"The price we can accept is 5,000 yuan per kilowatt."

Wang Dongfeng revealed the answer to Heinzel, but this offer immediately made Heinzel collapse.

"It is absolutely impossible to 5,000 yuan per kilowatt!" Heinzel shouted out in a lost voice, completely missing the reserved expression he had just pretended to be. "Mr. Wang, we came with sincerity. I hope your company can also come with sincerity."

Wang Dongfeng smiled faintly and said, "Mr. Heinzel, why do you think we are not sincere? If we are not sincere, will I reveal our reserve price to you?"

"The lowest price? Do you say 5,000 yuan per kilowatt is your lowest price?" Heinzel looked at Wang Dongfeng's face seriously, trying to find a little flaw. But Wang Dongfeng's expression was so calm that he could not tell at all that he was lying.

"Mr. Wang, I think the price of 5,000 yuan per kilowatt is too low. I think there will be no company in this world that can provide fans at such a price." Heinzel's deputy Chupp reminded timidly.

Wang Dongfeng said: "On the contrary, in the past two weeks, three companies have come to quote us. The highest price among them is 5,400 yuan per kilowatt and the lowest is 4,800 yuan."

"Can you tell me which three companies it is?" Qiu Pu asked subconsciously.

Wang Dongfeng smiled: "Mr. Qiu Pu, your request is a bit difficult. However, if you are willing to inquire, I think it should be easy to inquire. These three companies are the top fan companies in China.... This range is not large."

"This is completely impossible!" Heinzel still insisted on his opinion, but his tone had already hesitated. Wang Dongfeng said this level, it was probably a bit authentic. After all, as Wang Dongfeng said, this circle is not very big. If Heinzel and the others want to inquire, they can always find out.

"According to our understanding, just three months ago, the quotation of domestic fan units in China was above 6,500 yuan. Some of the domestic fans in China have relatively low prices, and are also at the level of 6,200 yuan, and there are some defects in quality. What is the reason that allows them to lower the price to the level of 5,000 yuan in such a short time?" Heinzel asked.

Wang Dongfeng said: "If you want to talk about this, you have to thank your European friends. I have inquired that it was the European friend who asked the China Development and Reform Commission to cancel the regulation that the localization rate of fans must reach 50%. In this way, without administrative protection, Chinese fan companies can only lower prices to protect the market. These fan companies used to make a lot of money by relying on national policies. Now they have lowered prices, but in fact they have only made some excess profits. I believe that even at the current price, they still have high profits."

"This is impossible!" Heinzel seemed to be saying this. He said: "Mr. Wang, our Pumai company has 60 years of experience in fan manufacturing. We can't understand the production cost of fans. Indeed, China's labor costs are lower than those of Europe, so the price of domestic fans in China is lower than that of European products. If you say that these Chinese companies can supply goods at a price of 6,500 yuan per kilowatt, or even as low as 6,000 yuan, I can believe it. But I absolutely don't believe it if they can supply goods at a price of 5,000 yuan, unless they would rather lose money."

Heinzel said this with evidence. Chinese products are generally lower than European and American products, which is the norm. The main reason is that China's labor costs are low. This reason determines that Chinese manufacturing has obvious cost advantages for labor-intensive products, but if it is a technology-intensive product, this cost advantage is not so obvious.

The manufacturing of fans involves many cutting-edge technologies and is a technology-intensive product. The fans produced by Chinese companies are only slightly lower than those produced by European countries, and there is not much price difference. Pumai's own fans cost about 7,000 yuan per kilowatt. Even if Chinese fans are a little cheaper, it is almost as low as 6,500 yuan. How can you quote a low price of 5,000 yuan?

"I don't know this." Wang Dongfeng shrugged his shoulders to show that he had no intention of discussing the issue in depth. He said to Heinzel: "Whether they make money or lose money, as an investment company, we will only choose the most cost-effective products. The quality of Chinese domestic fans is slightly worse than that of European products, and they work longer than European products without problems, but if their prices are 30% lower than you, I think we have no reason to refuse."

"This..." Heinzel was speechless. The Chinese government canceled the domestic production rate requirement, but if investment companies were unwilling to accept European products, what would they do? If the reason for these investment companies was to support domestic products, Heinzel could try to find the EU to stand up and say that the Chinese government was slanderous and interfered with economic activities. Now the reason is that European products are too expensive, but in fact their own prices are indeed 40% higher than that of Chinese domestic products. So what's wrong with investment companies choosing cheap products?

