The rise of a great power: starting with military industry

Chapter 813 Negotiation
The Chinese people only know that their own country is carrying out reform and opening up, and they think that China is the only country in the world that is carrying out reform and opening up.

Actually, it is not. Many countries around the world are carrying out reform and opening up.

It's just that some succeeded and some failed.

A country like China is undoubtedly a success.

Since the reform and opening up, China has achieved remarkable results and its overall national strength has been significantly enhanced.

A country like Tanzania, which has learned from China and strengthened its cooperative relationship with China, is already a leader in reform and opening up, even though Tanzania has encountered many problems in the process of reform and opening up.

But there is no doubt that Tassania is on the right track.

Hassan's visit to China this time includes not only the purchase of Type 054 frigates and loan construction of railways, but also other infrastructure projects.

Such as reservoir hydropower station!
Tanzania has abundant hydropower resources, and its main rivers include the Rufiji River (1400 km long), Pangani River, Rufu River, Wami River, etc. There are many lakes, and the three largest lakes in Africa, Lake Victoria, Lake Tanganyika and Lake Nyasa (Lake Malawi), are all on the Tanzanian border.

The entire Tanzania is very rich in hydropower resources, with a power generation potential of more than 4.78 million kilowatts.

Social and economic development requires Tanzania to have more water and electricity.

Even though Panshan Group has helped build reservoirs and hydropower stations in recent years, they are still not enough. Water and electricity shortages are very common in rural areas of Tasmania now, and water and electricity are only supplied to cities in limited quantities.

Tanzania alone does not have the funds or technology to build reservoirs and hydropower stations, let alone water pipelines and transmission networks.

Tanzania can also look to Europe and the United States, but the prices asked by Europe and the United States are much higher.

The best choice is to find Panshan Group.

Their previous cooperation was either that Tasnia provided loans and asked Panshan Group to build the project; or that Tasnia granted 99 years of operating rights in exchange for Panshan Group's investment in construction; or that they exchanged the mine for something else!
This time, Hassan adopted the second method, granting 99 years of operating rights in exchange for Panshan Group's investment in construction.

However, Hassan also put forward a condition, that is, they wanted 30% of the shares.

Liu Tao knew that the 30% shares did not belong to the Tazanian government, but to Hassan and his people personally.

Liu Tao couldn't help but look thoughtful.

In recent years, Tazania's reform and opening up has also given rise to a group of people who have become rich first, and this group of people are often those who hold power. For example, Hassan's family is currently ranked first in Tazania. It only took seven years for them to move from around 30th place in Tazania to first place.

The Hassan family's business involves energy, mines, ports, trade, media, banking, etc.

"30% of the shares is too much. You haven't contributed a penny. At most, I can give you 10% of the shares!" Liu Tao shook his head and said, "We need to invest a lot of money and a lot of technical manpower, and we have to take a very big risk."

"The Eagles and the polar bears have always been dissatisfied with our actions in Africa. They are not good at construction, but they are experts at destruction. Who knows, Tanzania may see earth-shaking changes someday." Liu Tao said.

Hassan said: "10% is too little. You know, there are many people who want to get a piece of the pie. 10% is not enough. It should be at least 25%!"

Naturally, Hassan's family would not take over all the shares here at once.

Hassan's behavior was too ugly, and he couldn't remain as stable as a rock. He would have been overthrown long ago.

He also has allies. When it comes to making money, he naturally has to work with his allies, so that his allies will support him more.

"15% is too risky. As you know, China is currently carrying out economic construction, which also requires a large amount of capital investment!" Liu Tao said, "Giving you too many shares, I might as well increase construction in our country. After all, we also lack construction funds."

Liu Tao did not lie to Hassan.

China has a vast territory, and the infrastructure it needs to build far exceeds that of Tanzania.

There are two expressways and three high-speed railways that Panshan Group invested 300 billion yuan to build, as well as national and local transportation systems, all of which require a lot of money.

Once large-scale infrastructure construction starts, it cannot be stopped.

Because once you stop, the losses will be huge.

The two sides negotiated and finally agreed on a figure of 20%.

By the time everything was settled, it was already very late.

Hassan did not stay at Liu Tao's place, but went to the Diaoyutai State Guesthouse. After he came to China, he was arranged to stay at the Diaoyutai State Guesthouse.

Diaoyutai State Guesthouse is also China's main accommodation for important foreign guests.

After seeing Hassan off, Liu Tao made some tea.

He is willing to increase investment in Tanzania. In addition to making Tanzania a model for cooperation in Africa, another reason is that this kind of investment is a sure win with huge benefits.

After it is completed, the investment will be recovered in a few years at most, and it will be profitable in the future.

After all, in Tanzania, unlike in China, electricity and water prices have guide prices and cannot be too high.

In Tanzania, these prices are left to market regulation.

Panshan Group owns almost the entire Tanzanian market and is in a monopoly position. It actually has the final say on pricing.

This is why Hassan and others want to get a piece of the pie, because there is huge profit margin here.

In addition to profit, another important reason is influence.

Railways, highways, reservoirs and hydropower stations all have huge social influence, which is the key to ensuring one's invincibility in Tanzania.

In addition to having mercenaries as armed protection, the most important thing is the influence in all walks of life.

A country like Tanzania, with a territory of 94.51 square kilometers, a coastline of 840 kilometers, a population of nearly 3000 million, and rich natural resources, has a very large market.

In recent years, Panshan Group has used Tanzania as its base in Africa to develop and expand in other areas.

The better Tanzania develops, the more beneficial it will be to Panshan Group's development in Africa.

Tanzania and Djibouti are the two major strategic support points of Panshan Group in Africa.

Tanzania concerns the interests of Central and Southern Africa.

Djibouti, due to its important geographical location, is directly at the throat of the Red Sea and can provide supplies for warships.

As for the others, they are pioneering, but their importance is not as great as that of Tanzania and Djibouti.

As for the Middle East, Panshan Group now has a great influence in the Middle East. It can be said that almost all parties will give it some face, and the cooperation between the two sides in the economic and trade fields is becoming increasingly close.

The largest customer of Panshan Group's weapons and equipment is also from the Middle East. In the civilian field, the Middle East is also a large market.

For China, the Middle East is a matter of energy security, and its importance is self-evident.

On the contrary, in Europe and North America, there are more economic, trade, educational and cultural exchanges.

(End of this chapter)