Mining And Construction Tycoon [EN]: Chapter 15

15. Pohang Iron and Steel, Park Tae-joon (4)

Park Tae-joon asked, his expression serious.

“How can I repay this favor?”

“Just make a deal with me.”

This was why Tae-soo had come all the way to Pohang.

Park Tae-joon smiled, looking troubled.

“I owe you a debt, so it’s hard to refuse. But we should keep business and personal matters separate. Let’s hear your proposal first. I’ll decide after that.”

“I want to supply minerals to your company.”

“Hmm, minerals, you say.”

Park Tae-joon spoke frankly.

“We’re already doing business with Daeun Tungsten, a state-run company. It’s directly tied to national industry, so it’s difficult for me to arbitrarily change suppliers.”

“I know. But this is something Daeun Tungsten can’t provide.”

Tae-soo took a document from his pocket.

“Molybdenum quality certificate?”

“It’s a certificate from Korea University. As you can see, it’s quite high-quality molybdenum.”

Park Tae-joon scanned the report with a serious look.

“Hmm, molybdenum. Isn’t that used to make stainless steel and chromoly steel [chromium-molybdenum alloy steel]?”

“That’s right.”

“Certainly, Daeun Tungsten doesn’t have a molybdenum mine. But we don’t yet have the capacity to make special steels like chromoly steel.”

Park Tae-joon closed his eyes.

“Even the No. 1 blast furnace isn’t complete yet. The President wants us to finish the furnace quickly and produce steel as soon as possible. I can’t betray that expectation.”

“Pohang Iron and Steel’s heavy plate factory is complete, isn’t it? Can’t we expect special steel soon?”

“The heavy plate factory was built as a top priority because of the shipyard. The President has very high expectations for the shipyard.”

Park Tae-joon smiled bitterly.

“To be honest, the money we got from Japan isn’t enough to build the steel mill. It’s woefully inadequate. That’s why we’re producing heavy plate, which brings in money right away.”

“How about securing construction funds earlier with stainless steel and chromoly steel?”

Park Tae-joon was firm.

“Producing chromoly steel will take quite a long time.”

American, German, and Japanese steel companies virtually monopolize the stainless steel and chromoly steel markets.

Park Tae-joon wasn’t yet in a position to compete with them.

He lacked capital, technology, and even experience compared to them.

“You probably know that the United States produces molybdenum so cheaply. So there’s almost no profit left with chromoly steel.”

Currently, the United States dominates the global molybdenum market.

It even controls 87% of the market.

“Even if you sell molybdenum on the world market, you’ll lose in price competition, not just with chromoly steel. There’s no way you can compete with the United States.”

But the United States will declare a halt to molybdenum extraction within a month.

Tae-soo, who knew the future, was confident.

“Soon, the price of molybdenum will jump two or three times. The price of stainless steel and chromoly steel will also rise. What will you do then?”

“If that really happens, we’ll have to produce and sell special steel without a second thought. But that won’t happen.”

*That will happen soon.*

The price of molybdenum will double or triple, and there won’t be enough chromoly steel to sell.

Chromoly steel is used in power plants, the defense industry, the petroleum industry, the gas industry, and the chemical industry.

What if Pohang Iron and Steel coolly supplies chromoly steel when everyone is scrambling to secure molybdenum?

*‘Park Tae-joon would be sitting on a pile of money too, but unfortunately, there’s no way to explain it.’*

Tae-soo smiled.

Even if he says this now, he will soon come running to ask him to sell molybdenum.

After much deliberation, Park Tae-joon made a decision.

“I don’t think it will work. I’m sorry, but look elsewhere.”

Tae-soo put the molybdenum composition test report back in his pocket.

“It’s a shame. Since molybdenum is a strategic material [essential for military industries], I came to Pohang Iron and Steel first with a patriotic heart, prioritizing national interests.”

Tae-soo already knew that Park Tae-joon would reject the molybdenum supply proposal.

Nevertheless, he had to visit Pohang Iron and Steel at least once.

*‘If the price of molybdenum skyrockets soon, he will think of me first. That’s enough.’*

To be honest, it was no exaggeration to say that he came all the way here to make an impression on Park Tae-joon.

He had already made a strong impression, so he had accomplished his purpose here.

There were three reasons why Tae-soo specifically chose Park Tae-joon as a business partner.

All for the future, not for the present.

