Holy Roman Empire-Chapter 1068 - 82, The Ill-timed New Steel Hub

Chapter 1068 -82, The Ill-timed New Steel Hub

British reform was on the horizon, and for the vast majority of nations, this was definitely a cause for universal celebration.

“Reform” didn’t necessarily mean a country would grow stronger, but it certainly would keep the government busy.

The larger and longer-established a power was, the more problems it would encounter during the process of reform. Britannia, the century-old world hegemon, naturally faced issues on all fronts.

From the colonies to the homeland, there were far too many historical issues that required the government to find solutions.

It was a case of “a single hair moves the whole body.” Even if the London Government carried out only partial reform, it would keep them busy for a while.

History had proven that whenever the British got busy, international disputes would greatly diminish, and the world would become more harmonious.

...

In fact, with the reunification of the Holy Roman Empire, the frequency of the British causing trouble had significantly decreased in recent years.

With the Holy Roman Empire holding the British Government’s attention at the forefront, the latter had most of its energy tied up, leaving little to meddle with other countries.

Now that the British Government was looking to implement internal reform, it would be even less capable of causing disturbances. For politicians around the world, this was overwhelmingly positive news, meaning they could once again sleep soundly for a few days.

Although it was now a case of two superpowers, it was only Britannia that was restless. The other hegemon was clearly of the cultivating type.

A look through international news revealed that since the Holy Roman Empire had established its hegemonic status, besides supporting Spain in expelling the Japanese, it had only assembled peacekeeping forces to station in France.

If it weren’t for the Habsburg dynasty’s double-headed eagle flag fluttering all over the world, everyone would almost forget this newly emerged hegemon.

Of course, this was only true for the common folk; politicians could never dare forget. Not making moves did not equate to lacking the ability.

With the Shinra envoys abroad constantly undermining the British, it was clear they were not to be trifled with. Especially in the past two years, the Shinra Navy often paraded their “Super Battleships” under the guise of exchanging learning experiences.

It was evident that discussing experiences with a few thousand tons of ironclads and dreadnoughts was utterly pointless.

To claim such exchanges weren’t about demonstrating power would likely convince no one. While everyone knew this, politics was about playing the fool sometimes. When a hegemon came for “friendly exchanges,” you had to cooperate!

Fortunately, the Shinra Navy just took a stroll and reaffirmed their presence without seizing the opportunity for political extortion, allowing everyone to heave a collective sigh of relief.

The end result was that the British Government’s attempt at allying itself with others became particularly difficult. Although the Royal Navy still led the world in tonnage, it was now falling behind in the number of Super Battleships.

There was no helping it, building a warship also required time. Shinra’s first generation Super Battleship, the “Rome,” had been commissioned in 1900, while the British had only just begun to initiate research and development.

After expending a tremendous amount of effort, the British Super Battleships were delayed until 1903 before commissioning. This was already an overachievement.

From initiation and design to final commissioning, the entire process took just over two years, proving the might of Britannia’s shipbuilding industry.

But this was of no consequence, for at the pace of building one ship per year, Shinra’s fourth Super Battleship had already been launched and was almost certain to be commissioned within the year.

The Royal Navy was behind, but only temporarily; still, the impact this had on other nations was immense.

A single step slow, every step slow.

The naval arms race had erupted, and with the Royal Navy temporarily at a disadvantage, could it really catch up?

The British shipbuilding industry could almost crush all others worldwide, save for the Holy Roman Empire. This was determined by the market, and could not be changed by individual will.

Seeds of doubt were sown, and the previously unshakable belief in Britannia’s invincibility was now wavering.

Since the outcome could not be assured, it was natural to hesitate in picking sides. The time had not yet come for “you’re either with us or against us,” and everyone could afford to wait and observe a while longer.

While other nations breathed a sigh of relief, Franz was gripped by a headache. The international situation had become unrecognizable, and no one dared to be certain whether the British reforms would be successful.

In the original timeline, Campbell wasn’t elected Prime Minister until December 1905, and he had met his maker by April 1908, wielding actual governing power for less than two years.

Such a short span of time clearly wouldn’t allow for the completion of his reform plans, yet history still rated him quite favorably.

Because of the butterfly effect, pressed by domestic economic decline and the intensification of social conflicts, all sectors of British society had realized the need for reform, and Campbell, the reformist leader, was elected in 1902.

Being elected three years early meant that the reformists had an additional three years. To a nation, “three years” might not seem long, yet it could change much.

The foundation of Britannia was still solid; once internal conflicts were resolved and the colonies had been integrated, there was still tremendous potential.

With such an example before his eyes, Franz couldn’t guarantee that the British wouldn’t follow Shinra’s lead in feudalization, swallowing areas like Australia, Canada, and New Zealand whole—a surefire world empire in the making.

With such a strong support base, even if they lost in the struggle for hegemony, Britain would still remain a top-tier nation.

The only consolation was that the English population was insufficient, unable to digest such a vast territory quickly. Otherwise, Franz would have had to make a move sooner.

