Although Zhongyuan Paper Group and Donghai Paper Group have no confidence to fight after learning that the research institute of Ai Paper Company has produced very amazing results, it is still very difficult to contact each other.
In the end, it was delayed until the end of August of that year, after Ai's paper company threatened to transfer pulping equipment to paper companies in other provinces across the country, and finally formally negotiated at the Jingxi Hotel in Beijing under the coordination of the industrial bureaus of Liaoning, Hebei and Shandong provinces.
Wang Ai did not attend, but read the negotiation records every day, and discussed with Wang Bin and Secretary Jin in the evening.
Since the opponents are two paper groups, in order to save face for the opponent and raise their own value, on the eve of the negotiation, Ai's Paper Company and Liaoyang Paper Equipment Company (tissue machine manufacturer), Liaoyang Papermaking Chemical Materials Company (caustic soda, hydrogen peroxide and other papermaking chemical drug production enterprises), Liaoyang Xinsheng Plastics Company (plastic bag production enterprises) and other industrial chain-related enterprises have been integrated into the North Paper Group.
In the end, the three parties reached the following strategic agreement: 1.
Zhongyuan Paper Group and Donghai Paper Group withdrew from the civil paper (toilet paper, burnt paper, paper towels, etc.) market in Beijing, Tianjin, Zhangjiakou and Tangshan.
The Northern Paper Group (Aidi Paper Company and its affiliated investment enterprises) promised not to enter the civil paper market south of the above four cities. 2.
North Paper Group promises to give priority to the transfer of advanced papermaking process equipment and chemical formulas to Zhongyuan Paper Group and Donghai Paper Group.
Zhongyuan Paper Group and Donghai Paper Group promise to keep the above technologies confidential, and will bear the corresponding losses and compensate for the leakage of secrets. 3.
In order to avoid market fluctuations caused by fierce price wars, the three parties stipulate that the target market for civil paper in the country will be divided into the first line of Beijing, Tianjin, Zhangtang and Taihang Mountain.
The Northern Paper Group develops the three eastern provinces and the eastern part of Inner Mongolia, the Central Plains Paper Group and the Donghai Paper Group are bounded along the Taihang Mountains, Shijiazhuang, Zhengzhou, Wuhan, Changsha and Guangzhou, the central and western regions belong to the Central Plains Paper Group, and the southeast belongs to the Donghai Paper Group. …… Of course, this is not to say that the Central Plains, the East China Sea two evacuated Beijing and Tianjin, our great capital people can only let the northern paper group to take what they want, due to the transportation cost of civil paper, local toilet paper enterprises can still survive in small profits, not to mention the Beijing and Tianjin line, that is, the base of the North Paper Group Liaoyang There are other papermaking enterprises, in the three eastern provinces and the east of Inner Mongolia such a narrow market range, the northern paper group has not fully occupied, accounting for about 85% of the market share.
Because this agreement from the perspective of market division, it is unfair to the North Paper Group, although it is located in Liaoyang, because of the extension of the traffic line up to the first line of Beijing and Tianjin, but this does not mean that the North Paper Group can not jump to the south to invest in the factory, so there is no so-called traffic cost pressure.
Therefore, the three parties also signed a non-public agreement, or secret agreement, under the explicit strategic agreement.
Because of the importance of this agreement, it cannot be made public, and it was signed under the witness of the relevant leaders of the National Development and Reform Commission.
This is because the agreement involves a sensitive international market.
The potential domestic market of Zhongyuan Paper Group is the broadest, and the entire central and western regions are the development direction of Zhongyuan Paper Group, and the target market area of Donghai Paper Group is slightly less populous, but relatively wealthy.
The Northern Paper Group has the strongest economic strength and independent scientific research strength, but the target market is the smallest.
Therefore, in terms of dividing the international market, the two parties have made certain concessions to the North Paper Group.
Specifically, Zhongyuan Paper Group will focus on the development of the west in the future, and will gradually invest in civil paper production bases in Xinjiang, Sichuan, Yunnan and other places, aiming at Central Asia and the Indian subcontinent.
Donghai Paper Group is developing to the southeast, and will invest in small and medium-sized manufacturing bases in Hunan and Guangdong in the future, and is preparing to invest in Vietnam, Malaysia and other places.
The Northern Paper Group is developing to the north, mainly radiating the Russian Far East, the Korean Peninsula and Japan.
In fact, this agreement is still not very fair to the Northern Paper Group, because as we all know, Japan is a big papermaking country, and Japan Paper, Prince Paper, Dawang Paper, etc. are all papermaking powerhouses in the world.
But Wang Ai still agreed to the agreement.
Because the main focus of these Japanese papermaking companies is on the high-profit industry of printing paper, it has been stagnant in civil paper for many years.
This is also because Japan's high labor costs can only meet the needs of the high-profit market, while China's labor costs are very low, and can survive well in the low-profit civil paper market, while Wang Ai believes that in terms of scientific and technological research and development, although Japanese papermaking companies have a strong technical accumulation, but the investment is far less than the northern paper group.
The Northern Paper Group has more stamina.
At the same time, due to the major sacrifices made by the Northern Paper Group and tried to challenge the first position of Japanese paper in Asia, the National Development and Reform Commission also promised that it would provide certain support to Northern Paper in terms of policy, mainly in terms of market protection, science and technology transfer and even talents, which is also one of the important reasons why Wang Ai nodded and agreed.
In the short term, the North Paper Group has made great sacrifices and challenged the highest difficulty, but in the long run, the challenge of Japanese companies will win the North Paper Group a huge reputation and the trust and support of its superiors, and strengthen the determination of the North Paper Group to take the route of scientific and technological research and development.
The Central Plains Paper Group and Southeast Paper Group tend to South Asia and Southeast Asia with weak papermaking capacity, with low external pressure and strong profitability, which also meets the internal needs of a number of enterprises to form a paper group.
In other words, without sufficient external pressure, these two companies will not be able to transform into technology-driven paper groups.
Over time, the North Paper Group will lead the scientific and technological research and development of China's papermaking and occupy the height of scientific and technological research and development, so although the market is the smallest and the enemy is the strongest, the future development prospects are the best.
In the second half of 1999, the North Paper Group invested in the second papermaking base in Daqing, Heilongjiang, invested in the third papermaking base in Hunchun, Jilin Province, and invested in the fourth papermaking base in Tongliao, Inner Mongolia.
In addition, the two major paper groups have also invested in new paper bases in the central and western markets and the southeast markets in accordance with the established plans.
Always ready to rush out of the country and head to Asia.
Japan's Sankei Shimbun, Asahi Shimbun and other major newspapers are very sensitive to this phenomenon, although they do not know the content of the tripartite agreement, let alone the content of the non-disclosure agreement, but the Japanese paper industry, which has regarded China as a dumping ground for paper products, still feels threatened. ()