Chinese Manufacturing Machinery And The World (2)

Bozidar Miljovski, Photo: Archive

Northern Macedonia as an economic potential can not influence world developments, but must find a place where it will be located. Since Macedonia is on the CPM South Stream route, in my study I proposed a complete CPM regional center in Macedonia for the countries in the region.

The products of the Chinese Manufacturing Machinery (CPM) for various destinations are transported in an acceptable way to the country. The annual installment of products for various areas are as follows: to the US from 400-500 billion per year; to the Far East and South America 350-450 billion and Europe and Africa 400-500 billion per year. Since 1992, when US companies began moving to China, first from Japan, then from the Philippines, Malaysia and other East Asian countries, exports have been growing year by year, now reaching about $ 500 billion, while US imports in China is only 150 billion.

Exports to the United States are mainly in coordination with American companies in China, in fact they are products of American companies in China. I was in the United States three years ago, I went to all the stores looking for a product that said "Made in USA," but they all said "Made in China," so President Biden is right when he asked for products to be made in the United States. China's exports to the United States were later transformed into a loan, which is why Obama said the United States lived on a Chinese credit card. In any case, the political and economic relations between the United States and China are very complex and difficult to define, which is why a Western commentator said: "China and the United States are always arguing, but they know that they can not do without each other."

 

Far East and South America

 

The CPM's local exports to the nearby countries of Burma, Thailand, Vietnam and Australia are around 150 billion, while for imports we have information only from Australia for permanent imports of iron ore. Exports to South America are divided into the western hemisphere: Colombia, Peru, Chile and Argentina, and eastern Brazil. There is no clear statistical information for this area, so what I give is based on a rough estimate. We will focus more on Europe and Africa, on the Piraeus, Mediterranean and South Stream to Europe project. With the creation of the Chinese CPM and its growth, the thought of conquering both the world and European markets began. Studies on the European market began in 2012, and then examined the option of Chinese exports of 350 billion a year going through the northern ports of Answer, Amsterdam, Hamburg, Rotterdam and others. Exhaustive analysis has shown that these ports are overcrowded, as well as access roads, that the arrival of an additional 350 billion products would wreak havoc in this part of Europe and they decided to abandon that option. I think that project was abandoned when they realized that Chinese goods would be difficult to sell in Northern Europe, which has a refined taste for quality products. They opted for a Mediterranean approach and promoted the Piraeus project.

In 1916, the Chinese container company COSCO, under the authority of the Chinese government, bought or leased the Greek port of Piraeus and spent about $ 20 billion, according to some reports and $ 10 billion. It was conditioned that the port be deepened for gas on ships from 20 m and the largest container distribution center in Europe be built, thus marking the entire Piraeus project, which is a technological unit for the supply, transhipment, distribution and transport of 500 billion products to Europe. and for Africa. Last year, European tour leader Ji Pin promoted the "Silk Road" as a symbol of the arrival of Chinese products in Europe, even advocating the construction of a railway, but it all remains an idea. It is certain that China is reconstructing the Russian Trans-Siberian Railway, which can transport goods to Russia and Eastern Europe. It is safe for the next 20-30 years and the weed line for carrying Chinese goods. Under the project, the products would arrive in Piraeus on a shuttle container ship, carrying up to 6.000 containers from Shanghai. According to Chinese beliefs, "goods for Europe will be priceless or very low-cost to transport", and the port is divided into two parts, one with gas 20 m, where large shuttle ships come and another with gas up to 10 m, for distribution by ships across the Mediterranean.

The $ 400 billion product is divided into $ 200 billion for CPM Mediterranean flow, reloaded on small ships and sailed to the Black Sea, the Aegean, the Adriatic and the Mediterranean. The other 200 billion are unloaded in the container depot from where they are loaded on railway wagons and travel to Macedonia, Serbia, Hungary to Central Europe and that is the South Stream of the CPM. Thus, 400 billion go to the countries of the Mediterranean and Central Europe. The other 100 billion is for the future or for increased demand.

When this process was clear I wrote the South Stream Study of Chinese Manufacturing Machinery. In it I envisage in Macedonia a Regional Center of the CPM, which would cover the region: Bulgaria and Southern Serbia to Nis, then Macedonia and Northern Greece to Thessaloniki, then Kosovo, Albania, Montenegro and Sandzak, in other words the region becomes the center of the CPM .

 

Manner and range of sales

 

Sales of Chinese products now go online, through Alibaba, and through the "Eyes of Trade in China, Hong Kong and Taiwan," home to a large number of export-import companies. Roughly, Chinese exports are moving into consumer goods and equipment for industry and other industries. China's Silica Valley Electronic Park in Shanghai has not yet launched commercial "hight" electronics. The industrial equipment is in equipment: for exploitation of non-metals, for production of construction materials, for construction - civil engineering, civil engineering, hydro construction and geotechnics, for agriculture, gardening and forestry, for mining and ends with metallurgical equipment. All the equipment is significantly cheaper than the western one, it is rougher, but it is efficient. Let me give an example. One of our producers requested an offer for a crusher from a Norwegian company and a Finnish one. One gave a price of 310 and the other 000 euros. According to the same specification, the Chinese offer was 305.000 euros. When our customer complained to the Chinese about the poorer quality, he succinctly replied: "For the same money you get three", which said everything.

