Chapter 398: A New Creative Product – The Storage Box
Although part of the Changxing Group, the promotional tone of the Kong Wah Daily wasn't all exaggeration and hype.
As early as last year, Yang Wendong's shipping fleet had already surpassed a total deadweight of 2 million tons. Even though more than half of the tonnage consisted of older ships, they were all actively operating. Regardless of lower profits or operational inefficiencies, their tonnage still counted toward the total.
Throughout 1963, Changxing Shipping had continued to buy old vessels. While other shipping tycoons, including Tung Hao-yun, were shifting focus exclusively to new builds, Changxing still acquired more than 25 old ships, totaling over 500,000 tons.
With the most recent round of new ship purchases, Changxing Shipping's total deadweight would now exceed 3 million tons, surpassing Tung Hao-yun's 2.6 million tons.
As for British conglomerates like Wheelock or Swire, their shipping fleets may well have exceeded 3 million tons. However, the problem was that their vessels were often registered outside Hong Kong, and many didn't even operate in the region. Calling them "Hong Kong shipping companies" was a stretch at best.
So when the media called Yang Wendong the first Chinese shipping king of Hong Kong, it wasn't just empty praise—it was a fact.
In a high-rise office building in Central, Tung Hao-yun sat silently, face dark as he read the headlines. The men standing beside him didn't dare make a sound, frozen in place.
Finally, it was Tung Chee-hwa who broke the silence. "Dad, Yang Wendong simply has far more capital than we do. Every one of his business divisions is operating smoothly. Both Japanese and Hong Kong banks trust him.
Given those conditions, as long as Yang Wendong is willing to invest heavily in shipping, it's only a matter of time before he surpasses us. You shouldn't let it affect you too much."
"It's not about whether I let it affect me—I simply can't compete when it comes to capital," Tung Hao-yun shook his head. "I believe in the future of shipping, too. But the banks just won't give me higher credit lines."
Oftentimes, no matter how confident an investor was, they couldn't overcome the conservative lending standards of banks. Without adequate funding, good intentions meant nothing.
Tung Chee-hwa added, "Actually, by normal standards, it should still take him a while to catch up to us. What's strange is that he continues buying old ships. Used vessels can be acquired far faster than new builds—as long as you have the cash. But we don't know why he's doing it."
"I've been puzzled by that too," said Tung Hao-yun. "I've thought about it and there are two possibilities. One: he cares deeply about the title of Hong Kong's top ship king, so he's aggressively buying second-hand ships to reach that milestone quickly.
Or two: he's convinced the shipping market is going to skyrocket, and these older vessels will gain tremendous value. But if that's the case, he'll have to move fast. If those ships run for another seven or eight years, they'll be ready for scrap."
"I don't think Yang Wendong is the kind of person who'd chase after a mere title," Tung Chee-hwa said. "He's always been low-profile."
"Enough. Forget about him," Tung Hao-yun sighed. "Let's focus on our own business. I heard Taiwan is helping him build two oil tankers. Keep an eye on that. If it works out, we might consider ordering one as well. The prices are surprisingly low."
"Understood," said Tung Chee-hwa.
Meanwhile, in another office in Central, Bao Yugang had also finished reading the article. "That Yang Wendong is something else. In just one year, he placed orders for over 400,000 tons of new ships. At this pace, in ten years his total fleet tonnage might exceed 10 million tons."
"Ten million tons? Wouldn't that surpass the shipping capacity of many national fleets?" his assistant, Ah Long, asked in shock.
"Haha, not surprising," Bao Yugang chuckled. "Many countries are pulling out of operating national fleets altogether.
Actually, my own goal has always been to surpass national fleets. That's when you really feel a sense of achievement.
But it's a pity. I only ordered 200,000 tons last year. Yang just ordered more than twice that."
"But Mr. Bao," Ah Long said, "we've got an excellent relationship with HSBC, and Mr. Saunders personally promised to support us. I think we still have a shot at surpassing Yang Wendong."
"That's tough," Bao Yugang shook his head. "You don't know just how massive Changxing Group really is."
