Back in 1978, I was admitted to Northwestern Polytechnical University.

Chapter 283 It's better to buy from the East than from island nations!

Chapter 283 It's better to buy from the East than from island nations!
Soviet summers are pleasant, making it an ideal place to escape the heat. However, in Leningrad, the conference room of the naval headquarters was filled with heated arguments and tension.

"Our nuclear submarines are too noisy underwater. This is entirely due to the lack of effort from the shipbuilding industry. Every time our Type 671 nuclear submarines go to sea, the Americans follow them underwater. These guys are like cats that have smelled fish. If our new Type 945 and Type 971 submarines cannot reduce underwater noise, I think the designers and builders should be exiled to Siberia!"

Vladimir Nikolayevich Chernavin, a veteran submariner of the Soviet Navy, was the first in the Soviet Navy to lead his submarine on its maiden voyage to the Arctic. Although he no longer sails, he remains concerned about submarine development.

He loathed the enormous noise of Soviet submarines and spoke to them without any politeness. Not to mention the engineers, even his superior, Navy Commander Gorshkov, was often contradicted by him.

Now, his face was grim, and his words were full of anger.

The submarine designers and shipyard managers present instantly broke out in a sweat. In the Soviet Union, it had become a tradition for engineers to undergo labor reform. During the Great Purge, countless pieces of equipment were designed during this period.

just now……

They looked at each other, hoping someone would step forward. Finally, the famous submarine designer Chernyshev stood up.

"General, we have done our best. On the nuclear reactor, at low speeds, we can shut down the main circulating water pumps and allow natural circulation. All the vibration devices are installed on the floating base, and the submarine's surface is covered with sound-absorbing tiles. These are all the results of our efforts. As for the last problem... we..."

"Say!"

"The last problem is the deficiency in our propeller manufacturing technology. So far, we can only produce three-bladed propellers, which have high rotational speeds and loud noise. The West has already used seven-bladed, large-skew propellers, which are so quiet that they can almost blend into the background noise of the ocean..."

"Then why don't we produce them?"

"This requires a state-of-the-art nine-axis, five-linkage gantry CNC milling machine. Our domestic electronics technology is lagging behind, and we simply cannot produce similar machines. Moreover, COCOM has imposed an export ban on us..."

"Hmph, I refuse to believe that there aren't cats in this world that don't steal fish!" Chernavin said. "Especially those greedy islanders in the Far East, they'll sell anything for money! Go find Osipov and have him figure out a way to persuade those islanders to export these CNC machine tools! What do you think?"

Osipov, the second-in-command of the Soviet Technical Machinery Export Company, is also a former KGB officer with extensive connections. Entrusting the task to him is absolutely no problem!
"If we can really get our hands on such CNC machine tools, we can guarantee that the noise of the new generation of submarines will be 20 decibels lower than it is now, completely blending into the background of the ocean!" Chernyshev knew, of course, that the other side was asking for a statement from them.

If the machine tools are available but the underwater noise isn't reduced, then all of them will be sent to Siberia, or even executed.

So all they can do is work harder. However, they believe that with the right processing equipment, the nuclear submarines they design will be no worse than those of the West!

Osipov arrived quickly. After hearing Chernavin's request, he thought for a moment and then said, "General, I just saw a news report that the East has developed the first nine-axis five-linkage CNC milling machine..."

"The East?" Chernavin shook his head: "What advanced technology could the East possibly have! They only managed to industrialize with the help of the Soviet Union. After we withdrew, their industrial technology stagnated, reaching the level of the Soviet Union in the 1960s!"

Chernavin looked down on the East. According to the information he had, the East's nuclear submarines were at best at the level of the Soviet Union's first-generation nuclear submarines, while they had already developed to the third generation!

"Yes, the technology in the East is indeed not very advanced, but... the East has produced Northwestern Polytechnical University, which is very interesting. It now has cooperation with many top Western companies."

As the person in charge of import and export, Osipov is familiar with various international collaborations, and he was quite emotional when he talked about them.

“For example, they are developing stealth aircraft for Lockheed Martin, passenger planes for Boeing, and even Rolls-Royce uses their related technologies,” Osipov said. “In recent years, Northwestern Polytechnical University’s CNC machine tools have developed rapidly and have caught up with the West. If they say they have them, then… they really do have them.”

This is blind worship. There's no way around it; Northwestern Polytechnical University has been exceptionally outstanding in recent years.

"More importantly, East Asia has no connection with COCOM. COCOM imposes an embargo, but East Asia will not. Therefore, it would be much better to purchase from East Asia."

“But we’re not familiar with the East!” Chernavin was still a little worried.

The friendly relations between the two sides ended in 1966, and at times they were even on the verge of conflict. The relationship did not improve until after 1982. Now, no one can predict the future. In their eyes, a deal with the East will not be so easy.