…

Frederick: “Father, this is the Cabinet’s draft for the new economic development plan. Building on the previous five-year plan, it includes a new economic revitalization project for the Western Region and prepares to invest heavily in building the Ruhr Industrial District.

I have studied it, and the Ruhr area is indeed suitable for industrial development, especially heavy industry. Not only does it have convenient transportation, but it also lies close to the source of raw materials.

Once developed, it will become the industry center of the Empire’s Western Region. It is of vital importance to promote the economic development of the Western Region.

The most crucial point is that the Empire’s heavy industry is too dispersed. Due to the constraints of industrial raw materials, there are over a dozen heavy industrial centers nationwide, but not a single true core.

Before the Empire’s rise, this dispersed layout increased national security, so it naturally wasn’t wrong.

But the situation is different now. We no longer have enemies on the European Continent, allowing us to establish a core hub to further drive domestic economic development.”

“Economic revitalization of the Western Region”—if mentioned earlier, that would have been a joke.

One has to know that there’s always been a clear characteristic of the European Continent: Western Europe has had the most advanced economy, followed by Central Europe, with Northern and Southern Europe next, and Eastern Europe’s economy has always been at the bottom.

However, this situation has undergone a fundamental change since the revival of the Holy Roman Empire.

The economy of Eastern Europe is still the weakest, the change in Northern Europe isn’t significant, but the economy of Western Europe, which used to be robust, has declined in recent years. Instead, the Central and Southern European regions have become the most economically developed areas in the world.

Of course, the economic prosperity of Southern Europe is only in specific areas. The economy of the Italian Area hasn’t seen significant improvement, let alone Spain.

Whether they should be considered countries of Southern Europe or Western Europe is a subject without a unified conclusion.

The only certainty is that including them in Southern Europe pulls down the economic average, while including them in Western Europe can raise it several points.

The main reason is still the war’s toll—One European Continent conflict crippled France, the backbone, and territories in the western part of Shinra also suffered heavy losses due to the war.

As for Britain, not being a continental country, naturally, it doesn’t count. To marginalize the British, both government documents and media broadcasts in Shinra tacitly expel Britain from Europe.

After the war in Europe had ended, the Vienna Government began the Western Reconstruction Plan. It was merely reconstruction and not yet a step towards further development.

Especially in the newly acquired territories, the economy had failed to take off due to limited populations, becoming regions that dragged behind.

To change all this, the Vienna Government had made efforts. However, until now, they had primarily been busy restoring post-war infrastructure.

As for economic development, one first needs people. Despite the Holy Roman Empire’s substantial population, its vastness was simply overwhelming.

The larger the nation, the more “key projects” there were. In comparison, the Western Region, which was being reconstructed, did not hold a high status in the Empire’s economic strategy.

It could not compare to the African Loop Railway, nor to the petrochemical industry chain in the Middle East, and certainly not to the domestic automobile and aviation industries.

With a lower economic strategy priority and a lack of population, the Western Region naturally had limited access to resources.

New novel chapters are published on freewёbn૦νeɭ.com.

Encouraging immigration was impractical, as there were just too many competing destinations. The Western Region, situated on the border, simply lacked competitiveness.

In the eyes of the general public, becoming neighbors with the French by moving to the West was a challenge in itself; everyone knew it could lead to conflict at any time.

In a sense, this was also the Vienna Government’s fault. They intentionally suppressed news about the internal situation in France, and even if a newspaper occasionally published something, it would be understated.

The common people were unaware that the once mighty French Empire was now a phoenix stripped of its feathers.

A new official ignites three fires upon taking office. Due to the previous government’s commendable achievements, the new Cabinet also dared not change course easily. It was several years of holding back before finding an opportunity.

Indeed, the heavy industry distribution of the Holy Roman Empire was far too scattered. It was not that Franz didn’t want to centralize it, but it was simply impossible to do so.

There were many regions suitable for heavy industry development, but due to various reasons, there were inherent limits on development potential.

Take the steel industry as an example: there were seven steel centers with an annual production of a million tons each in Shinra, and even more with a production of half a million tons; yet, among so many steel centers, not a single one could produce five million tons annually.

In that era, such production capacity was still considered impressive. But if it were in later times, any small-town enterprise could easily surpass it.

It was not because steel enterprises were not striving; rather, the constraints of natural conditions were too severe. As production capacity increased, so did costs, and many steel centers had actually developed to the limit of current technology.

Judging by the development of the Holy Roman Empire, an annual steel production capacity of 28.78 million tons clearly could not meet demand.

According to economic experts, within the next twenty years, the Holy Roman Empire’s demand for steel was expected to increase to 50 million tons.

In theory, if all the potential of Shinra’s steel centers were tapped, it would suffice to meet the demand without the need for further expansion.

Clearly, theory is just theory. Society continues to develop, and the demand for steel increases day by day.

The current estimate of a 50 million ton demand is not set in stone. After all, the Holy Roman Empire is simply too large, and its potential demand is unimaginable.

