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Chapter 520 - Russia’s Suggestion (1)



“Your Highness, if you use a larger knife, you will be able to cut off things at once. If we put in a 50,000-ton vessel, the efficiency of transportation will be several times higher.”

“Is a 50,000-ton ship suitable in the Caspian Sea?”

“It’s just wasteful to make small ships travel multiple times. We can make 50,000-ton vessels at our shipyard. Russia is planning to expand the canal, so why don’t we prepare for that in advance?”

The vessel weight limit was 5,000 tons to move from the Caspian Sea to the Black Sea because of the Volga-Don Canal’s capacity limit. So, in the Caspian Sea, it became like an unwritten rule for all ships not to exceed 5,000 tons.

“How would Russia expand the canal with its economic power now? And there are not many docks in the Caspian Sea to accept such a huge ship.”

“Your Highness, you can go back and forth the Port of Atyrau and Baku. There’s no reason to go to another port. These days, the wind of the Caspian Sea is so strong that sailing a 5,000-ton vessel is not reliable.”

A 5000-ton vessel was considered large in the Caspian Sea, and it could easily withstand a typhoon. Kim Chun was merely exaggerating to make his point.

He had been insisting this ever since a Russian special envoy visited the palace. The Russian envoy shared several business projects, and one of them was the expansion of the Volga-Don Canal.

The idea was to expand the capacity of the canal to 50,000 tons. It was not really impossible to expand the canal since there were huge lakes along the course of the canal.

It was suspicious of Russia to expand the Volga-Don Canal all of a sudden, but it would surely benefit Kazakhstan if only 50,000-ton ships could travel in and out of the Caspian Sea and the Black Sea. There would be no hassle of mobilizing multiple small ships, and logistics costs would be drastically reduced.

“Commissioner, do you see Russia as a reliable partner? Why do you think I jumped myself into the railway expansion business of Azerbaijan and Georgia as an alternative? If Russia decides to close the canal, we’ll be done.”

“Russia has lost the trust of the international community, but it has never closed the canal before. It’s because closing the canal would bring a devastating economic blow to Russia as well. And there’s no reason to be so mean to us.”

“How long do you think Russia will stay amicable to us when Kazakhstan is on the opposite course with Russia?”

“I’m not capable of making political judgments, but I think it’s advantageous for us to help with the canal project in the long run. And we’re doing railroad work just in case, so there’s nothing to be afraid of even if the canal is closed. Ask Sir Eriksson, too. He will be on my side too.”

The idea of expanding the Volga-Don Canal was to disapprove of China’s fuss over the world over its One Belt One Road business and to have an alternative to One Belt One Road.

Russia was trying to attract the Kazakh royal family since it could not afford the construction cost on its own. Moreover, the Russian government might have wanted to let the world know that it still had a strong relationship with Kazakhstan.

The Russian envoy had brought in other proposals as well as the canal construction. It was a request for more active involvement in Siberian development.

***

“Your Highness, Russia must be in a hurry. It would’ve never reached out to Kazakhstan to ask help no matter what.”

“It’s because Russia is after the royal family’s wealth. Or maybe there’s an intention to keep us in check because we’re getting close to the U.S. government.”

“Russia is not in a position to pick and choose. It has already been known that the U.S. and we have been together since the revolution, so that is not the case. I’m sure Russia is trying to turn the tables taking this opportunity as it allowed Lockheed to use the space station. And Russia must fear China’s rapid progress with its One Belt One Road.”

Youngho was discussing Russia’s sudden business proposal with Eriksson.

Eriksson said that the business proposal brought by the Russian envoy should be seen as a message that Russia was trying to turn the tide and that its foreign policy had changed.

“So, are you saying we’d better join the business?”

“Not to pay the full cost of the canal project, but to be part of the equity capital is a very realistic and attractive proposition. I’m not asking you to set the amount and invest, but I think this will be reliable since Russia had offered the canal’s shares. It shows sincerity.”

“Russia knows we’ve invested in the railway projects of Azerbaijan and Georgia. Could it be seen as a move to sabotage the railway projects?”

“I don’t think so. Land transportation is an alternative to the canal, but there’s nothing like the canal. And there’s a way to dramatically increase the volume of logistics that we transport, so it’ll be beneficial for us. It is in our interest to accept the Russian proposal even for the development of Siberia and for the Arctic route.”

