Reborn in Hong Kong: The Tycoon Grows Up

Chapter 298 Vale Corporation

After arranging matters in Australia, Bao Zixuan and Wu Guangzheng took a special plane to Brazil. They are going to negotiate, to be precise, to make new preparations for themselves. Not being able to put eggs in one basket is something that all businessmen do. Although there is a contract with BHP Billiton and Northern Mining Company, we still need to purchase from multiple parties. The current price of iron ore is cheap, and only Bao Zixuan knows the future price, so he makes plans in advance.

Brazil's Vale SA is the world's largest producer and exporter of iron ore and the largest mining company in the American continent. It is known as Brazil's "crown jewel" and "the engine of the Amazon."

The Brazilian company Vale is referred to as Vale, and its trademark is VALE. Vale Brazil was founded on June 1, 1942. Vale's iron ore production accounts for 80% of Brazil's total production.

Vale Brazil's mineral mining development plan is global, including: mining coal, bauxite, copper, iron and diamonds in Venezuela; mining aluminum and copper in Peru; mining aluminum and copper in Chile; mining potassium, aluminum in Argentina and copper; manganese is mined in Gabon; coal, aluminum and copper are mined in Mozambique; diamonds, aluminum, copper, potassium and iron are mined in Angola; aluminum, copper, nickel, platinum group minerals are mined in Brazil; manganese, diamonds, kaolin and Bauxite; Aluminum, copper and coal mined in Mongolia; Coal, copper, aluminum and bauxite mined in China.

It can be said that if you want to buy iron ore in Brazil or even all of South America, it is impossible to bypass this company, but thinking about the political situation in Brazil, Bao Zixuan is also very worried. There was no choice but to send all the security guards in the United States and hire a large number of peripheral personnel locally. At the same time, the Brazilian government and Vale also attach great importance to it. If a world-renowned rich man encounters an accident during negotiations in Brazil, who else will dare to invest and negotiate with you in the future. After all, life cannot be guaranteed, so the blow to the entire Brazil and Vale will definitely be huge.

Before Bao Zixuan arrived in Brazil, security work had already begun. However, he is making a fuss this time. Currently, Brazil is relatively chaotic only in slums and places frequented by gangs. Public security in other places is pretty good.

Bao Zixuan received a warm welcome in Rio de Janeiro. This welcome ceremony was no less than the arrival of a head of state. After all, the news that this young rich man in Australia has spent so much money has spread all over the world, making many countries with less developed economies look at the richest man like the God of Wealth.

Australia has mineral resources and a good agricultural foundation. Brazil is definitely not bad in this regard, with high-quality minerals and a large number of pastures and farms.

And Brazil also has a larger demographic dividend than Australia, which is also a huge market. Arriving at Vale's headquarters, company chairman Valene Dida personally received him. Dida, who is only 43 years old this year, is the golden age of a man.

Valene Dida said: "Welcome Mr. Bao and Mr. Wu to Brazil, to Vale. The environment here is very beautiful, you can take a stroll in your spare time. We will make the necessary arrangements, please rest assured .”

Bao Zixuan: "Thank you Mr. Dida for your kindness. I think I will. I personally like to play football, but my skills are not good. Coming to the Football Kingdom today can be regarded as fulfilling one of my childhood dreams."

Bao Zixuan knew that Valene Dida was a football player and later came to work in Vale because of family connections. At this time, it is just to find a common topic and has no other meaning.

Valene Dida: "It seems that we have a common hobby. If it weren't for family opposition, I think I would be on the Brazilian World Cup roster. But now it is also a pleasure to watch the previous juniors galloping on the court."

Bao Zixuan: "As far as I know, it is not easy to get into the Brazilian national team. It should be even more difficult than getting admitted to one of the best universities in the world; it seems that Mr. Dida's skills are good. "

Valene Dida: "That's all old history, but this time you bought so much iron ore and minerals in Australia, why do you still want to come and cooperate with Vale?"

Vale was very excited when Bao Zixuan came over to discuss mining matters. After all, the mining industry as a whole was not in good shape. But after seeing so many things purchased in Australia, I felt like I was kidding myself. Otherwise, how could he come to Brazil? However, after receiving the news that Bao Zixuan was really coming, he was a little undecided. After all, a super rich man didn't have time to do things that had nothing to do with interests. Now we can only take one step at a time and see what we can do.

Bao Zixuan: "We Xiangjiang people never put our eggs in one basket when doing business. We buy all the mining industry in Australia. If there is any change there, I will suffer heavy losses. After all, I am unprepared; similarly, we will not do everything." Buy in Brazil. Although this increases operating costs, it can control the risk to a certain extent.”

After hearing what Bao Zixuan said, everyone in Vale Company understood what was going on. If you can't put your eggs in one basket, does that mean you can't just engage in one industry? Just like this time when iron ore sales fell, they were very passive.

Valene Dida: "As far as I know, the quantity purchased by Mr. Bao in Australia can already meet the market demand. Why should he continue to buy in Brazil? Even if you can't put your eggs in one basket, you can't put them in one basket." Don’t go down!”

Bao Zixuan: "That's because I think the market will recover and will not stay depressed forever. And developing countries such as China and Brazil need a lot of infrastructure. Steel is needed to build docks, build roads and bridges, and build houses. Steel is also used, do you think we can live without steel! Unless we all enter a primitive society and live with stone tools. I also have a company that operates a dock, and I can't let my employees be too idle."

"You should already know about our contract with BHP Billiton. I just want the same treatment. I like to do business for a long time, so that we can develop together and help each other when we encounter difficulties."

Valene Dida: "You convinced me. When I came here to negotiate, I was still thinking about what kind of person you are. Vale also needs long-term partners. I think we have many similar business philosophy. Where everyone can develop together.”

The reason why the negotiations went so smoothly is because a lot of preparations and foreshadowing were done in the early stage, and because BHP Billiton, Northern Mining, and Vale are all in a difficult period now. The oil crisis has caused a massive shipping surplus, and the shipbuilding industry is a large consumer of steel. The automobile industry and infrastructure industry are not doing very well either, which all determine the price of the steel market.

After reaching a consensus, Bao Zixuan also wanted to give the other party a gift. After all, he agreed to his conditions so readily and also made certain concessions in other aspects.

Bao Zixuan said: "I still have something to ask you for help with, I don't know if it's convenient!"

Valene Dida smiled and said: "If you have any questions, please ask directly. I will never postpone it if I can do it."

Bao Zixuan: "Heiyun Motors is preparing to build a new factory in South America. After all, labor costs in the United States and Europe are very high now. The labor force in Brazil is almost negligible in front of a car. The factory I am building in Brazil this time is mainly Export to other countries in South America and Europe, such as Portugal, Spain and other countries. At the same time, we also hope that Vale can supply us with enough steel for automobile production, and cooperation must be all-round."

Brazil and Portugal have many tariff reductions and exemptions, and they are not very far apart. Although Vale mainly exports iron ore, it also owns a large number of steel companies in Brazil.

Valene Dida was very happy when he heard this. Was he asking himself to help? This is simply giving yourself favors and business. So he finally said without hesitation: "There is no problem with this. My cousin works in the Ministry of Industry. I will make an appointment with him and arrange for you to meet as soon as possible."

Bao Zixuan: "Okay, as long as we reach an agreement, Heiyun Motors can immediately arrange for engineers to come over to design the factory, or start production one day earlier. After all, the earlier it is completed, the earlier it will make money."

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