“We’re also in a standoff with Europe and the Far East, but we still do business,” Osipov said. “As for the East, Northwestern Polytechnical University is an exception. There’s a Pacific Trading Company that’s doing business in Europe under the guise of Northwestern Polytechnical University. If we just go to them, we’ll have no problem!”

Chernavin's expression was complicated: "Well... let's give it a try."

He glanced at his watch: "It's time to get off work, let's go grab a couple of drinks!"

Inside the bar, the two men took several large gulps of vodka from their bottles, and then Chernavin couldn't wait to ask, "Brother, tell me, why did you choose an Eastern product?"

Why open up new supply channels when you can simply buy it from the island nation with mature technology? It doesn't make sense!
Osipov smiled and said, "Of course it's because... products from the East are cheaper! If you were to buy this from the island nation, it would cost at least five million US dollars per unit, and if you bought four, that would be twenty million! From the East, ten million would be enough!"

He raised his glass: "Come on, cheers! After this deal is done, we'll each have five million in our accounts!"

Chernavin raised his glass as well: "Cheers! I'll leave this to you! We'll make the money, but this machine absolutely cannot malfunction!"

"Of course not. Easterners value integrity most in business. Tomorrow, I'll go to Europe and find the Pacific Trading Company's office there!"

France, Paris, La Défense, a three-story building with a pointed roof.

With a thud, Osipov, accompanied by his bodyguards, walked up the steps and through the building's entrance. Inside, the lobby was filled with various bicycles, their prices staggering. However, when they saw the salesperson lift a bicycle with one hand, they understood why they were so expensive.

The second floor displays various small items, including traditional Eastern handicrafts such as cloisonné, as well as some modern products, such as a fishing rod with a heavy load hanging from it. It is so bent that it does not break, which is quite impressive.

The third floor houses various offices, meeting rooms, and other workspaces.

The original office only rented the top floor of a three-story building. Now, the office has expanded and the entire building has been rented!

A pretty waitress stood at the top of the stairs. When she saw Osipov enter, she immediately greeted him warmly: "Sir, welcome! You've come at the perfect time. Our manager is busy with work, so please wait in the reception room while I go and call someone for you."

Inside the reception room, with its glass partitions and leather sofas, Osipov, holding a coffee, had just taken two sips when he saw a beautiful woman walk in.

“Ms. Yang, it’s a pleasure to meet you,” Osipov said with a smile. “I heard from Beryukov that we’ve done business together before, and it was quite pleasant. I hope this will be another pleasant collaboration.”

Yang Duo'er immediately became wary, but still maintained a smile on her face: "Are you a member of the K Party?"

"I suppose so, but I've already left that department. Now I'm the head of the Soviet Union's Technical Machinery Import and Export Company. We greatly admire the CNC machine tool technology of the East and hope to purchase several nine-axis five-linkage large CNC milling machines from the East."

Osipov's mention of Beliyukov wasn't just about building rapport; it was also about letting the other side know that he was aware of the RD33 engines they had imported from the Soviet Union, so they could speak frankly.

"This thing... how come I don't know about it?"

"Ms. Yang, this is no longer a secret. Here, look at this newspaper." The People's Daily of the East, on its front page, reported that Northwestern Polytechnical University had developed this CNC machine tool, filling a domestic gap and reaching the world's advanced level, etc.

“Alright, since it’s already been reported, it can naturally be sold. However, this type of machine tool is subject to an embargo by COCOM, so…”

“It is precisely because of the COCOM embargo that we are looking to the East. You are not subject to COCOM’s control. As for the price… we are willing to pay two million US dollars per unit.”

We'll negotiate the price later; we can get it for a maximum of two and a half million US dollars. Once we get back, we'll report it as five million US dollars per unit, and the difference will go into our own pocket!

At this point, Osipov was still full of confidence, but the other party's next sentence completely baffled him.

"Two million US dollars can't even buy a regular five-linkage machine tool. This level of machine tool costs at least ten million US dollars!"

I originally wanted to get a 50% discount, but they doubled the price instead!

Osipov nearly choked on his own blood. He took a deep breath and said, "Ms. Yang, isn't this price... a bit too expensive?"

“Mr. Osipov, you should know the principle that scarcity increases value.” Yang Duo’er looked at him and said, “If you could purchase from the West, we would sell to you for a low price of two million US dollars. Since you can’t purchase from the West now, then we… of course have to quote a reasonable price.”

"You, you, you..." Osipov stammered, at this moment all he wanted to say was, do you believe that the KGB will wipe out your office? You won't be safe walking on the street either, the KGB has plenty of assassins in Europe.

However, we are only discussing business now, and it is not appropriate to escalate to this level of fighting. If we wipe out this place, what price will the KGB pay?
Seeing Osipov's expression, Yang Duo'er smiled brightly: "Mr. Osipov, what's wrong? Aren't you satisfied with the price? Anyway, it's the government that's paying for it. As long as you accept the price, then... the remaining five million will be transferred to your Swiss bank account."

