Chapter 70

In July, when the first season of "My Sister's Boyfriend" (Tokyo TV eventually changed the name of the drama) began airing, Prime Minister Keizo Obuchi led a Japanese political and economic delegation to visit China. Fuku Miharu managed to secure a spot in the delegation, and this young and beautiful Japanese woman appeared prominently on the evening news at 7 PM.

Shen Zhenghui was also in the country, but he was in Yuhang. He saw this news in Wang Anran's dormitory. The news anchor formally read the news, repeating the old tune of Sino-Japanese friendship. Prime Minister Keizo Obuchi, who had been in office for just over a year, looked energetic. The Chinese Premier he was meeting had just taken office and was full of vigor, ready to make significant changes. Although Keizo Obuchi's visit to China would also include meetings with the President and the Chairman of the National People's Congress, the meeting with the Premier seemed to be the most important, as it involved particularly significant issues. Among these issues was the Guangxin bankruptcy case, where Japanese banks had a substantial amount of debt that could not be recovered due to the bankruptcy. Therefore, Keizo Obuchi had to discuss this issue with the Premier.

Of course, according to the tone of the news broadcast, the entire meeting atmosphere was certainly good. However, this was almost impossible in reality. Even if a broad agreement was reached, both sides would certainly argue over core interests. The impact of the 1997 financial crisis had not yet subsided, and both sides were still in a state of economic distress. China faced the pressure of deepening reforms, and the new Premier had to address a series of major issues. Japan, on the other hand, had been facing economic stagnation since the 1980s. With the domestic economy stagnating, overseas investment had become a lifeline. China, as the largest potential investment and consumer market, was always coveted by Japan. Moreover, Japan held the card of whether to agree to China's entry into the WTO.

Therefore, the specific staff members involved in the negotiations faced constant wrangling and various disputes over the economic and trade agreement. Although the content of the agreement had been communicated in advance, they still needed to review whether the specific clauses contained any traps. The senior negotiators from both sides would occasionally throw out new clauses, and they had to complete the negotiation and sign the agreement within a very short time, which was undoubtedly a huge pressure. Of course, it was also possible that one side was deliberately doing this to gain an advantage in the rushed negotiations.

Fuku Miharu clearly had such intentions. During her meeting with the Vice Premier in charge of culture, she proposed strengthening Sino-Japanese cultural exchanges, suggesting that the two countries could import each other's films.

This proposal caused headaches for the Chinese representatives involved in the negotiations. In the early stages of reform and opening up, when Sino-Japanese relations were close, Japan had gifted a large number of film copyrights to China. These films had a profound impact on the Chinese people, who were starved for entertainment. Ken Takakura was like a god. Now, films from all over the world were retreating under the impact of Hollywood, and this was even more true for Japan, the so-called second-largest economy in the world. Apart from anime, live-action films had made little progress. At the time, China only imported ten major films each year, all from Hollywood, including Jackie Chan's films, which were also produced in Hollywood. Therefore, the Chinese representatives saw Fuku Miharu's proposal as a妄想—would Hollywood films and Japanese anime not overwhelm the Chinese film and animation industries?

Thus, Fuku Miharu's proposal was met with bureaucratic delays from the Chinese side—responses like "We need to consider this."

Fuku Miharu then suggested that the scope of cooperation should not be limited to films but should include TV series, TV programs, novels, magazines, and other cultural industries. On this basis, the two sides should reach a principled agreement to facilitate cultural exchanges and cooperation, such as trade quotas.

It was unclear whether Fuku Miharu was working with Keizo Obuchi or vice versa, but Keizo Obuchi proposed the concept of an East Asian Free Trade Zone during his meetings with the President, the Chairman, and the Premier. This concept, centered on China, Japan, and South Korea, aimed to achieve the free flow of people, goods, and capital within the trade zone, strengthening and deepening economic relations and opening up markets to each other. This was another major topic after the WTO discussions.

Of course, this was a good concept. If it were China after 2008, it would have been eager to implement it immediately. However, in 1999, China was wary of this concept, much like the "Greater East Asia Co-Prosperity Sphere." Many people were already concerned about opening up the market to foreigners by joining the WTO, and the concept of a free trade zone was seen as premature and lacking confidence.

Economically, a free trade zone was clearly beneficial, but the key issue was who would have the dominant power. In 1999, China's GDP was only one-fourth of Japan's, and the two countries combined exceeded half of the United States' GDP. Therefore, the concept of joining the WTO was already causing concerns about the "wolves coming," and the concept of a free trade zone was enough to make the conservatives cry out that "a meteor was coming."

Although the benefits of this concept also attracted the attention of Chinese leaders, they were not about to agree to an economic alliance they could not control. Additionally, China was still striving to join the WTO, and there was no need to engage in such a project with Japan at this time. After all, things had to be done step by step, right?

