor-made by Ye Zishu. It uses a lot of advanced technology and material technology. It not only looks good, but also has excellent bulletproof performance.

It was originally prepared for himself, so naturally he would not be stingy with stacking technology on it, and he didn't care how much the cost was, anyway, he would use whatever was advanced.

The Huanyu Group is based on his top-level design, and then uses some of the technologies in it to prepare to create a top-level luxury brand by itself, with the purpose of competing with the existing top-level car brands.

Anyway, for Huanyu Group, it costs a lot to build a few cars specially for Ye Zishu. It is better to specialize in a top luxury brand, which can also dilute the cost.

Ye Zishu can also understand their thinking. If he just buys him a few top-notch cars, the cost of each car will exceed hundreds of millions of dollars.

If some of the above technologies can be reused, and the production volume has increased a lot, the cost can be greatly reduced. As long as 10,000 vehicles can be sold globally, they can make a lot of money.

And with the appearance designed by Ye Zishu and so many technical blessings like black technology, for the world's top rich people, they don't mind having such a new toy.

Although Ye Zishu thinks that their plan is too risky, there are too many high-end models and types, once the market is cold, they may face huge losses.

But he didn't say much, since it was decided collectively by Huanyu Group, he respected their decision, and even if they failed, he could give them a longer memory.

If it succeeds, the return is not comparable to conventional development ideas. If the average price of this 1 million vehicles reaches 300,000 yuan, then the sales revenue will reach 300 billion yuan.

These incomes are not a big deal, mainly because they raised their brand B status, and it will become much easier to sell luxury cars to the world later, and the sales of their mid-range models will also increase faster.

Asking for wealth and insurance refers to the current situation of Huanyu Group. No wonder Wang Chuanfu is full of worries about the next situation. If this fails, the loss will be huge.

Fortunately, their business is not limited to cars, but also the battery business to support them, so that they will not go bankrupt due to failure, not to mention that his boss will agree.

"If my car is finished, you send it to me immediately, and I will publicize it to you," Ye Zishu said.

As soon as these words came out, Wang Chuanfu's eyes lit up immediately. It's not that they didn't think about asking the boss to help promote it, but they were embarrassed to speak because there was no precedent.

Now the boss took the initiative to help promote it, even posting his own car on social platforms, it would be a huge help to Huanyu Group, a new manufacturer.

Afterwards, Ye Zishu asked about the current number of researchers in the Huanyu Group, and they will have more difficult tasks to do next. If the number of researchers is small, it will not be enough.

Fortunately, Huanyu Group has also made preparations for this. Currently, they have 25,000 full-time scientific researchers, not including ordinary engineers. This number is very impressive.

He doesn't know how many R\u0026D personnel others need to build airplanes, ships, and high-speed rail, but for him, he feels that as long as these projects are not carried out at the same time, the number of R\u0026D personnel is still sufficient.

However, Ye Zishu still asked Wang Chuanfu to continue to increase the number of scientific researchers. It is best to break through 50,000 people, and no matter how many, they can afford it anyway, and they can be used in the future.

A large number of people can shorten the scientific research time and make it easier for many projects to be completed according to the time node.