“What does it mean for Russia to suggest us to expand the Siberian development projects that I’m already involved in? China and Japan are also involved in developing Siberia.”

“I think Russia wants to use Kazakhstan as a way to pressure Chinese and Japanese companies. Maybe it’s trying to draw more investment from both countries by pulling us in.”

Russia would probably pressure Japan and China by saying that its shares would be turned over to the Kazakh royal family if they did not expand their projects in Siberia.

Eriksson said that Youngho should pretend not to know Russia’s intention and to comply with Russia’s proposals.

“The canal project is a long-term project that is expected to last up to five to ten years. The annual construction costs are limited, so it won’t be too burdensome. The question is whether the government or the royal family can afford it.”

“We have enough money. The royal family has the widow’s cruse.”

“Your Highness, then why don’t you play along in Russia’s plot?”

“Listening to you, it seems like there’s not much to worry about, but I’m afraid that we’re missing an important point. Would Russia maintain the same attitude toward us when the construction of the canal is finished?”

“The Charter of the United Nations states that projects carried out in the name of joint projects between countries cannot be carried out by either party. It’s because not only the two parties but also the countries would be involved. If Russia violated the international treaty, it’ll have to deal with the sanctions of the Economic and Social Council. There’s more loss to it than the benefit of taking the canal hostage. Of course, there are some variables depending on the situation.”

“I see. I guess it’s time to take an adventure.”

“It won’t be a risk if you think of it as a business, not politics. In business, only profits exist between two parties.”

Eriksson meant that there would be no problem if business and politics could be separated in this project. Even if Russia closed its canal by any chance, it would allow selective vessels to use the canal according to its national interest. After all, it was true that even hostile countries would allow trade exchanges if necessary.

***

Youngho informed the Russian government that the Kazakh royal family, not the government, was interested in involving in the Volga-Don Canal expansion project.

He delivered the message through Yaniv, who was a South Russian mob. It was because he knew Putin’s intentions. Putin was deeply involved in the Volga-Don Canal, and Youngho also wanted Yaniv to join the business. If Yaniv joined, it would satisfy Putin’s greed to some extent, and the business would progress smoothly.

“Mr. Yaniv, thank you for your help. I want to thank you in person, but forgive me for doing it on the phone.”

-I feel more comfortable to talk to you on the phone. It’s not easy to follow the royal customs as a mafia.

“I’m very curious about Putin’s reaction.”

-He was surprised that you contacted him through me. At first, he seemed embarrassed. Later, he asked me if I’d join the business, too.

“I guess I was right. Since Volga-Don Canal’s traffic is growing, he must be starting to get greedy.”

-I had a hunch that Moscow’s greedy people are interested in it, but Putin is quite obvious about it.

“Mr. Yaniv, why don’t you be a little greedy, too? How long are you going to go after the politicians? Will they ever thank you?”

-I should even lick their sole if I want to protect my property that I acquired illegally. And what good would it be if I increased the mountain further? I have more than enough already. I’m sure only Sergey will get to live off of my wealth when I’m gone.

Youngho felt sorry to hear Yaniv slurring the end of his sentence.

Yaniv had worked hard when he was young and had no chance to get married and have children. Though he raised his friend’s son, Sergey, as his own, and made him his heir, he was not a blood-related son.

He was especially fond of little Zeynep because he had no grandchild.

“Do you know what they say in Korea? Life begins at 60. You’re only in your mid-60s, you can start anything.”

-Oh, you’re determined to get me involved in the canal project. You’re worse than Moscow’s greedy men.

“Are you determined to participate in the canal project? If you don’t participate, I’ll drop out, too.”

-You’re threatening me now. I don’t know why people don’t let me just be.

“You have to be involved to clear the traffic. If you don’t, the Russian investors will ignore the signal and just skip in front of me—if you know what I mean. I can’t stand that. I’d rather take the wheel.”

-Hahaha... You’re indeed a bold man. That’s what Putin said, too. He liked that you decided to make a direct investment without setting up the government at front. Well, in return for your involvement, Putin will increase the site for the Siberian development project further for you. Come to Volgograd secretly soon. Putin’s coming to Volgograd, too. He said that he had a favor to ask of the Duke of Kazakhstan.

“That’s great that he invited me. Just let me know the date. It takes less than two hours to get there by a jet plane.”

-I’ll have luxury vodka ready.

“I’ll prepare some snacks then.”


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