World War: Battleship Arms Dealers

The waiter removed the soup platter and replaced it with the main course—roasted lamb chops with mint sauce. But at that moment, no one cared about the food.

Sir Grey continued, "Speaking of loan agreements, Your Excellency, this is one of the issues we wish to discuss in depth with you. Your country's loan agreement with Germany seems... to have been fulfilled in an unusual way."

Chen Feng cut a lamb chop with a composed movement: "Unusual? I don't quite understand what Sir Grey means. The agreement stipulates that if Lanfang cannot repay in cash, it can offset the debt with products of equivalent value. Germany urgently needs naval equipment, and we will provide the best battleships. This is a purely win-win business transaction, fully in line with the spirit of the agreement and international practice."

"But those warships are currently anchored in Wilhelmshaven, about to join the German High Seas Fleet," a gray-haired admiral, representing the Admiralty, couldn't help but say. "They will be used against the Royal Navy, against our merchant ships, and to prolong this damned war!"

Li Te responded in a deep voice: "General, weapons have no moral compass. Just like the warships your country sold to Japan, they were also used in the Russo-Japanese War. Commercial transactions should not be subject to moral judgment."

"This is different!" the general raised his voice. "This is a war in Europe, a clash of civilized nations! As a non-belligerent nation, Lanfang should maintain strict neutrality, not provide the belligerents with weapons that could alter the balance of power!"

Chen Feng put down his knife and fork and wiped his mouth with a napkin. His movements were slow, with a deliberate calmness.

"General," he said, looking at the admiral, his voice calm but each word clear and forceful, "first, Lanfang never declared neutrality. We simply did not participate in the war. Second, if providing weapons constitutes violating neutrality, then let me ask you: what about the steel, oil, and grain that the United States exported to Britain and France? What about the iron ore that Sweden exported to Germany? What about the financial services that the Netherlands provided to both sides?"

He surveyed the British delegation: "At this stage of this war, which major industrialized nation in the world has truly maintained complete neutrality? Or rather, isn't neutrality itself a state that can be traded and interpreted?"

The general was speechless. Sir Grey frowned inwardly—Chen Feng's debating skills were impressive; he avoided moral accusations, steered the issue towards a universal perspective, and thus diminished the particularity of the accusation.

King George V cleared his throat and steered the conversation back to the core issue: "Your Excellency, we have no intention of arguing about the definition of neutrality. But the fact is that the two warships your country provided to Germany have indeed had a significant impact on the balance of power in the North Sea. At the same time, your country's loan agreement with Britain has been delayed. This inevitably raises suspicions that Lanfang is... selectively fulfilling its promises."

Chen Feng smiled. It was a faint smile, but it was full of meaning.

"Your Majesty misunderstands," he said. "Lanfang has never delayed fulfilling the agreement with Britain. On the contrary, we have been actively preparing. It's just that your country did not explicitly express its willingness to compensate in kind before."

He turned to Wang Wenwu. Wang Zhengwu immediately took out two thick documents from his briefcase and placed them on the table.

"This is a formal note from the government of the Lanfang Republic." Chen Feng pushed the document to the center of the table. "It concerns the repayment plan for the 50 million pounds loan that Lanfang borrowed from the British Empire back then."

All eyes were focused on the two documents.

Chen Feng continued, "According to Article 3 of the supplementary terms of the loan agreement: if the Lanfang Republic government is unable to repay the principal and interest in full in cash when the loan matures, it may, with the creditor's consent, offset the principal with military products or strategic materials of equivalent value. It is hereby formally proposed that the Lanfang Navy's active-duty 'Hood-class' battlecruisers 'Fuxing' and 'Guangfu' be used to offset the entire principal of £50 million and the accrued interest up to August 31, 1916."

He paused, then added, "Both ships have a standard displacement of 42000 tons and a full load displacement of 46000 tons. They are armed with eight 15-inch main guns and have a top speed of 31 knots. They are currently in full combat readiness, in excellent condition, and their officers and men are well-trained. After your country takes them over, they can be immediately incorporated into the Royal Navy's order of battle."

The hall was deathly silent.

Everyone on the British side was stunned. They had anticipated that Chen would offer warships as payment for the debt, but they hadn't expected "active ships," and two complete capital ships ready for combat at any time.

Sir Grey was the first to realize: "'Fuxing' and 'Guangfu'...the same ship that defeated the Japanese Combined Fleet in the East China Sea Battle? And the one that used to swagger around the Royal Navy in the Indian Ocean like a dog!" But he didn't say the rest. That would be too damn embarrassing!

"Exactly." Chen Feng nodded. "They have been battle-tested and are reliable. If Your Majesty and Your Excellencies are interested, I can provide detailed tactical parameters and combat records."

The admiral eagerly opened the document, quickly scanning the technical data. His eyes widened, and his fingers trembled slightly with excitement.

"31 knots... God, that's faster than all our battlecruisers! 15-inch main guns, armor belt thickness... It says here 12 inches angled, equivalent thickness..."

King George V watched his naval commanders' reactions with mixed feelings. On one hand, he genuinely desired those two powerful warships, especially now that Germany had acquired the Bismarck-class. But on the other hand, it felt too much like a deal—using Imperial loans in exchange for weapons that could otherwise be used against the Empire.

"Your Excellency," the King began slowly, "we can consider this proposal in principle. However, there are a few issues that need clarification."

"Speaking."

"First, the price. A loan of fifty million pounds, with accumulated interest of approximately six million. The total price is fifty-six million. Are the two warships truly of equal value?"

Chen Feng was prepared: "Your Majesty, in 1914, the cost of a single British-built Queen Elizabeth-class battleship was approximately £2.4 million. The technology of the HMS Resurrection and HMS Restoration is at least a generation ahead, and their construction techniques are far superior. Calculated using current wartime inflation, the actual value of a single ship is no less than £8 million. Two ships would be £16 million. And that's just the cost of construction! You must understand that I'm a businessman! And—"

He leaned forward, emphasizing his words: "—This is an active-duty ship capable of immediate combat readiness. If your country were to order a similar warship now, it would take at least two years from laying the keel to commissioning, costing over six million, and consuming valuable dock resources and skilled workers. How do you calculate the time cost and opportunity cost?"

Sir Grey exchanged glances with the Admiralty representative. Chen Feng's calculations, though forceful, were not without merit. In wartime, time is life, and production capacity is lifeblood. The prospect of immediately acquiring two top-tier battlecruisers was indeed a tremendous temptation for the Royal Navy.

"Second," King George V continued, "the handover procedure. Where will the warships be transferred? How will the officers and men be settled? Will the ship's weapon systems and fire control equipment be transferred completely, or will we...keep something in reserve, like we did with the Germans?"

The last sentence was clearly sarcastic.