life in the sky

VIP Two Thousand 430 Chapter Four Foreign Exchange Reserves

During the conversation with Yu Zedong, President of Grain and Oils Import and Export Group, although there was a small episode in the middle because of the issue of whether to import genetically modified soybean oil, but overall, it was relatively smooth. At least in the end, Yu Zedong expressed that he would resolutely implement the Guoxing's instructions, but the conversation with Jiang Haobai, director of the State Administration of Foreign Exchange, was not so pleasant.

"Comrade Haobai, the central government has decided to make great efforts to stabilize prices, and I will be personally responsible for this matter. After careful consideration, I plan to start with the vegetable oil that the people are most concerned about. I have already cooperated with Yu Zedong of the Grain and Oil Import and Export Group Comrades have talked about it, and I am looking for you today to hope that you can cooperate well with this operation."

Although the imported vegetable oil is under the control of the Grain and Oil Import and Export Group, the foreign exchange required is paid by the Foreign Exchange Administration.Ordinarily, it would be no problem for the grain and oil import and export company to contribute such a small amount of funds, but Mu Guoxing was not prepared to do so.His purpose is to gradually form a practice through this matter, so that when importing some materials that are closely related to Lao Baixin's life in the future, he will not use any market methods.

This is also the so-called unspoken rule in the officialdom. Once some things become a practice, as long as it does not violate the principle too much, other people will follow it.However, the beginning of this practice should not be too big, it must be controlled within a range that everyone can accept. After careful consideration, Guoxing decided to use this matter as a test to see the reactions from all sides.

It can be seen from this that it is not easy to accomplish something in the officialdom. Even though Mu Guoxing is now a member of the Politburo, he must consider other people when he is doing something. The idea that sometimes things are done too much will cause other people's resentment.

After decades of reform and opening up, the country now has a large amount of foreign exchange reserves. Instead of lending them to Western countries so that their people can enjoy life in front of consumption, it is better to take some out so that our people can also enjoy the fruits of reform and opening up.The country has become rich, but the lives of ordinary people have not been fundamentally improved. This is not necessarily the purpose of reform and opening up.

Jiang Haobai was also very puzzled, importing hundreds of thousands of tons of soybean oil, such a small amount of foreign exchange grain and oil import and export company can completely get it, so does it still need to use foreign exchange reserves?This is really a bit of an overkill.

Yesterday afternoon, the Administration of Foreign Exchange received an official letter from the Grain and Oils Import and Export Corporation requesting the allocation of US$100 billion. According to the materials, the current price of the highest quality soybean oil in the world is only US$ per ton. 50 tons of soybean oil is less than 100 billion U.S. dollars. Such a small amount of money is insignificant compared with our country's huge foreign exchange reserves.Besides, after the soybean oil is imported, it is not distributed for free. At the very least, the cost should be recovered, which is also very good for stabilizing prices and returning currency.

Jiang Haobai originally wanted to approve the foreign exchange at that time, but then thought, this matter is not that simple, there has never been such a precedent before, so he asked to report to Mu Guoxing face to face, the purpose of his coming I just want to find out about Mu Guoxing's details, why did he do this, and what is the purpose of doing this?

"Long, it stands to reason that the Administration of Foreign Exchange can get such a small amount of money, but it is still difficult for us now."

Mu Guoxing looked at Jiang Haobai calmly: "What is there to embarrass Comrade Haobai?"

"According to the usual practice, we should increase our holdings of some U.S. treasury bonds this month, at least not less than last month. If we take out [-] billion at once, we will not be able to complete the task, and it may affect our national relations with the United States."

Mu Guoxing smiled: "It seems that Comrade Haobai puts more emphasis on the national relationship between us and the United States than the interests of our common people. Let me ask you, when a person borrows money from a creditor, what will he do? What method to adopt? Is the creditor begging the creditor, or is the creditor insisting on lending money to the creditor with a smile on his face? This is obviously illogical.”

Jiang Haobai was taken aback. He could hear the dissatisfaction in Mu Guoxing's words, and after thinking for a while, he said, "Mr. Export trade will not be affected, or in other words, in order to maintain domestic stability, we must continue to purchase US treasury bonds, which we have been doing for more than ten years."

Mu Guoxing nodded. He knew that Jiang Haobai was telling the truth. As a doctor of economics, he also knew very well that our current approach was really helpless.

The purchased US treasury bonds are the country's foreign exchange reserves, and the foreign exchange reserves are accumulated from the trade surplus with the US.In the final analysis, the trade surplus is the purchase that my country owes to the United States. After my country sold goods to the United States, it did not buy back goods of equivalent value, which caused the surplus.

