Chapter 504: The Impact of Subsequent Developments
At the same time, the West German government, under Yang Zhen's blackmail rather than a request, also adopted the method of half-aid, half-sale, and assisted the Chinese government in building a new large-scale automobile factory in Hubei and renovating an automobile factory in Chongqing at a very low price. and the construction of a large diesel engine manufacturing plant in Jinan and Xi'an, and a modern shipyard in Huludao.
And using the latest smelting technology and equipment of the German Thyssen Iron and Steel Company, the new Wuhan Iron and Steel Company was completely renovated on the basis of the original Hanyang Iron and Steel Plant, the Baotou Iron and Steel Plant was expanded and renovated, and the Jiangnan Shipyard in Shanghai was renovated. This makes Shanghai and Dalian, which was built using Japanese technology, the two largest shipyards in China.
As well as the establishment of two generator manufacturing plants, and the introduction of three car production lines with an annual output of 800,000 units. A new super-large modern steel base with an annual steel output of more than one million tons has been built in Ma'anshan. A large-scale modern machine tool factory was built in Shenyang, as well as a mining machinery factory.
A large-scale production plant for electric locomotives and internal combustion engines was established in Zhuzhou. Two large-scale electronic factories were established in Mianyang, Sichuan Province and Nanjing, Jiangsu Province, and three complete sets of black and white TV production lines and two refrigerator production lines were sold. and color television technology, which has just begun to be developed in the West and has not yet been popularized on a large scale.
Of course, it is impossible for the Germans to pay for all the equipment in these factories. A considerable number of them were purchased by the Chinese government at the time with cash exchange. Among them, the electronic equipment and components production plant, as well as the optical equipment production plant, Jinan Diesel Engine Factory and Zhuzhou Locomotive Factory, which mainly produce marine diesel engines, TV and refrigerator production lines.
There is also the Hubei Shiyan Automobile Factory, which is called the Third Automobile Factory, which specializes in the manufacture of large trucks, and the Fourth Automobile Factory, which mainly produces buses, cars, and off-road vehicles in Chongqing, and the Nanjing Automobile Factory and Shanghai Automobile Factory, which mainly produce cars.
All the equipment and some of the technology in these large factories were purchased by the Chinese government in cash dollars, and the Germans supported only some of the technology and production process standards. It's just that the selling price is not according to the market price, but equivalent to half selling and half giving away.
Although it paid a price that was almost unbearable for the Chinese economy at that time, a number of the latest Western industrial production technologies were introduced. In particular, a considerable part of the technology and equipment are strictly prohibited from being exported to China by Western countries led by the United States.
Through this transaction, China not only has access to a considerable part of the latest Western scientific and technological achievements, as well as the latest machinery and equipment, especially the stainless steel production technology and modern aluminum smelting technology that China urgently needs. At the same time, the construction and renovation of two large steel mills have made China's steel output already exceed that of the United Kingdom. And the quality and variety of the product are not comparable to the original.
Moreover, it has formed its own modern ultra-high-power marine diesel engine, ultra-high-power power generation equipment, large-tonnage truck manufacturing capacity, modern mining equipment production capacity and modern electronic industry production capacity. In particular, large-tonnage mine self-unloading heavy trucks have fundamentally solved China's demand for large-scale mineral vehicles.
Although for the sake of these factories and technologies, New China, which was still quite tight at the moment, paid the $350 million in cash that made the founding prime minister feel distressed and asked the then vice premier and director of the State Planning and Economic Commission, who was in charge of the economy to succeed Li Yanlu as chairman of the Northeast People's Government, and saddled him with a foreign debt of 500 million West German marks.
You must know that the $350 million in spot exchange used up almost all of China's foreign exchange reserves at that time. Even urgently sold a large number of gold reserves, which were not much, and only scraped together. With this money taken out, the country's foreign exchange reserves have almost bottomed out.
However, under the insistence of Yang Zhen and the support of the founding prime minister, who insisted on supporting his ideas and opinions despite his distress, he introduced industrial equipment and technology that China needed most, far more advanced than the American technology introduced during World War II and the Soviet technology introduced after the founding of the People's Republic of China.
By 1961, after all these factories were completed and put into operation, China's industrial level had suddenly increased for nearly 15 years. In particular, the Soviet-made submarine production technology that China secretly introduced before and the Japanese submarine production technology that was still at the level of World War II and the German submarine technology, which was much more advanced, have enabled China's submarine force to develop by a qualitative leap forward.
And completely solve the bottleneck in China's automobile engine manufacturing technology, changed the four major automobile factories in China at that time, and can only stay in the dilemma of the American Wanguo Truck, Dodge Truck, and Soviet Giss Truck in the 40s. There is no case in which an old emancipation has been used for decades.
And formed its own super-large off-road truck manufacturing capacity, to solve the dilemma of tank transport trucks and military large trailers, which can only spend high foreign exchange and rely on imports from France and the Soviet Union. China's automobile industry is no longer three old-fashioned medium-sized trucks, and one is still the situation where the old-fashioned large-tonnage trucks of the United States in World War II dominate the world. And formed its own car production and manufacturing capacity far beyond the Soviet Union, especially the design ability of engines and vehicles.
