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1864 The battle for funding between military and civilian products

"These big guys are idle all day long. I didn't interfere with this, just to avoid suspicion. My father is busy all day long and can't see people, not for the base. If I really have selfish intentions, I will do some industry by myself, and my life will be nourishing."

Xie Kai was too lazy to pay attention to these people.

I'm full all day long.

"Of course there is no problem with us, otherwise we won't support you. No matter what the purpose of other units is, it is true that they want us to give more funds. So, now we are always pretending to be poor." Qi Zhiyuan saw Xie Kai getting angry and knew that they were a little too much.

This is not just as simple as it seems.

They are also testing Xie Kai.

As the first director with a higher priority than Yue Lin, Xie Jianguo never only cares about any military product project, and even suppresses investment in the military product field, and devotes all his energy to the development field of civilian product.

This made the others at the base a little nervous.

After all, Xie Kai secretly controlled the development of the entire base.

If Xie Kai’s real purpose is to lose the military product field and make every effort to develop the civilian product field, then the 404 base will be completely finished.

"Aren't we really poor? Most of the funds have been invested, which one doesn't need a large amount of money? If it is not converted into private goods, how can we get the funds in the future? Who can guarantee that we will always have sufficient funds? The cost of equipment development is the most difficult to recycle. The equipment sold to the troops is almost the cost price! The annual fiscal appropriation of the country does not even account for 5% of our annual scientific research funding!"

Xie Kai really finds it difficult to understand their mentality.

It is better to say that other units are worried that they will not engage in military products, but rather that they are worried within the base.

He could understand that according to the current operations, once the Minsheng Business Department had to break away from the 404 mastery, Yue Lin and others had no choice.

Cheng Rui, Xie Jianguo and others were all responsible for the field of folk products.

"Everyone has ignored a problem. Although it seems that the proportion of our investment in the field of military products has decreased, have you ever thought about how much scientific research investment has increased in the entire base every year? Not to mention anything else, just this year, the investment in scientific research has exceeded 3 billion, right? Indeed, the field of civil products accounts for about 50% of the investment due to the upgrading of Guoguang VCD and 691 factories..."

Xie Kai reminded everyone.

Investment in the field of military industry scientific research has increased to more than 1.5 billion yuan in one year.

This is not a small amount of money.

Everyone is focusing on the proportion of investment in military and civilian product scientific research, but they have never thought about how much investment the entire base has in a year.

Xie Kai said, and when a few people thought about it, it seemed that this was really the case.

If the military product revenue is based on revenue, if the orders that have not been delivered in the previous few years are abandoned, the new revenue will be almost zero, and investment can be made and it is still growing wildly.

After thinking about this, the faces of the few people suddenly became embarrassed.

"It's not that there is no revenue. The total amount of technology sold by technology consulting companies this year has exceeded 800 million, although most of them are shares..." Yue Lin argued.

Xie Kai glanced at him, "What about other income? Putting aside Factory 691, Factory 691 is now owned by the Civil Products Department. How many other military projects are not supported by the funds sold by the previous base?" Xie Kai asked Yue Lin, "It is difficult in this world that there is another Iraq-Iraq War, and there will be no Kuwait War."

In the Iran-Iraq War, the Kuwait War, the Red Flag Group is almost lucky to be able to sell those equipment.

The Persians were sanctioned, the silly and Damu was beaten to the point of losing money, and the oil could not be sold. It is no longer a realistic thing for Kuwait and Saudi Arabia to buy Chinese equipment when the US military is stationed in the Middle East in large quantities.

"In the future, in the international arms market, we may only have a small number of orders. Everyone knows what the situation in China is that the army has little funding, and it is basically the same every year. Even cheap equipment like the 359 tank can only be purchased for about 40 vehicles a year... After the source of military profits has been greatly reduced, where will the funds come from? Wait for the national fiscal appropriation? The autonomy and self-operation rights of the 404 project were not all for this? Everything we have worked for the development of military technology! What do you like in the future, don't involve me!"

Xie Kai is really annoyed.

He doesn't think these big guys don't understand.

I always have to say it myself.

Is this necessary?

In order to make the base run normally and no longer become a one-man show of anyone's own business, he operated this way.

Whether it is his previous behavior or Zheng Yucheng's way of making decisions by clapping his face, he develops in the early stages, and in order to make decisions faster and seize the initiative, there is no problem.

After all, in China, which has just been reformed and opened up, the market demand is almost blank. As long as you do it seriously, you can make money.

As time goes by, the market develops, and with more and more domestic opening up areas, more and more foreign investors enter China, and market elimination becomes more and more fierce.

You must adapt to the market.

Even if Xie Jianguo is not suitable for the development of Hongqi Group in the end, Xie Kai will suggest that he resign.