First, to stably sell molybdenum by contracting with Pohang Iron and Steel, Korea’s only integrated steel mill.

Second, to protect the mine by using Park Tae-joon’s connection with President Park Jung-hwan [likely a reference to Park Chung-hee, the President of South Korea from 1963 to 1979].

Third, to use Park Tae-joon to keep Han Cheong-ho of Cheongil Group, who was an old enemy, in check.

*‘If Park Tae-joon does well, Han Cheong-ho of Cheongil Group won’t be able to exert his power properly.’*

Han Cheong-ho, the chairman of Cheongil Group, would later obtain steel business rights under the president’s protection.

Cheongil Steel would give wings to Han Cheong-ho’s Cheongil Electronics and Cheongil Heavy Industries.

This would establish Cheongil Group as a conglomerate [chaebol] brand with Korea’s best comprehensive heavy industry.

*‘I’ll interfere in advance. Cheongil Group won’t be able to easily take over Cheongil Steel this time. Park Tae-joon will properly check it.’*

It was one of Tae-soo’s big plans.

“You’re a very solid young man.”

Regardless of his true feelings, Tae-soo’s answer pleased Park Tae-joon.

“I won’t forget your sincerity in thinking about the country and the nation and coming all the way here with a patriotic heart.”

“It can’t be helped, given the situation. Then I’ll be on my way.”

Tae-soo got up from his seat without hesitation.

“Isn’t there any other favor I can grant you?”

“No, there isn’t.”

“I am Park Tae-joon.”

“I know. It’s a shame, but I have no choice but to postpone the opportunity to ask for a favor until next time.”

He wondered if he was being too greedy.

Park Tae-joon stroked his chin.

“Hmm, just a moment. It doesn’t seem right to send you back like this.”

Park Tae-joon liked the handsome young man in front of him.

Park Tae-joon, who had Tae-soo sit back down, closed his eyes for a moment and pondered.

“Given the circumstances, it seems difficult to help with a mining-related company, but I might be able to use my influence for a construction company.”

“What do you mean?”

“Would you like to work with me?”

Tae-soo was puzzled by the sudden proposal.

At the same time, the strong smell of money filled the air.

*‘Such a strong smell of money! What on earth is going on…?’*

He had to hold on no matter what.

*‘I can’t miss this smell of money.’*

Tae-soo swallowed hard.

He came to make an impression under the pretext of selling molybdenum, but he was about to hit the jackpot in construction.

*‘What does it mean to work together? It’s definitely a money-making opportunity.’*

Park Tae-joon had already clearly rejected the molybdenum supply proposal.

“You’re not talking about a partnership, are you…?”

“If you looked around the construction site earlier, you would know. This place isn’t just building a steel mill.”

Tae-soo immediately realized.

That’s why he was even more puzzled.

“The dormitories where the employees will stay are almost all built, though?”

“Only the houses are built. There are still many buildings to be built.”

“Could it be…”

“Hospital, school, shopping center, stadium. Choose one of these. What do you want?”

He meant to give Tae-soo a subcontract.

*‘Huh? Originally, Pohang Construction would take care of all of this, right?’*

Tae-soo asked again to confirm.

“Isn’t this something that Pohang Construction, which the president [CEO] is currently running, planned?”

“Of course, it is.”

Park Tae-joon smiled gently.

“Didn’t you hear the technical advisor earlier? Pohang Iron and Steel Refinery will accelerate its work speed. We are pressed for time.”

It meant that Pohang Construction would mobilize all its manpower to build the integrated steel mill.

“We’ll just hand over the prepared blueprints and some of the materials.”

“Then I’ll be responsible for the construction and completion?”

“Just build it properly according to the design. We’ll also provide a specially invited technical advisor.”

The technical advisor was, of course, Ushiroda Takeshi.

This was all Park Tae-joon’s favor.

The smell of money got stronger every time Park Tae-joon spoke.

He was going crazy.

“Isn’t this a pretty good offer?”

*‘It’s not just good, it’s a jackpot!’*

Choose from a hospital, school, shopping center, or stadium.

A lucrative job that others desperately want but can’t get their hands on!

Not only does it bring in money right away, but Park Tae-joon’s powerful connection is a bonus!

*‘Wow, there’s too much money to refuse this? Should I run it with the mine?’*

What can he do?

It’s polite to take it when they give it to you!

“Thank you.”

He didn’t refuse even once with empty words, and he gladly accepted it.

“What will you build?”