Therefore, this huge amount of US national debt is not so much that the US owes China money, but rather that China owes the US purchases.The United States would be more welcoming if China sold its bonds to cash and used the cash to buy American goods.The United States likes China to repay its debts in this way as soon as possible. The more the better, the problem is that we can't afford it at all.

After the bond is sold, the repayment right is in the hands of the buyer, and the holder can sell it at any time, and the US side cannot have any control.Our continued nonpayment and having to increase purchases is entirely our own fault.I would rather watch it depreciate than sell it, which is a state of "unable to repay the debt".What we can't afford to pay back is actually the huge trade debt owed to the United States.

This is because our economy is still in a sort of self-reliant infancy, heavily dependent on overseas feeding, mainly in the US market.It is also a well-known fact that my country must rely on its trade surplus with the United States and other countries to continue to maintain its economic "take-off".

For the sake of domestic stability, my country's economy needs to continue to "take off". Therefore, it is not only impossible to give up the trade surplus with the United States, but also to strive for more such surplus.The result will inevitably be to continue to keep the surplus abroad in the form of foreign exchange reserves, and of course the best form of retention is only US treasury bonds. Therefore, under the current situation, the scale of my country's holdings of US treasury bonds will continue to expand.This is the real reason why my country has a huge amount of US national debt.

This trade debt is the result of our country's active pursuit for decades.If there is no countermeasure from the United States and other countries, we will never repay the US trade debt easily.Huaxia is not only determined to continue to "debt", but will also pursue new debts.This is the most fundamental reason why the central government has been vigorously supporting the transformation of enterprises and stimulating domestic demand.Only when our domestic enterprises develop and grow, and the market is fully mature, can we reduce or even sell US debt.

However, there must be a degree of mastery in this. If one-sidedly achieves this goal and makes the domestic people suffer from high prices, this is obviously not in line with the original intention of the country to purchase US bonds.The purchase of U.S. debt is to protect our country’s enterprises, to be precise, for domestic stability, but the use of foreign exchange reserves to purchase living materials closely related to ordinary people is also for domestic stability, and there is no contradiction between the two.

This shows that some people still have misunderstandings in their thinking. One-sidedly believe that only by continuing to buy US treasury bonds can they protect domestic enterprises and stabilize domestic contradictions. This is to cover up another contradiction with one contradiction. questionable.

Mu Guoxing talked eloquently, and explained these principles to Jiang Haobai.Jiang Haobai also has a background in finance, and it's not that he hasn't thought about this issue.However, some people always believe that only by continuously buying US treasury bonds can the US prevent us from sanctioning us, so as to achieve the purpose of protecting domestic enterprises and stabilizing domestic order. These people are far from Mu Guoxing's long-term perspective and comprehensive consideration.

VIP Two Thousand 430 Chapter Five Additional Conditions

Jiang Haobai thinks what Mu Guoxing said is very reasonable, leaving aside the country's major strategic issues, domestic stability is the most important thing, and everything must be carried out around this point.Since the United States now desperately wants us to buy their goods, why can't we do the same?Presumably the U.S. government needs us to do the same now. Purchasing their products can not only increase jobs for them, but also enable the U.S. government to get actual benefits, and the people in our country will get benefits, and the country can return to the market. A large amount of cash will further stabilize prices, which is much better than simply buying US treasury bonds.

At this time, Jiang Haobai felt more and more that Mu Guoxing was not only a doctor of economics, but also a rare strategist. If he was in charge of the country's economic work in the future, our country would definitely develop better.

Now that the idea has reached an agreement, the next conversation will be much easier. Jiang Haobai, as if meeting a bosom friend, talked with Mu Guoxing about the problems in our country's foreign exchange reserves and the work that needs to be done in the foreign exchange field in the future. In-depth and extensive discussion, some issues Jiang Haobai has never thought about, this is much better than some people who only know what others say and follow blind instructions.

"Boss, I very much agree with your theoretical point of view. If our country's foreign exchange reserves had been managed in accordance with your opinions, I am afraid it would not be what it is now. Your instructions are very correct. We must grasp one thing when we do anything. I think our foreign exchange reserves should also be at a certain level. When I go back, I will organize a group of people to study and study your instruction today, and strive to come up with a set of practical plans by the end of this year and report the new The first session of the central leadership collectively approved the implementation."