One of the big problems of such robust productive economies is the decline in market purchasing power and the accumulation of stocks. Many companies in China now have no storage space; CPM has not been on the market for a long time and has no experience. There are several solutions. The first is the sale of equipment with an interest-free loan, which China uses - three banks are authorized to provide such loans to stimulate exports. The second way is leasing equipment, but this procedure requires a long preparation. Leasing centers are local, regional, state-level centers, centers for dedicated projects and leasing equipment with operators. Usually leasing centers are combined with an information and sales center, with services for maintenance of the sold equipment and with the consignment of spare parts. In my study, I proposed, within the CPM South Stream project, such a regional center in Macedonia.

 

Small business in the world based on CPM

 

Small business is very widespread in the world - in Europe and the United States it is more than 50% of the total economy. If we look at how it works, it will be clear to us why it is most present in developed countries and centers. These are companies with less than 50 employees and their product is almost always below 50% of their own parts, and the others are from subcontractors. Assembly parts are often carried by courier or delivered overnight. It follows that the small business can develop and exist where there is a network of specialized manufacturers of parts supplied by companies, which can be called assemblers of equipment.

Following this process of operation of the small economy, I am free to propose the creation of a world small economy based on the CPM. Imagine CPM investing $ 100 billion in a chain of thousands of warehouses full of CPM-manufactured parts controlled by a robust computer center. In this way they will cover the world and enable the creation of millions of companies that will produce small equipment. What does such a project enable? It integrates the world into a joint venture, not transporting equipment from China, but crates of parts, achieving an international division of products and labor leading to huge employment worldwide. Turkey imports semi-finished products and parts from China for 5 billion and has developed a small economy. Greece followed this path, and more recently Italy - these are the beginnings of the small economy, which I have been proposing for a long time.

 

MN: Megaprojects in the world

 

- Expansion of the Suez Canal two-way and with more gas.

- Connecting North Africa and Europe, ie bridging Gibraltar.

- Connecting Asia and America near Alaska, ie bridging the Bering Strait.

- The earth 2/3 is water, 1/3 is earth, of this 1/3 earth -1/3 are wetlands and peatlands, which means 1/9 or 10% of the earth's crust is not used for either processing or construction and the world must find technologies to make these surfaces useful.

- Urban projects with railways in the cities. 150 years ago, when railroads were built, the main station was built in the cities of Europe and America. It's a big business (I was working on a project like this in Los Angeles, USA - 18 km from the Alamanda Corridor)

- The Sahara lies on a huge underground lake, it can become the largest granary in the world. Gaddafi started this project, but it remained unrealized, he stopped it.

- Solar panels and wind farms as renewable energy can become major energy producers in oil and gas producing countries. The economic price for oil exploitation is $ 30 per barrel, and for shale oil $ 69 per barrel. Now, when oil and gas prices are high, renewable energy is being invested, and when prices fall, renewable energy will replace oil.

- There are many other projects - such as the use of lava as an energy source, etc.

I am finishing this list of ideas for megaprojects, and maybe CPM will find interest in participating in the financial "Srplast" to participate as a co-financier and as a participant in the construction.

 

Macedonia and world economic developments

 

Northern Macedonia as an economic potential can not influence world developments, but must find a place where it will be located. Yomo Kenya had a saying: When elephants fight, ants and grass suffer. It takes a lot of skill to know where and how to position ourselves, understandably considering how to benefit. If we look at geography and traffic, Northern Macedonia is located in the center of the region - Bulgaria, Southern Serbia to Nis, Northern Greece to Thessaloniki, Kosovo, Albania, Montenegro and Sandzak. These countries together have 16 million and are a small market. Since Macedonia is on the CPM South Stream route, in my study I proposed a complete CPM regional center in Macedonia for the countries in the region. This center would be an extended arm of the CPM and would have an information, sales, leasing center for service equipment, would have a container acceptance and distribution service, a service for filling return containers from the region and Europe with goods for China, a large warehouse for parts of the new small business that would develop in the region.

We have already started creating a database for non-metals, minerals and metals in Macedonia and the region with a Chinese company specializing in raw material bases. The existing mines and smelters in the region would be important, which could be of interest to the CPM, as well as a financial group to support and lend to the sale and purchase of certain companies for the needs of the CPM. To conclude with the statement: If Turkey can be included in the flow of Chinese manufacturing machinery, so can we with the whole region.

(End)

(The language in which they are written as well as the views expressed in the column "Columns" are not views and reflections of the editorial policy of "Free Press")

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