Based on past experience, as long as Shinra did not fade away, the future demand for steel would definitely be measured in billions; it was only a matter of time.

However, the future is always the future; one still needs to focus on the present. After skimming over the document, Franz slowly said, “This plan is too aggressive.

I don’t doubt that the Ruhr District can establish a steel center with an annual production of ten million tons, but remember that it’s the economic market that should determine production capacity, not the government.

The world economy is indeed booming now, but don’t forget the United Kingdom is experiencing problems. What if the London Government is enacting reforms at this time? What if they withdraw from the free trade system?

Once the British start implementing trade barriers, numerous other nations will certainly follow suit, and our foreign trade exports are bound to be impacted.

I wouldn’t be surprised if this leads to an economic crisis. Will the market demand for steel still be as high in the short term?

If we’re unlucky and our steel centers start production in a few years, right at the onset of a new economic crisis, then what are we to do?”

It wasn’t that Franz was conservative; it was just that economic crises in the capitalist world were as common as hairs on a cow. According to past patterns, it was roughly once every ten years.

It had been several years since the last economic crisis, and starting the construction of steel centers now meant that, even if they didn’t coincide with a crisis, the countdown to one had begun.

With a massive surplus in production capacity, the steel industry within the country would be nothing short of miserable, with countless industries getting shaken to their core.

The most tragic situation was within Shinra’s steel industry, where either the government made investments or the Royal Consortium held control; private capital seldom touched these high-input, long-cycle industries.

Having created the industry only to sabotage their own enterprises was definitely indicative of a screw loose.

Even if they wanted to proceed, they must do so gradually, like initially limiting the production capacity to one million tons and then continuously increasing it based on market demand.

From this perspective, the current Cabinet was not considering issues as comprehensively as their predecessor had.

If they had just wanted to score political points, the previous government would have taken action long ago, not leaving matters until now.

Establishing a steel hub wasn’t a difficult task; if the basic conditions were met, all that was needed was to pump in money vigorously.

Even though the Cabinet’s problem-solving ability might be lacking, Franz had no intention of replacing them at this point. Geniuses were always the minority, and most people were of average standard.

The ability to hold back for several years, continuing the policies of the predecessor without significant mishaps, already proved the stability of this government.

Though their view of issues wasn’t comprehensive, the essence of their plan wasn’t wrong. If the project were to be divided into phases and the construction progress slowed down, there wouldn’t be any problems.

From this aspect, the most significant issue with the plan turned out to be “too high efficiency” because the Vienna Government planned to complete it within five years.

Hearing Franz’s explanation, Frederick exclaimed in shock, “The British withdrawing from the free trade system? That’s impossible, isn’t it?

Bear in mind that the free trade system was proposed by the British Government, and during the treaty negotiations, the British made a promise before the entire world.”

With the advancement of the times, the capitalist world economy became ever more tightly interconnected; if the British withdrew from the free trade system, it would undoubtedly cause problems for the world economy.

With John Bull’s consistent style of harming others without benefiting themselves, once they decided to withdraw, they would surely sabotage the free trade system, making it impossible for Shinra to continue enjoying the dividends of the free trade era.

Hit with such a blow, Shinra’s economy would certainly take a significant hit, and the market demand for steel would sharply decrease.

Under such circumstances, establishing a new steel hub with an annual production of ten million tons was clearly inappropriate.

Franz rolled his eyes, “There’s nothing impossible about it; to the British, credibility is just so-so.

As soon as they discover it to be contrary to their interests, tearing up the free trade agreement is inevitable. The reason they’ve not done it yet is that the British are still engaged in internal struggles.

For a long time, the British have been the beneficiaries of the free trade system, which naturally created vested interest groups. Now that the free trade system has turned against them, those expecting to withdraw at this time will of course face opposition from the vested interests.

If you’ve paid attention to the newspapers in London, you would know that the debate around free trade is intensifying, with supporters and opponents already at each other’s throats.

The public quarrels are just the beginning. It won’t be long before the British Parliament will hold discussions.

Campbell’s election manifesto mentioned the issue of free trade too. Even though he didn’t directly propose to abolish it, his speech implied the possibility of export subsidies for certain industries.

These are all signs. As the British economy continues to deteriorate, reliance on vested interest groups alone won’t last long.

If the British Government doesn’t want to see their domestic manufacturing crushed by us, adopting trade barriers is just a matter of time. For Campbell, withdrawing from the free trade system is much easier than undertaking internal reforms.

From the current situation, this timeframe won’t exceed two years. We can already begin preparations, so we are not caught off-guard by the British.”

A discussion of “two years” on an issue shouldn’t seem surprising. For the British Parliament, this is just standard procedure.

Withdrawing from the “free trade system” is a serious matter that can be said to concern the fate of Britannia; it warrants careful study, doesn’t it?

Compared to the forty-five-year-long “Brexit” debate of a later era, being able to make a decision within two years would be considered highly efficient.

Enhance your reading experience by removing ads for as low as $1!