Mu Guoxing smiled with satisfaction, he knew what Jiang Haobai meant by that.At present, the work on foreign exchange reserves can only continue in this way, especially at this sensitive moment, it is not easy to make major adjustments.The Administration of Foreign Exchange took this opportunity to conduct in-depth research on foreign exchange management, and make adjustments after a new generation of leaders takes office. By then, it will be a matter of course.

The Grain and Oils Import and Export Group issued a bidding notice to the international vegetable oil market for the purchase of high-quality vegetable oil. The additional clause is that the vegetable oil purchased this time does not contain genetically modified products.It was like stabbing a hornet's nest, and several major suppliers in the United States quickly fed back the news to the USDA.They think that China is a third world country, and it is good for the common people to have oil to eat. Besides, using genetically modified to control China's agriculture is their most fundamental purpose, and this time China only buys non-genetically modified edible oil. touched their fundamental interests.

After careful research, the U.S. government made a decision and sent Vice Minister of Agriculture Casey Berner to fly to Huaxia in person to negotiate with the Huaxia government on this matter and persuade the Huaxia government to give up this additional condition.

No. [-] also saw this document sent by the Ministry of Foreign Affairs. He is also consciously training Mu Guoxing now. After thinking about it, No. [-] approved a line on the document: Comrade Guoxing has full authority to handle this matter.

Mu Guoxing also laughed after seeing No. [-]'s instructions. He had long expected that the US government would intervene in this matter.Mu Guoxing just wanted to take advantage of the purchase of edible oil to test the attitude of the US government.If the U.S. government does not interfere with this transaction, it means that Iron Mountain and other U.S. companies are trying to control my country’s agricultural production. If they interfere, it proves that on the issue of genetically modified food, The U.S. government has political goals.

Two days later, Casey Berner came to Huaxia in a hurry. As soon as he got off the plane, he asked the Ministry of Foreign Affairs to see No. [-] through their country's embassy. Being responsible means that Casey Berner can only discuss this matter with Mu Guoxing this time.

The U.S. Embassy in China is a secure and state-of-the-art building.It is the second largest overseas construction project in the history of the US State Department.The complex covers 4 hectares and creates a safe and comfortable environment for approximately 95o employees.The new embassy represents the best level of modern American architecture. At the same time, its landscape design also draws heavily on Chinese design concepts.

The landscape design of the lotus pond and wooden bridge at the entrance of the embassy is not only pleasing to the eye, but also for safety reasons.Although the embassy was protected by a wall, according to the uniform design requirements of the US overseas embassies, the embassy building should have a buffer zone of at least 3 meters from the street outside the wall to avoid car bomb attacks on the street.Therefore, around the US embassy in China, you can see the isolation area covered by landscapes such as flowing water, wooden bridges, rockeries, flowers and bushes.

Among the hundreds of overseas embassies of the United States, the embassy in China ranks second in scale, second only to the diplomatic building of the United States in Baghdad.Walking through the embassy is like being in a garden in the south of the Yangtze River.A large black wall is called "Dragon Wall" by the Yankees, and a rockery is also named "Contemplation Stone" by them arty.Although the spectacular Western-style buildings are independent, they are connected by lotus ponds, rockery, small bridges, and bamboo forests, forming an interesting contrast.Next to the slim lotus, there are also colorful steel sculptures "tulips" in "blooming"

On the c floor of the embassy area, the eastmost room on the second floor is the office of Howard, the US ambassador to China.Looking at the frowning Casey Berner, Howard smiled: "Mr. Berner, you should be honored that China has sent Mr. Mu Guoxing, director of the Control Committee, to talk with you this time."

Casey Berner stroked the strand of brown hair on his head, stared at Howard with a pair of gray eyes, and asked a little puzzled: "Mr. Howard, I don't understand what you mean, the director of the Control Committee is at best An administrative department, and my request this time is to talk to their prime minister, even if their prime minister’s schedule cannot be arranged, at least a deputy prime minister must be sent, isn’t that what we have done before?”

Howard shook his head: "Mr. Berner, you don't know much about China's situation. Mr. Mu Guoxing, the director of the Control Committee, is not a simple person. His current status in China is equivalent to that of the deputy state, that is, our People like the country’s vice president and secretary of state. According to what we know, their country’s ruling party is about to hold a general election this fall, and it is a foregone conclusion that Mu Guoxing will enter the leadership core of nine people. Deputy Prime Minister in charge of economic affairs."

"It's impossible. The general election hasn't started yet. How can you know what's going to happen next?"

