Thirty Years of Turbulence - Chinese Enterprises

作者：admin  点击次数：3  发布时间：2025-12-16

Wang Shi later gave an example of how the company made money: In the autumn of that year, a Beijing resident named Wang Chuntang came to Shenzhen and claimed to have $30 million in export foreign exchange reserves, with a conversion rate of 1 US dollar to 3.7 Chinese yuan. The so-called "foreign exchange retention" is not cash, but a "quota indicator" that should belong to a large state-owned foreign trade company, and ultimately transferred to the hands of "swindlers" with official backing in a very gray way. At that time, the market exchange rate was 1 US dollar to 4.2 Chinese yuan. Wang Shi reserved a "foreign exchange retention" of 10 million US dollars from Wang Chuntang, and then he "smoothly" borrowed 20 million Chinese yuan from Bank of China, raising a total of 37 million yuan to be remitted to Wang Chuntang. In one go, the exhibition center earned a exchange price difference of 5 million yuan.

This kind of currency exchange and reselling seems to be even more satisfying than reselling corn. At that time, an underground channel for resource transportation had already been formed between Shenzhen and Beijing. A continuous stream of national quotas and public interests were sold to the south in various forms, floating on the edge of the law, which facilitated the rapid wealth of certain individuals and companies. Wang Shi's exhibition center plays the role of terminal money laundering in this game. He retrieves foreign exchange indicators from Beijing, contacts Hong Kong merchants and domestic enterprises for purchasing and shipping, and "cleans" the exchange rate difference into circulation difference through the import and sale of goods.