"The whole group?" Ah Long asked curiously. "They're not a public company, so their numbers are a mystery. I've heard they're big, but I don't know how big."
"It's more than big," Bao Yugang said with a smile. "In terms of scale, they're probably not far behind Jardine Matheson or Swire Group."
"Not far behind Jardine Matheson?" Ah Long was stunned.
"Yes," Bao Yugang nodded. "Changxing Industrial may not match them in terms of company size, but some of their products sell all over the world.
Take those plastic woven bags we were talking about the other day—the ones replacing wooden crates in shipping. Remember?
Those are made by Changxing Industrial. They only cost a few cents each, but just think—how many companies and people across the globe need them?"
"True," Ah Long agreed. "And then there are plastic bags. Even though they're not the only ones making them, having a small share of that market can still lead to staggering numbers."
Recently, a major shift had taken place in Hong Kong's maritime shipping industry. Goods that were traditionally packaged in wooden crates were now increasingly being shipped using plastic woven sacks—especially for small items, powders, and granular materials.
This shift in packaging was forcing shipping companies to adapt their methods, but it undeniably made logistics more efficient.
"What really makes Yang Wendong terrifying," Bao Yugang said, "isn't his shipping or real estate ventures—it's his ability to invent. No one knows what kind of product he'll come up with next.
Each individual product might be cheap, but when the whole world needs it, the sheer volume creates immense wealth. And with that, he reinvests into real estate and shipping. That cycle—it's incredibly powerful."
"Not just inventions, Mr. Bao," Ah Long added. "His business operations are equally sharp. He's already done well in media, supermarkets, and food industries these past few years."
"True," Bao Yugang laughed. "He really is a frightening competitor."
"But if we're only talking about shipping," Ah Long said, "he might not necessarily be ahead of us. Your long-term leasing strategy, Mr. Bao—it's something many people don't understand, but it's actually a solid way to reduce risk. As long as we keep getting financing from the banks, our scale will continue to grow."
"They don't not understand it," Bao Yugang said with a laugh. "They're just not willing to sacrifice short-term gains.
Still, I must say—Yang Wendong's recent aggressive strategy surprised me. If the shipping market suddenly takes a downturn, he might suffer massive losses."
He wasn't wrong. While Yang Wendong had the advantage of foreknowledge and a bold vision, the risk he was taking by doubling down on ships—especially second-hand ones—was massive. One misstep, and it could all come crashing down.
But then again, that was the hallmark of every great business leader—calculated risk. The kind that could either destroy an empire or create a new one. And Yang Wendong was clearly betting on the latter.
"Maybe it's precisely because he has such a powerful manufacturing sector backing him that he dares to take the gamble?" Ah Long offered his analysis.
Confidence in the future wasn't rare—many who developed shipping companies had it. After all, global economic trends clearly pointed toward growth.
But the problem was that operating a capital-intensive business required bank loans, and using leveraged funds meant that any market fluctuation could lead to massive losses—or even total bankruptcy. Shipping, like any other market, might look promising in the long run, but the path was never a straight line. It was full of ups and downs.
Bao Yugang nodded. "Forget it. We'll just stick to our plan and keep acquiring new ships as scheduled."
"Understood," Ah Long replied.
Meanwhile, in another high-rise in Central…
John Madden, taipan of Wheelock, was staring at the newspaper with furrowed brows. After a long silence, he finally said, "This Chinese company is absolutely insane—less than two years, and he's already bought over a million tons in ship tonnage."
"Mr. Madden, this Eric is considered the most powerful Chinese entrepreneur in Hong Kong at the moment," said a red-haired foreign secretary with a smile. "Many of his products sell globally, and they're doing incredibly well.
I've heard that even officials from London have come to Hong Kong, trying to negotiate with him to open a factory in the UK for producing various plastic goods."
John Madden shook his head. "Is London out of its mind? They want to bring such low-end manufacturing to the UK?"
"Though it's low-end, because of high shipping costs, it's actually more economical to produce locally in Britain. So yes, there's still profit to be made," the secretary explained.
"Hmm…" John Madden glanced at the newspaper again and said, "This guy's investments are way too aggressive. I have to admit, he's got guts."