Xie Jianguo is not a person who is greedy for power. Now he is also learning to introduce professional managers to manage the enterprises under Hongqi Group.

Zheng Yucheng and others truly gave up their rights in order to adapt to market changes in the future.

But unexpectedly, this was the end.

"Don't be angry, we can't blame us for this. The base is so difficult now." Qi Zhiyuan and Bai Yanjun took the initiative to arrive at Xie Kai's house.

One person was carrying a bag of beef sauce and peanuts and other dishes, while one person was carrying two bottles of wine.

There are no people living in Xie Kai’s house, but there are still people who help clean it.

Otherwise, I would have to stay in a guesthouse when I came back.

"It's not easy, I know. But is it interesting now? Just keep your own position." Xie Kai said angrily.

Bai Yanjun arranged the beef and peanuts and other dishes. Seeing that Qi Zhiyuan was going to say something, he hurriedly stopped him with his eyes, looked at Xie Kai, and said, "We haven't drunk together for a long time, drink some."

After drinking a few glasses of wine, Bai Yanjun spoke, "You don't care much about the base's affairs. Now you don't even look at various investment plans of the base. I don't know the changes in the base in recent years. When you were doing this year's fiscal budget at the end of last year, your father used a veto power."

Xie Kai looked at him, his father had never said this.

No one told him the base either.

Even Zheng Yucheng and Wang Guilin have never mentioned it.

"This veto power rejected the establishment of all new military products projects, and also cut a large amount of new funds in the Super-7 projects and naval projects. Lian Yun-15 requested an increase in budget. According to the test flight mode plan of the Y-10, he also voted to veto it. You don't know about this, right?"

Xie Kai really doesn't know about this.

But he had reason to believe that his father was doing the right thing.

Otherwise, Zheng Yucheng and Wang Guilin would not have had nothing to do, and they would also help him invest in various private units in a crazy way.

"Actually, we can understand that the base's capital chain is already very dangerous now. However, investment in the field of civil goods..."

"What you are going to talk about is this? Uncle Qi, these things are considered by the base management committee." Xie Kai's attitude changed again.

He looks like he doesn't care about my affairs.

He understands what these people think.

It does not mean that he must support their ideas.

He said everything he should say.

At present, increasing investment in the field of military scientific research will become the last straw that will break the camel's back.

"The progress of the Y-15 and early warning aircraft has been affected. The Air Force has always hoped to speed up the progress..." Bai Yanjun was responsible for the Air Force equipment direction.

Use examples to tell Xie Kai’s current problem directly.

The budget cut has affected the progress of the project.

"Uncle Bai, do you think the budget will not be reduced. Even if the Air Force is based on the progress, can the Air Force pay the R&D costs in full? Or let's say in another way, how many aircraft are needed for the Air Force and how many aircraft can produce recover the investment in technology R&D? Should we continue to improve performance in the future?" Xie Kai asked Bai Yanjun calmly.

Bai Yanjun was speechless.

Where can the Air Force afford to have several aircraft?

At most one is equipped for combat testing and training of technical operators.

While the main combat equipment of the Air Force is still the J-7, J-8, and even these two fighter jets are not large, the introduction of the Su-27 consumes a lot of funds. Where can we support higher investment?

Qi Zhiyuan looked at Xie Kai and understood Xie Kai's thoughts.

This is the same as Xie Kai's suggestion that there is no need to worry about the research on naval equipment, and the research should be done slowly.

"Since the Air Force cannot support it, can we support it? The income from military equipment will become less and less. We cannot put down the research on the people's products from the source of profits and give priority to the development of military equipment! After development, the troops that lack money cannot afford it. Just like our 359 tank, if it were not for Pakistan's $50 million funding, even if we have the ability to integrate the top-level tank technology in the country, will we have funds? With the order of less than 40 vehicles per year, relying on the troops to order less than 40 vehicles per year?"

Bai Yanjun couldn't refute.

That's the truth.

They only pursue advanced performance, and whether there are large orders is not within their consideration.

That's how people who work on technology are.

"Will the Air Force increase its funds significantly in the short term?" Xie Kai asked Bai Yanjun.

The latter shook his head.

It's already very good if it's not cut.

The Ministry of Finance is eager to cut all military expenditures.

"So, since the Air Force cannot afford this price, what are the problems with researching technology slowly? Do you know why neither Lao Zheng nor Lao Wang interfere? Many projects are still organized by them. Just because they know that if they continue to do this, they will spend a lot of funds on military product research. If the civil product loses competitiveness in the market, the capital chain will eventually break!"

Xie Kai has decided that this is the last time he will explain this matter.

With such a big country and so many capable people, they still have to give priority to the development of the economy.
Chapter completed!
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