Tech Giants: Starting from Bankrupt Companies

315: Chapter 315 The Rift in the EmpireAfter the signing, the group flew directly to Wuhan.

Wuhan Mayor Liu Zhiyuan accompanied them personally, standing on a vast construction site.

Large swathes of leveled land stretched as far as the eye could see. In the distance, bulldozers were at work, kicking up clouds of dust.

”By this time next year, this place will be the world’s most advanced electric vehicle factory,” Liu Zhiyuan said, pointing into the distance. ”The Xingchen-Honda project is Hubei Province’s number one priority. The provincial government has promised: land, policies, and supporting facilities—everything will be prioritized.”

Toshihiro Mibe looked at the land and remarked with emotion:

”In Japan, finding a site for a factory with a capacity of 300,000 vehicles takes three years of negotiations. You have to pass environmental assessments, coordinate with local residents, and secure land ownership. If you can get it done in three years, that’s considered fast.”

Su Chen smiled.

”President Sannobe, you will slowly get used to the speed in China.”

Toshihiro Mibe smiled too.

”I’m already starting to.”

At 8:00 PM, the Wuhan signing banquet began.

It was held at Qingchuan Pavilion.

This was an ancient building overlooking the river. Pushing open the window, one could see the lights of the Yangtze River Bridge and the silhouette of the Yellow Crane Tower.

Su Chen, Toshihiro Mibe, Gu Yanting, Zhang Zhen, and four core directors from Honda sat around a table.

The dishes were authentic Hubei cuisine: steamed Wuchang fish, lotus root and pork rib soup, hot dry noodles, and three-delicacy doupi.

The drink was Moutai.

After a few rounds of drinks, Toshihiro Mibe set down his glass and suddenly became serious.

”Mr. Su, I have a question that I’ve been thinking about for a long time.”

”Please, go ahead.”

”Why did Xingchen choose Honda? If Xingchen went it alone, you could still make a name for yourselves in the global market. Your batteries, motors, and intelligent systems are already the best.”

Su Chen was silent for three seconds.

Then he said:

”President Sannobe, Xingchen’s technology can create the world’s best electric vehicles. But Xingchen’s weakness lies in global distribution channels and brand trust.”

He paused.

”In these two areas, Honda has seventy years of accumulation. Honda has sales networks in 160 countries, and twenty million users have brand loyalty to Honda. These are things that Xingchen couldn’t buy even in ten years.”

He looked straight into Toshihiro Mibe’s eyes.

”I chose Honda, not because Honda needs Xingchen. It’s because we need each other. You need Xingchen’s technology, and Xingchen needs Honda’s brand influence and global distribution channels.”

Toshihiro Mibe looked at him for a long time.

Then he nodded.

”Mr. Su, this drink is to the future.”

The two clinked glasses.

The next morning at 9:00 AM, at the Tokyo Stock Exchange.

The moment the opening bell rang, everyone stared at the big screen.

Honda Motor Co. opened with a gap—up 10%.

In the trading hall, gasps of surprise erupted.

”What’s going on?!”

”Honda signed with Xingchen! Did you see the news?”

”It’s up! And it’s still rising!”

Ten minutes later, it was up 12%.

At the midday close, it was up 15%.

It set the record for the largest single-day gain in a decade.

Meanwhile, Toyota Motor opened lower.

Down 3%.

Down 4%.

Down 5%.

At the midday close, it was down 5.5%.

In the editorial office of Nikkei News, the editor-in-chief looked at the two sets of data and said to his subordinates:

”We have our headline—investors are voting with their feet.”

At 10:30 AM, in the secret conference room at Toyota headquarters.

Akio Toyoda sat at the head of the table, his face livid.

On the big screen was the news of Honda’s surging stock price.

Vice President Yoshida Moritaka was the first to speak. He was a representative of the reformist faction, fifty-eight years old, and spoke directly.