The formation of the manufacturing capacity of new marine diesel engines has also enabled New China to have its own modern production system for marine and vehicle diesel engines. It does not rely on the American diesel engine technology introduced during the Anti-Japanese War and the backward technology transferred by the Soviet Union. The construction of new warships in the navy and the transformation of existing warships have made a great development in the performance of Soviet and Japanese warships equipped by the Chinese navy.
And in the mid-sixties, the Germans introduced the latest British production and research technology to build their own ships and gas turbines for power generation. and Spey aero engine technology, the world's newest in the sixties, to create its own turbofan engine. Breaking the blockade of China's high-performance marine and aero engine technology by the Paris Coordinating Committee organized by the United States.
The most important thing is the introduction of German prisoners of war to participate in industrial production, as well as the successive introduction of German production technology and technology after the founding of the People's Republic of China, which has deeply imprinted China's industrial technology and process standards. The performance of the products produced is reliable, and the craftsmanship is not Soviet-style stupid, black and coarse, and can even be described as quite exquisite.
Tongguò has worked hard and even reached the standards of Germany's own manufactured products. By the end of the sixties, China's exports of manufactured industrial products accounted for half of its foreign trade. The goods available for export are not agricultural products and resources, but simple industrial goods.
High value-added products account for a considerable proportion of the manufactured goods exported. It has even exported a series of high value-added products such as large passenger aircraft, large ships, and large mountain machinery and equipment made entirely by itself. and household appliances such as televisions and refrigerators.
In addition, Yang Zhen withstood the accusations of the so-called bourgeois life style of a considerable part of the central leadership, and even came from the highest pressure. The introduction of three production lines can not only meet domestic needs, but also export a large number of products. These cars, which were produced and manufactured in accordance with German craftsmanship standards, were extremely popular abroad, especially in Eastern Europe and the Soviet Union, and earned China a lot of valuable foreign exchange.
Strict German-style production process standards, a large number of modern production technology and equipment, compared with the original industrial system that mostly stayed at the level of World War II, a more complete and modern industrial system, this is the priceless treasure left by Yang Zhen, then director of the Commission of Science, Technology and Industry for National Defense.
In fact, the reason why Yang Zhen's old partner who has been partnered in the Northeast for five years scolded his mother was not that he drained China's foreign exchange funds and saddled China with hundreds of millions of marks in foreign debt. The well-known economist in the party knows that there is no such thing as a free lunch in the world.
It is basically impossible to import the latest scientific and technological level from the West, as well as to introduce various industrial production equipment far superior to the technological level of the Soviet Union, and to empty the white wolf without paying a certain price. If you run out of foreign exchange, you can still accumulate, but if you miss this opportunity, you will never get it back.
The reason why the founding prime minister was distressed and the vice prime minister scolded his mother was that he believed that the country's financial resources were still very weak, and good steel should be spent on the cutting edge. It is not a problem to introduce the latest technology and production equipment from the West to fill the gap in domestic production. The cost of other aspects made the economic expert in the party feel that it was worth the money.
However, using the country's precious foreign exchange to introduce TV sets and refrigerator production lines that are not urgently needed in China, as well as car production lines that are not currently needed at all, in his opinion, this is a bit more than worth the loss. The cost of 20 million West German marks for the introduction of these things can be used to introduce a number of German technologies and new equipment.
Because in his opinion, the level of domestic economic development has not yet reached the consumption power of Western countries. Even if high-end items such as cars, televisions, and refrigerators are produced, sales will be greatly limited. If in order to equip the party and government organs, the current situation of relying on imports for official vehicles is solved, it will be obvious that Lang will be expensive. Ordinary people will also point to their backbones and curse.
If all are exported, will these things be able to compete with Western countries? Can it be competitive in the international market? Although automobiles have become popular in the West, they are still high-end consumer goods. Can these cars produced by themselves compete with those old capitalist industrial powers?
Yang Zhen did not explain too much about the various incomprehensions of the upper echelons of the party. Since this matter is entrusted to him, then he has the final decision. As for the effect, then you will know it when the product comes out. And he doesn't think that in the domestic market, there is no sales capacity.
At this time, the country had basically completed the construction of industrialization and the improvement of the education system, and the number of workers in the cities was quite large. Moreover, in order to raise funds for industrial development, it is not necessary to implement an economic policy of low income, low consumption, and high accumulation, as well as to implement a development model with poor ecological and rural scissors.
Coupled with the low, almost no-cost education and medical consumption, the purchasing power in the hands of the common people is far stronger than that of later generations. In particular, some high-level intellectuals in China, such as university professors and scientific research workers, who currently have relatively high incomes, do not really mean to afford a family car.
One is that the state imports a limited number of cars every year, and most of them are equipped with party and government organs as official cars and reception vehicles. I just want to buy it, and I don't have a place to buy it. The second point is that I am worried about being accused of detaching myself from the masses, relaxing my own ideological transformation, and pursuing enjoyment.
But this group of people with relatively high incomes and few children, and even those who don't want children, are not unable to afford to buy. There are also major cities, where taxis are not available at the moment. When people have urgent needs, such as sudden illness or childbirth, they can only use tricycles or bicycles. If your own unit has a car, that's better. If not, then you will be sinned.