The Return of the Ruined Chaebol's Third-Generation Heir - Chapter 127

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This chapter was translated by Lunox Novels. To support us and help keep this series going, visit our website: LunoxScans.com
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Regression of a Fallen Chaebol Heir — Episode 127
“CEO, the situation in Tohoku is critical.”
Shinei Chemical Osaka Headquarters.
The CEO Office door opened and the Vice President entered.
Nakamura Kenji sat at his desk watching television. Black water swallowed a town on the screen, but the Osaka office was silent.
Yet the world inside that screen was different.
A magnitude 9.0 earthquake struck the Pacific off the Tohoku coast — the largest recorded in Japanese history.
The tsunami that followed consumed the northeastern coastline, and when the Fukushima Daiichi Nuclear Power Plant flooded, its cooling system stopped.
“We’ve lost contact with both of our raw material suppliers in Tohoku. It appears their factories have been submerged.”
Nakamura exhaled slowly.
“How extensive is the damage?”
“We’re still assessing, but telephone lines are down in many areas…….”
“What’s the worst-case scenario?”
“If both facilities were flooded, recovery would take a minimum of several months.”
Semiconductor-grade high-purity chemicals lived or died by raw material purity.
To manufacture a product where impurities down to one part per billion weren’t tolerated, the raw materials themselves had to be in an extremely refined state.
If the precision chemical factories in Tohoku that supplied raw materials to Shinei were submerged…….
Two months was far too short, and the actual recovery might require far longer.
“And we’ve received shutdown notices from three semiconductor customers. The delivery schedule appears to be postponed entirely.”
Nearly half of Shinei’s revenue came from semiconductor and automotive component customers in Tohoku and Kanto, and if they halted production, revenue would evaporate.
“And according to the announcement I saw on the way in, the government is planning electricity usage restrictions.”
Following the Fukushima nuclear accident, nuclear power plants throughout Japan were being shut down sequentially.
For the government, there was no choice but to control power consumption to avoid the worst outcome. Of course, for Shinei, such a situation was the worst outcome imaginable.
Nakamura loosened his necktie. No matter where he looked, there seemed to be no way out, yet he couldn’t simply surrender.
“What about raw materials?”
“We’re investigating Western Japan, which suffered no seismic damage, but it’s not easy. They’re controlling supply in anticipation of demand surge.”
With precision chemical suppliers in Tohoku crippled, it was obvious that chemical companies across Japan would converge on untouched suppliers in Western Japan.
Their logic was simple: more customers wanting their product meant selling later at higher prices.
If major corporations entered that market, a mid-sized firm like Shinei would have no chance.
“All other companies are rushing there too, making it difficult to secure volume. And prices are skyrocketing.”
To secure materials at high prices required selling product — but now customers themselves had shut down factories, making that seem impossible.
“Can we shift deliveries to customers outside Tohoku?”
“Entering new customers requires sample testing from scratch. That alone takes six months. Finding someone to take delivery immediately will be difficult.”
He knew the answer before asking, yet still asked. But the response remained as bleak as expected.
“The important thing is that every gram of raw material we have now must be sold. Find buyers.”
“We’ll look, but…….”
The Vice President spoke with a downcast expression.
“It seems there’s no one domestically who can absorb our volume.”
One earthquake had shaken everything.
Somehow, that inventory had to move. Fixed costs like employee salaries would keep accumulating.
Two months they could manage somehow, but anything beyond that had no solution.
“I’ll need to meet with the banks.”
“I was informed before coming in that because it’s a disaster situation, all new loans have been frozen.”
The current loan interest itself seemed difficult for banks to collect in this situation, so they appeared to have locked their vaults tight.
Nakamura Kenji desperately needed some small breakthrough in this closed-off situation, yet no path appeared anywhere.
Knock, knock—
While he and the Vice President were still exchanging words, the door opened and the Secretary entered.
“CEO, there’s been a call from South Korea.”
“South Korea?”
“Hong Sang-jin of Shinhwa Welltech is requesting to see you.”
“Why?”
“He mentioned it concerns the Joint Venture Company’s raw material supply.”
That made sense — Shinei was the one supplying raw materials to the joint venture created with Shinhwa Welltech.
Right now, South Korea was the only place their inventory could move.
“This looks promising. What if we ask the Korean side to accept larger volumes?”
When the Vice President asked, Nakamura Kenji nodded. A small breakthrough was beginning to take shape.
“Good. Tell him I’ll meet him, and arrange it as quickly as possible.”