However, Keizo Obuchi's sincere attitude made it difficult to outright reject the proposal. The content of some of the proposals could be considered as part of the WTO negotiations. Moreover, Fuku Miharu's proposal for equal trade quotas appeared beneficial to China on the surface, as its core was that the money Japan earned from exporting cultural products to China would be spent in the Chinese cultural market. This concept of trade balance within a specific industry was refreshing, and the Chinese side was willing to sign a short-term treaty with Japan, valid for three years, with the option to renew or renegotiate upon expiration. A bilateral trade committee would also be established to address trade issues between China and Japan, including cultural trade balance, which would also pave the way for the WTO.

In terms of cultural content, there were no issues with TV, books, magazines, and other items. For films, the Chinese side designated China Film Group as the sole authorized agency to cooperate with Japanese companies in distributing Japanese films. The Japanese side did not designate a single authorized agency but provided a list of institutions that could participate in Sino-Japanese film cooperation projects. Although Natsuki Eiga was on the list, the other four major film companies were also listed, which was disadvantageous for the Japanese side. Therefore, both sides signed a supplementary agreement, stating that co-productions were not subject to this restriction.

At the end of the three-day visit, when Prime Minister Keizo Obuchi and the Chinese Premier signed the economic and trade cooperation agreement and the memorandum supporting China's entry into the WTO, Fuku Miharu's figure was not noticed by any journalists. However, she left a deep impression on both the Chinese and the Japanese who accompanied her. The impression she left on the Japanese, however, was not a good one. Many people were unfamiliar with the newly established Natsuki Eiga and found it incredible that it could participate in Sino-Japanese film cooperation. Some resented Fuku Miharu's proposal for trade balance, leading to rumors of a conflict of interest between Fuku Miharu and Prime Minister Keizo Obuchi in Japan's upper echelons. This was not entirely unfounded, as Fuku Miharu and Keizo Obuchi's relationship was quite close, making the rumors more credible.

Meanwhile, Shen Zhenghui, who was in Yuhang, began his actions after receiving Fuku Miharu's report on the negotiations. He quickly completed a short-term inspection of the Binjiang Development Zone and, through Wang Anran's introduction, met with the leadership of the Binjiang New Area Management Committee. He planned to invest 100 million yuan to build an animation industry park and establish an animation company to produce animated series.

This was not about moving his company from Pengcheng. Shen Zhenghui had already decided that the company in Pengcheng would continue to produce the half-human, half-beast animated series favored by Chinese leaders as a base for talent cultivation. The animation production company in Yuhang would employ staff who had studied at Gonzo in Japan, taking on Japanese animation outsourcing work and producing high-quality animated series. If necessary, they could also produce animated advertisements. Meanwhile, the shell company for TV drama production in Pengcheng would establish a branch in Yuhang to co-produce films and TV series with Japan, leveraging the signed agreement for trade activities.

For China in 1999, an investment of 100 million yuan was a significant amount. Wang Anran, who had just been hired as a deputy section chief in the Investment Promotion Department of the Management Committee, achieved such a significant performance. Although the leaders familiar with his family background were not surprised, they were still impressed by the Wang family's influence. Shen Zhenghui also planned to purchase a large number of residential properties in the Binjiang New Area, ostensibly for use as employee apartments, but his real intention was to speculate on real estate, which could be mortgaged to banks as company assets.

"Am I helping the devil?" Wang Anran asked Shen Zhenghui with a smile.

"Stop talking nonsense. I'm investing real money in your district. The money will be used to build structures and attract talent."

"Don't think I can't see what you're doing. You're asking for so much land and signing such long-term contracts. Are you planning to speculate on the land and wait for the development zone to grow?"

"You can publicize it. If more investors come, the land prices will rise immediately."

"Ha... My sister is doing something similar, but if the bank cuts off your loans, you'll be in trouble in no time."

"How can the bank cut off your sister's loans?"

"I'm talking about cutting off your loans."

"I can get loans from Japan." Shen Zhenghui patted his chest and said to Wang Anran, "With such a significant achievement, when will you be promoted to section chief?"

"Is this considered an achievement?" Wang Anran pursed his lips. "The 52nd Institute of the Ministry of Information Industry is planning to invest in a company in the Binjiang New Area to produce surveillance cameras, with an initial investment of 1 billion yuan."

"Really? That's impressive. They came without any prompting?"

"State-owned enterprises negotiate directly with the provincial and municipal governments. We have nothing to do with it, so don't count on it for performance." Wang Anran pursed his lips. "I'm waiting for people like you to invest 100 million yuan at a time."

"Right," Shen Zhenghui stroked his chin. "I also want to establish an internet company and place it in your district. What do you think?"

"How much are you planning to invest?"

"I don't have much money left." Shen Zhenghui pursed his lips.

"My sister has money. She can invest."

"..." Shen Zhenghui licked his lips.

"From your expression, I can tell this is definitely a profitable project. I'll invest too."

Shen Zhenghui stuck out his tongue.

Wang Anran slapped him on the shoulder. "You should move your business focus back to China."

"Sure, I want to, but the timing doesn't seem right yet."

"When will the timing be right?"

"When the internet speed generally reaches 56kb/s."

"Japan hasn't reached that level either."

"True, currently only the world's top country, Simita, has reached that level."