"There's a Chinese saying," the secretary said, grinning, "'Where there is risk, there is opportunity.' If this kind of investment pays off, the profits will be astronomical."
John Madden shook his head again. "A long-lasting business shouldn't take such reckless risks for short-term gains. It's unwise. Sure, you might win nine times—but one loss can wipe it all out. Let's just proceed steadily. I still believe in Hong Kong's real estate market. Let's continue our investments there."
"Understood," the secretary responded.
The news of Yang Wendong purchasing over 400,000 tons of new ships had quickly become the talk of the town in Hong Kong. Many people marveled at how fast the "Post-it Note King" was rising, and at such a young age, too, with accomplishments already at the top of the industry.
Inspired by the story, many young people began to see shipping as a viable career path. A large number of them started enrolling in the Maritime Academy at Tsing Yi's Drunken Bay, knowing that with enough certifications and training, they might land a job at Changxing Group and earn the kind of enviable salary that others could only dream of.
But all this buzz didn't affect Yang Wendong himself. He had returned to Hong Kong, and while journalists were eager for interviews, his formidable team of bodyguards ensured that no reporter could get close unless he allowed it. Moreover, this era's journalists weren't like future paparazzi—generally, they wouldn't pursue someone to the point of harassment.
One week later, the news frenzy died down, and life for the Yang family returned to normal.
In a modest home near The Chinese University of Hong Kong, Yang Wendong and Bai Yujie were busy packing up the house.
"I told you—you could've just bought whatever you needed instead of moving all this stuff," Yang Wendong said as he packed small items into boxes.
Bai Yujie shook her head. "No way. I'm used to these toys and household items. I don't like switching to things I'm unfamiliar with. And besides, shouldn't we avoid waste? Isn't that what you always say? No matter how rich we are, we shouldn't be wasteful."
"Alright, alright. You're right," Yang Wendong said with a smile. "But these little things aren't easy to carry. Should I have someone bring over some big plastic bags?"
Bai Yujie really did have a mountain of stuff—dozens of toys, piles of books, pens, cups, and other daily-use items.
Anyone who's ever moved knows: your house never looks full—until you start packing.
"No, don't bother," Bai Yujie said. "Plastic bags are hard on the hands when carrying heavy stuff. And some of the items don't fit in bags. I already prepared some cardboard boxes."
"But look outside—it's raining," Yang Wendong said, glancing out the window. "Cardboard boxes and rain? That's not going to work."
By 1964, Hong Kong's drought situation had improved dramatically. It was raining intermittently again, and since it wasn't yet summer, most people no longer worried about water. Even many of Changxing Shipping's water-carrying vessels had returned to regular cargo business.
Still, the rain made moving difficult. In the old district, cars couldn't get close to the building. There was a stretch of road where everything had to be carried on foot—through the rain.
Bai Yujie looked out the window as well. The rain wasn't light. "Then how about putting things in a suitcase and taking them out little by little?"
"A suitcase? That works," Yang Wendong nodded.
Wheeled suitcases weren't just great for travel—they were also extremely useful for moving house. Their real advantage was in convenience. Rolling was far easier than lifting—at least on flat ground. Stairs were still a problem.
"Alright." Bai Yujie quickly pulled out a 24-inch suitcase and packed in some items that couldn't get wet. After a while, she said, "Okay, it's full. But I can't fit everything in here—and I can't exactly go buy a bunch of suitcases."
"No one really buys more than one. Maybe two at most," Yang Wendong said. Then he paused, his mind turning. "Let me use your phone. I'll have someone send over a few more suitcases so we can get everything out in one go."
"Alright," Bai Yujie nodded.
Soon after, several suitcases were delivered, and the move was completed successfully. Yang and Bai didn't have to lift another finger.
The next day, Yang Wendong arrived at the Changxing Industrial Park in Kwun Tong, holding a large cardboard box. He found Wei Zetao and asked, "Old Wei, what do you think—if we used plastic to make a large box of this size, would there be a market for it?"
The experience of moving yesterday had sparked something in him. He realized—there were no plastic storage boxes on the market yet.
And this—this was a market even bigger than suitcases.
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