The rise of a great power: starting with military industry

Chapter 60: The clarion call for military-civilian transition
At the beginning of the year, according to data released by the newly established State Administration of Foreign Exchange, foreign exchange reserves were only US$1.83 million!
The entire country's foreign exchange reserves are only 1.83 million US dollars!
Moreover, foreign exchange reserves include not only US dollars, but also British pounds, Hong Kong dollars, francs, German marks, rubles, etc.!
Those who actually hold US dollars probably don't even have US$3000 million in foreign exchange reserves.

Foreign affairs departments in embassies and consulates in various countries overseas, including the United Nations, all need to use foreign exchange, especially the US dollar.

Not to mention, the reform and opening-up policy made at the end of last year has required all fields and units to use a large amount of foreign exchange to purchase books, study abroad, purchase advanced machines, etc.

2467 million US dollars. If given to Liu Tao, Liu Tao will be able to get about 7000 million RMB.

But Wang Baoguo's request meant that he could only get 3700 million yuan.

And since Wang Baoguo has spoken, it means that this is not just Wang Baoguo's opinion, but the opinion of the entire Fifth Ministry of Machine Building.

The first level of officialdom crushes people to death!

What's more, Wang Baoguo is seven levels higher than him in terms of administrative level!
If it is considered as a general statement, it is also a three-level official.

The arm cannot bend the thigh!
Liu Tao could only comfort himself secretly that this was considered splitting the profits, almost half for each!
Otherwise, all the benefits would be taken by Panshan Machinery Factory. Why would the Fifth Ministry of Machine Building contribute?
Wang Baoguo was relieved to see Liu Tao agreed.

This is a young man who understands the overall situation!

"The matter you mentioned last time has been discussed in a meeting in the ministry. At the end of the year, a group of experts will be sent to the Panshan Machinery Factory for inspection. If it meets the requirements, it will be upgraded to a large military factory and directly under the ministry," said Wang Baoguo.

Liu Tao's eyes lit up.

If it can be upgraded to a large military factory, then this time it will not be a loss but a profit.

Although Panshan Machinery Factory was upgraded from a small and medium-sized military factory to a large military factory, the administrative level of the unit would not necessarily be upgraded, because the original administrative level of Panshan Machinery Factory would appear to be higher because of Wang Tiezhu.

However, although they are both department-level units, their administrative levels may be different!

It is entirely possible for his administrative level to be upgraded from level 13 to level 12.

Although this promotion only increases your salary by 18 yuan, you should know that it represents a very important step forward.

It has also become a large-scale military factory and is directly under the jurisdiction of the ministry. This also means that in the future, as long as the scale is reached, it will be much easier to upgrade the level of the factory.

If it belongs to the Yunnan Provincial National Defense Management Office, then the current administrative level has reached its limit, because the level of the Yunnan Provincial National Defense Management Office is there.

Wang Baoguo reminded Liu Tao, "Military-to-civilian conversion is the general trend. It is the result of the decision-makers' preemptive strategic response to the domestic and international situation."

The rumor of military-to-civilian transition has already started.

After 30 years of hard work since liberation, the current national defense industry has formed a relatively independent system with complete functions, supporting facilities, reasonable layout and a large team. This system has contributed to enhancing the comprehensive national strength of New China and defending New China.

However, as the decision-makers make new judgments on the historical trend, peace and development are the themes of the world. This also means that China's national strategic focus has shifted to construction. The national defense construction, which was previously in a wartime state, has correspondingly established new guidelines that obey the overall situation of national construction in the new era.

As a result, the huge national defense industry faced a very sharp contradiction: on the one hand, with the establishment of the national defense industrial system and the completion of the Third Front construction, military production capacity increased exponentially; on the other hand, military orders dropped sharply, and a serious imbalance appeared between production capacity and social demand.

It is for this reason that the decision-makers have formulated a policy of military-civilian integration for the national defense industry. Military-civilian integration requires the decomposition and reorganization of national defense production factors, striving to achieve effective allocation of resources. This includes five aspects, namely, the commercialization of material resources, the flexibility of equipment resources, and the diversification of technical resources!
Liu Tao naturally knew that this was the general trend, and he had also heard about some of the things.

In Yun Province, even though the "Red Dragon's Roar" ended not long ago, many national defense and military production tasks have dropped significantly, causing many military industries to be in the predicament of suspension or semi-suspension of production.

I don’t know how many factory directors went to Wang Tiezhu to complain every few days, either asking for production targets or funding.

Wang Tiezhu was so worried that he tentatively asked Liu Tao on the phone if he could take over a few more factories.

"The small and medium-sized factories in the third line were converted from military to civilian use and allocated to local industrial bureaus. This was too cruel and unfair to the military workers who worked so hard and struggled so hard back then!" Liu Tao showed a look of pity.

"There is no way. The military production tasks have dropped significantly and we can't support so many military enterprises." Wang Baoguo looked helpless.

In the past, we were aiming to play in the S3 season, so naturally we would do it at all costs.

After all, if it's not on the table, it will appear on the menu.

The losers in Season 3 will be dismembered and eaten by the winners until not even a bone is left.

It is different now. The decision-makers have judged that "peace and development are the themes of the world", so the focus will be shifted, and economic construction will be the center!

Wang Baoguo was promoted from the Yunnan Provincial Defense Management Office. In this position, he knew more about the plight of the third-line military-industrial enterprises and how huge the third-line military-industrial enterprises across the country were.

The defense management offices of various provinces often complained to the Fifth Ministry of Machine Building.

Military-to-civilian transition, just three short words, but they contain so much bitterness!

Liu Tao sighed. Reform and opening up is a historical trend. He also knows how great the economic achievements China has made after reform and opening up. However, behind this, a huge price has been paid.

This is not a situation where there are only advantages and no disadvantages, but the advantages outweigh the disadvantages.

"You have made an indispensable contribution to the current status of Panshan Machinery Factory. If it weren't for you, Panshan Machinery Factory would have to be converted from military to civilian use." Wang Baoguo said.

Because of the firearms and semi-automated bullet production lines developed by Liu Tao, there was no shortage of military supplies for their deployment, and there was no upper limit on the production task indicators of Panshan Machinery Factory. In addition, with this foreign trade order, Panshan Machinery Factory was doing quite well. At least, none of the military factories directly under the Fifth Ministry of Machine Building could compare with Panshan Machinery Factory.

The system formulated by Liu Tao also achieved good results in Panshan Machinery Factory and became a model for military industrial enterprises. The Fifth Ministry of Machine Building is summarizing, studying and promoting it.

"Leader, can Panshan Machinery Factory take into account some civilian fields?" Liu Tao asked: "If possible, it would be good to make profits in the civilian field and subsidize the military field."

There was anticipation in Liu Tao's eyes.

Military industry is one leg and civilian industry is the other leg.

Walking on one leg is always unstable; walking on two legs is stable.

(End of this chapter)