Howard glanced at Kathy Berner contemptuously, thinking, this farmer from Texas is a pig, and he is very stupid about politics.The United States and China have different systems. How can the situation in the United States be equated with that of China?If this sentence is used in the US general election, it may be correct. Before the votes are finally counted, no one of the candidates of the two parties knows who will win the White House, but this is Huaxia, relying on their own subjective judgment Sometimes it is a big loss.

"Mr. Berner, even if we don't consider the future factors, I think it is very appropriate for Mr. Mu Guoxing to talk to you from the current situation. Can you easily talk to Mr. Vice President in the United States? "

Casey Berner thought for a while: "No, if I want to see him, I have to make an appointment in advance, and sometimes I even have to wait for a few weeks."

"Since this is the case, I will give you a suggestion. You must equate Mr. Mu Guoxing with a vice president. Don't report any contempt, otherwise you may return empty-handed."

Hearing Howard say this, Kathy Berner also put away his contempt just now, and said: "Mr. Ambassador, I am here with a special mission from the US government..."

The voices of the two people's conversation became lower and lower, and finally they were almost whispering. The conversation was not over until the lights came on.

At the same time, in Mu Guoxing's office in Yiletang courtyard, Minister of Foreign Affairs Wei Anguo and Director of the Americas Department Tang Xing were also introducing Casey Berner's situation to Mu Guoxing.Strictly speaking, in addition to being responsible for specific diplomatic affairs, a country's embassy or consulate is also tasked with collecting information on the other country's politics, economy, culture, etc. The situation, this is an open secret, it's just that some countries have done better, and some countries have done worse.As a big country, China has passed down the tradition of attaching great importance to intelligence collection from its ancestors. Naturally, it is very clear about the situation of American politicians.

VIP Two Thousand 430 Chapter Six Wrong Calculation

Accompanied by Vice Minister of Foreign Affairs Peng Junming, Vice Minister of Agriculture You Anzhong, Vice Minister of Foreign Trade and Economic Cooperation Wei Qiangchen, and President of Grain and Oil Import and Export Corporation Yu Zedong, Mu Guoxing met with the USDA in the Hexi Hall of the Great Hall of the People Deputy Minister Casey Berner and his party, as for why they are arranged in this hall, no one can tell the reason inside, maybe the Central Office randomly selected and arranged here.

"Welcome Mr. Kathy Bernard to visit our country."

"It's a pleasure meeting you, Mr. Director. Thank you for meeting me in your busy schedule." After some diplomatic rhetoric, both sides looked at each other carefully.Casey Berner's first feeling when he saw Mu Guoxing was that the opponent was a difficult character to deal with.A straight waist represents the strength of this person, sharp eyes show a high degree of self-confidence and alertness, and a gentle demeanor represents his noble status and good education.

At this moment, Casey Berner realized that the situation that Ambassador Howard introduced to him last night was still very accurate.In the past few years, Casey Berner has also met many senior officials in China, but there are not many people like Mu Guoxing.According to the thinking of looking for Americans, those people are really too old and it is time to retire. If such people were in the United States, it would be impossible for them to hold any important positions in the government.American taxpayers don't want to spend money to hire an old, weak and slow-minded person to serve them. Whether they have a strong body or not is the most important thing voters value when choosing a politician.

Mu Guoxing felt a little familiar when he first saw Casey Bernard, but he quickly rejected this idea because he had never dealt with any officials of the US government, let alone been to the United States.It wasn't until the two parties sat down that the guests and hosts sat down that Mu Guoxing remembered that Kathy Berner in front of him was very much like the smiling old man standing at the door of McDonald's all the time.

According to the information provided by the Ministry of Foreign Affairs, Kathy Berner is the largest farmer in Texas, and has great influence in the American agricultural industry.With less than a year left in this term of the U.S. government, Kathy Berner is preparing to run for the Texas Senate.

Casey Berner doesn't have any clear political views. His only purpose is to do everything possible to protect the interests of American farmers, and his attitude with the Chinese government can't be said to be good or bad. After all, he is a typical interest supremacist.

Since the two parties are meeting, they will not sit facing each other like in a negotiation occasion, with a table and flowers in between, giving people the feeling that the two armies are confronting each other.The seating arrangements of the two sides are also very interesting at this time. Mu Guoxing and Kathy Bernard are sitting side by side, with only a coffee table in between. Behind them are the interpreters of both sides, and the attendants are sitting in a semicircle. at their hands.

"Mr. Director, our government has noticed your government's bidding notice for the purchase of vegetable oil from the international market. We believe that this move by your country is in line with the relevant trade agreement reached between the two countries some time ago. The trade balance between the two countries is of great representative significance, and the U.S. government appreciates it very much.”