”President, we can’t hesitate any longer. Honda is already ahead of us. Nissan is going to negotiate next week too. If we keep waiting, Toyota will be isolated.”

Senior Managing Officer Shigeki Tomoyama still wanted to refute him. He was a veteran of the conservative faction, sixty-two years old, with a head full of white hair.

”Yoshida-kun, we cannot jump off a cliff just because of Honda’s betrayal. Toyota has its own technological roadmap...”

Yoshida Moritaka interrupted him.

”Our own technological roadmap? Where are our electric vehicles? The bZ4X? That car with a 500-kilometer range that drops by 30% in winter?”

Shigeki Tomoyama’s face flushed red.

”That was the first model, it will be improved...”

”Improved? Xingchen’s battery energy density increases by 10% every year; what are we going to use to catch up?”

The two were at loggerheads, and the atmosphere in the conference room grew increasingly tense.

Akio Toyoda raised his hand.

”Enough.”

Everyone fell silent.

He looked at everyone.

”Right now, arguing about who is right and who is wrong is meaningless. The key is—what do we do?”

Yoshida Moritaka immediately said:

”Send someone to Shenzhen immediately. Make secret contact and start talking. See what conditions Xingchen is willing to offer.”

Shigeki Tomoyama still wanted to say something, but Akio Toyoda looked straight at him.

”Tomoyama-kun, do you have a better plan?”

Shigeki Tomoyama opened his mouth, but couldn’t say anything.

Akio Toyoda turned to the President of the China region, Tatsuro Ueda.

”Ueda-kun, you fly to Shenzhen tomorrow. Under the guise of market research, secretly arrange to meet with people from Xingchen. Do not alert the media, and do not make any official statements. First, test the waters with them.”

Tatsuro Ueda nodded.

”Understood.”

At 3:00 PM, Lin Wan knocked and entered.

”General Manager Su, there is some news. Toyota’s China region President, Tatsuro Ueda, is coming to Shenzhen tomorrow. The nominal reason is market research, but actually...”

Su Chen looked up and smiled.

”Actually wants to discuss cooperation?”

”It should be. After Honda signed, the reformist faction within Toyota gained the upper hand. Although the conservatives are still arguing, they can’t stop it.”

Su Chen nodded.

”Have Gu Yanting arrange it. Make contact first, don’t discuss specific conditions, and see what Toyota wants.”

Lin Wan asked: ”Should we talk to Toyota? They are the most stubborn ones. Akio Toyoda has always insisted on in-house research and has publicly stated, ’Electric vehicles are not the future’.”

Su Chen shook his head.

”Whether they are stubborn or not is a matter of stance. Whether we can cooperate is a matter of interest.”

He stood up and walked to the window.

”President Sannobe is right; no company can remain a leader in all fields. Toyota needs Xingchen, just as Honda needs Xingchen.”

He paused.

”If they are willing to accept Xingchen’s conditions, why not talk?”

In a hotel in Shenzhen, Toshihiro Mibe stood at the window, watching the night view of Shenzhen Bay.

The lights extended to the horizon, brighter and denser than Tokyo.

Tomorrow morning, he would fly back to Tokyo.

His phone rang.

It was a video call from his wife.

”Did the signing go smoothly?”

”It did.”

”You don’t look very happy.”

Toshihiro Mibe was silent for three seconds.

”Seventy years. Honda spent seventy years becoming one of the world’s best car companies. Xingchen spent three years making Honda bow its head in cooperation.”

His wife asked: ”Do you regret it?”

Toshihiro Mibe shook his head.

”No regrets. Just... a bit sentimental.”

He paused.

”Mr. Soichiro said that Honda’s spirit is ’challenge’. Today, I challenged Honda’s seventy-year tradition. This is probably also a form of inheritance.”

His wife smiled.

”Then you didn’t do anything wrong.”

Toshihiro Mibe smiled too.

Outside the window, the lights of Shenzhen extended to the horizon. Further away was the direction of Tokyo. But at this moment, he felt that this place was more like the future.