"We need to know more about this issue. Can Mr. Wang give us some more time? I think we will give Mr. Wang a satisfactory price," Heinzel said.

Wang Dongfeng nodded and said, "Okay, I can give you some more time so that you can adjust your price strategy. As for me, I still prefer Pumai products. Of course, the premise is that your prices are not so obvious from other companies."

"Thank you Mr. Wang for your understanding. We will give the price again as soon as possible." Heinzel thanked Wang Dongfeng and hurriedly left Dongfang Jialai Company with Qiu Pu.

After seeing off Heinzel, Wang Dongfeng returned to his office, picked up the phone and called his old friend Li Song, deputy general manager of Lin Chong Wind Energy Technology Company.

"Mr. Li, Pumai's people have come. I said it according to the quote you gave me, and I scared the German devil at that time." Wang Dongfeng said with a smile on the phone. He forgot that when he first heard the quote from Lin Chongfeng Energy Company, he was so scared that he almost fell into a fright.

As Heinzel said, just three months ago, the price of domestic fans was still above 6,500 yuan per kilowatt, and the price of imported fans was as high as 7,500 to 8,000 yuan per kilowatt. However, after the National Development and Reform Commission issued a notice to cancel the requirement for the localization rate of fans, Wang Dongfeng received a call from several domestic fan companies and directly reduced the price of fans to around 5,000 yuan per kilowatt, which made Wang Dongfeng feel both happy and shocked.

In the middle of the investment in wind farms, 70% of the cost is used to purchase fans. The decrease in the fan price means that the construction cost of the wind farm can be greatly reduced. For Tagou Wind Farm, the installed capacity of 120 megawatts, that is, 120 kilowatts, and the price of a fan per kilowatt is reduced by 1,000 yuan, which can save investors 120 million yuan in funds. This is not a small amount.

In the projects he invested in before, Wang Dongfeng had to negotiate with the fan companies for a long time on price issues. During this period, he was fighting wits and courage. The price reduction rate that he could negotiate was only a few dozen yuan per kilowatt. Wang Dongfeng had also visited those fan companies and learned about their production costs. He knew that the quotes of most fan companies actually did not have too many false heads, and some quotes were even at losses.

But things are so evil. When 6,500 yuan may lose money, the fan companies can actually reduce the price to 5,000 yuan at once. Doesn’t this mean that every 1,500 yuan produced for fans will lose 1,500 yuan? What makes these fan companies reduce prices so wildly?

Li Song and Wang Dongfeng from Lin Chongfeng Energy met in previous cooperation. Perhaps because of their right temper, the two soon became friends and drank together seven or eight times. When Wang Dongfeng raised his questions to Li Song, Li Song just laughed and refused to reveal the truth. He just told Wang Dongfeng that if there were any European companies to contact business, they would report this price to them to see if European companies would accept it.

"Pumai people said that they think the price of 5,000 yuan is impossible to achieve no matter what. I guess they will investigate your production costs next. If you sell at a loss, they can accuse you of malicious competition." Wang Dongfeng reminded Li Song with kindness.

Li Song said: "If they want to investigate, just do it. Our cost can be made completely public. We still have a profit at a price of 5,000 yuan per kilowatt. If they are not convinced, they will give us the things to make."

"What, you still have a profit? Well, you have to lower the price for us in the future." Wang Dongfeng said half-jokingly and half-seriously.

"Go to yours. I'm so cheap, I'm still acting like a good person here." Li Song rebuked unangrily.

"Haha, this is what you said, why did you deny it in a blink of an eye!" Wang Dongfeng laughed, but did not mention this anymore. He also runs a business, so how could he not make any profit?

"By the way, Mr. Li, if Pumai also lowers the price and reduces their product price to 5,000 yuan per kilowatt, what do you plan to do?" Wang Dongfeng laughed and thought of a new question, which also needs to be communicated with Li Song. Although the National Development and Reform Commission has cancelled the domestic production rate requirement, it still encourages wind farms to use domestic fans. When domestic fans have obvious price advantages, Wang Dongfeng will of course choose domestic products, but if European fans and domestic fans start a price war, Wang Dongfeng will not be able to take the lead.
Chapter completed!