* * *
“Director, have you seen the news?”
Jung Tae-sung was driving toward the airport, and from the back seat, he called Park Jin-hyeok.
-Yes, I’m watching. The situation in Japan looks severe.
Following the initial earthquake bulletin, subsequent reports kept coming, and just like his previous life, circumstances were spiraling toward catastrophe.
“Prepare the Ulsan joint venture line for full operation.”
-Full operation? We currently have schedule slack…….
“Japan will be calling soon. Shinei’s customers won’t be able to receive deliveries.”
The Ulsan joint venture produced semiconductor-grade high-purity chemicals based on Shinei’s technology.
By now, Japan likely had nearly all factories in panic shutdown, and Shinei’s inventory wasn’t moving either.
But if my memory was correct, the factories would restart soon, and everyone would turn to Osaka chemical companies seeking alternative suppliers.
When that happened, a shortage was inevitable.
It would be an opportunity for Shinhwa Welltech to enter the Japanese market.
“We need to fill that gap. Proactively.”
-……Understood. I’ll begin line inspections tomorrow morning.
“And please accelerate preparations on the Ochang semiconductor line as well.”
Park Jin-hyeok was silent for a moment.
The Ochang semiconductor line was an expansion I’d ordered several months ago.
It still operated within my own technology scope, and the Shinei process from the joint venture hadn’t been transferred there yet, but soon that facility would be needed.
-Ochang is still in preparation stages, but we’ll hurry.
Park Jin-hyeok didn’t question further and simply followed my instruction.
“Please do. And one more thing — secure raw materials through our German line.”
-European sourcing?
Bewilderment colored Park Jin-hyeok’s voice.
The joint venture had always used Japanese-sourced materials.
-There shouldn’t be purity issues, but why suddenly look for German materials…….
Semiconductor-grade high-purity chemical raw materials didn’t have to come exclusively from Japan.
Precision chemical companies across Europe, including Germany, produced semiconductor-grade materials, and their purity matched Japanese standards.
The reason for using Japanese materials all this time was cost and shipping — bringing it from Japan to Korea was cheaper and faster than from Europe.
But soon, Japan wouldn’t be supplying materials, and this was no time to quibble over prices.
“I looked into it, and the largest supplier of basic raw materials to chemical companies in Japan has its main facility in the Tohoku region. The very place hit by the earthquake.”
“…….”
“They control roughly 30 percent of Japan’s market share, so raw materials will become scarce.”
Materials from that facility went to Shinei, underwent secondary processing, and were then sold as semiconductor-grade chemicals alongside Shinhwa Welltech to processors.
If the primary stage raw material supply was cut off, both Shinei and Shinhwa Welltech could face severe difficulties.
“We used Japanese materials for price and shipping costs, not quality. This isn’t a time to haggle over price — let’s secure the materials first.”
-Understood. I’ll contact European partners immediately.
Airport signage began appearing outside the car window. Time was running short.
“Director, I’m heading to Japan. I plan to meet Shinei directly.”
-You’re going yourself?
“Yes. This isn’t something to handle over the phone.”
-It will be dangerous. Please be careful.
“I’m leaving the Korean side in your hands, Director. Ulsan and Ochang — I’m counting on you.”
-You can rely on me.
After hanging up with Park Jin-hyeok, the car accelerated quickly toward the airport entrance.

* * *
“Welcome.”
In a hotel room in Osaka, Hong Sang-jin opened the door to receive Nakamura, but Nakamura stopped as he stepped inside.
“……Director Kang?”
I rose from the sofa. Nakamura Kenji’s eyes widened.
He hadn’t known I was here — he’d come planning to meet only Hong Sang-jin.
“Nakamura, it’s been a while.”
I stepped forward and extended my hand. After a brief hesitation, Nakamura took it.
“You came directly from Korea?”
“Yes. I just arrived.”
“In a situation like this…….”
His face had changed since our first meeting — a stark reflection of how dire the current crisis was.
Then, his expression had radiated confidence. Now his necktie hung loose, and deep shadows pooled beneath his eyes.
“Shinei is a business partner to our Shinhwa Welltech, and knowing the situation in Japan, I couldn’t simply do nothing. I apologize for not giving you advance notice.”
“No, no. I’m actually surprised. Everyone’s trying to flee Japan right now.”
Nakamura spoke to me with feigned surprise on his face.
“Shall we sit and talk?”
When I gestured to the seating area, Nakamura nodded and sat down.
“How bad is the situation?”
At my question, Nakamura studied me for a moment.
His face showed the struggle of deciding what to say. Laying bare the true situation would be difficult.
Setting aside Nakamura Kenji’s prideful nature, any businessman would find it hard to reveal everything, even to a partner.
“I know it’s hard to discuss. But unless I understand the extent of the damage, how can we navigate this situation together?”
At my words, Nakamura Kenji exhaled deeply and nodded.
“I’ll be honest with you.”
Nakamura laid out Shinei’s current condition truthfully.
The flooding of raw material suppliers, the months recovery would require, the shutdown of customers, and postponed delivery schedules.
Beyond that, if electricity restrictions began, Shinei’s production lines themselves would become inoperable.
“We’re searching for alternative sources, but companies have all rushed to Western Japan, making procurement difficult.”
Nakamura paused and looked at me.
“In this state, we can’t survive even half a year.”
Silence fell across the room.
Seeing it in person, the situation was far more desperate than what I’d seen in the news or what I remembered.
I looked at Nakamura Kenji and spoke cautiously.
“I came here knowing all of this.”
“…….”
“I received reports from Hong, and I’ve done my own assessment.”
In my previous life, I knew how all of this would unfold.
How the Great East Japan Earthquake would impact Japanese industry, how long the supply chain would remain paralyzed.
And the only person who could resolve Shinei’s current crisis was me.
Moreover, now was the perfect time to expand Shinhwa Welltech. Which is why, three months ago, I began staying late at the office to prepare.
“I’d like to make you a frank proposal.”
At my words, Nakamura’s expression grew tense as he watched me.
“A proposal?”
I paused to collect myself, then spoke to Nakamura.
“We’ll buy out Shinei’s entire equity stake in the Ulsan joint venture company.”

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This chapter was translated by Lunox Novels. To support us and help keep this series going, visit our website: LunoxScans.com
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