Osipov's eyes widened. The man's proposal... seemed pretty good! Ten million was a bit expensive, but it wasn't his own money. It was the country's money, which could be spent freely. And such a price meant he would make twice as much!
“Mr. Osipov, we actually have a lot of business opportunities to cooperate on. Your market is extremely short of all kinds of daily necessities, while the East behind us has a large amount of agricultural and light industrial products, such as wheat, rice, canned fruit, flashlights, and thermos flasks. Whatever you want, we can provide in large quantities, and at a lower price than in the European market.”

As Yang Duo'er spoke, she gave her secretary a wink, and Lillian then moved a whole bunch of things over.

"Come and see, this is hawthorn preserves. It's very appetizing and only costs two dollars a can, landed price."

The bright red hawthorns swayed inside the can, their vibrant color making them look incredibly tempting.

"Here you go, this is a Double Happiness brand thermos, our star product from the East. It has excellent heat retention and is perfect for use in your frigid regions. It only costs three dollars."

"Take a look at this one, it's Erguotou from the capital, 56 degrees, and it only costs four dollars a bottle."

Osipov was tempted by the bottle of wine.

Although he was in charge of importing heavy industrial equipment, there was a severe shortage of light industrial and agricultural products in the Russian market. If he were to bring these back, he would certainly be welcomed by the top leaders in Moscow. If he were to secretly put these products on the black market, he could earn even more.

The KGB has its own channels, and they are already using them to trade large quantities of products from Western Europe. Now... they can definitely trade products from the East as well!
Even the smuggling process would be simpler; all it would take is a word to the Far East to get the goods via the shortest route.

Osipov's gaze was fixed on the bottle of wine. Seeing his expression, Yang Duo'er smiled and gave her secretary another wink.

So, Lillian took out a bottle opener and popped the cap off the bottle, instantly filling the room with the aroma of Erguotou liquor.

"Here, Mr. Osipov, have a taste!"

Osipov took it, put it to his lips, and gulped it down... The fiery sensation stimulated his mouth and stomach. Not bad, this liquor is strong!

Yang Duo'er looked at him warmly: "This is not a one-off deal. I believe we will have a lot of cooperation in the future."

Setting down the bottle, Osipov burped and exhaled a breath of alcohol: "Good!"

This sentence is good; it means that the trade route between the East and Russia has been opened!

Currently, relations between the two sides have not yet normalized, but private business can already be conducted! For the Russians, this can make their market more abundant with goods, and the internal conflicts in Russia may be eased. If Russia collapses a few years later, it can buy more time for the East.

For our side, this means that more agricultural and light industrial products can be sold, which is also very beneficial to the economic development of the East. This is definitely a win-win situation.

Although Pacific Trading Company started with high-tech products, when it comes to business, of course, you should do business if there's something to make money.

The two held hands tightly.

Dongfang, Northwestern Polytechnical University, Department 4.

"Hmph, they're all a bunch of foreign-worshipping bastards!" Professor Yang said through gritted teeth.

The news of our development of a nine-axis five-linkage gantry CNC milling machine has been disclosed through authoritative domestic newspapers. Originally, we thought that domestic companies would rush to purchase it, but unexpectedly... there was no news about it domestically. Can't those large shipyards' supporting propeller factories see that their own technology is lagging behind?

Of course not, they did see it, but they just didn't want to buy equipment from their own country!

“Yes, this CNC milling machine is a prohibited item in COCOM. They don’t buy it domestically, and they can’t buy it internationally either!” The department head, who was also quite curious, said from the side.

"Whatever we have, foreign bans will be lifted. Now that we have this CNC milling machine, the international ban will be lifted soon, and shipyards will be able to purchase it from abroad." Professor Yang gritted his teeth. This is outrageous! Absolutely outrageous!
Just then, a voice rang out from outside: "Everyone, what happened that made you so angry?"

"Liangzi, you've finally arrived!" Professor Yang exclaimed, his face full of annoyance. "Right now, we don't have a single order for CNC milling machines. Those domestic companies are really..."

No orders, no R&D funding!
"Well, let those domestic companies be humiliated," Qin Liang said. "I just received news from Europe that a mysterious client has ordered four nine-axis, five-linkage CNC machine tools from us, at five million US dollars each."

Everyone was excited.

Four units, twenty million US dollars! That's more than enough to cover R&D and manufacturing costs! When it really matters, we still need Qin Liang's help!

"Liangzi, thank you!"

"You're welcome," Qin Liang said. "Now that we have the orders, let's hurry up with the research and development. If no domestic customers come to purchase, we'll open our own propeller manufacturing plant and make a lot of money in the future. We can make those foreign-worshipping, complacent companies go bankrupt."

"That's right, they want to buy, but we can't sell to them at a low price. We have to offer the same price as international prices! The performance of our products is definitely no worse than that of foreign products!"

 PS: The picture shows an 8-axis 5-linkage gantry milling machining center from Waldrich Coburg, Germany.

  
 
(End of this chapter)

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