The Fourth Outstanding Person of Huangpu Military Academy

Therefore, although Chen Tianheng knew that the Vickers MK.E tank was not an ideal main equipment for armored forces, the revolutionary army still had to buy 20 of them. In 1930 and 1931, the training division had to rely on these tanks and modified half-track armored vehicles to train officers, staff and basic non-commissioned officers of the armored forces.

Nie Rongzhen: "The Nanjing government's delegation is now in the UK. They have been inspecting the Vickers tank factory for some time. It is said that Nanjing also has a crush on this tank."

Chen Tianheng: "How much are they planning to buy?"

Nie Rongzhen: "He Zhonghan from the delegation suggested buying only 20 to 30 vehicles for pilot use, but the Ordnance Department, well, their Ordnance Department wanted to buy 80 at once."

Chapter 54: Guangdong people have little money but a lot of work

The Nanjing government's arms delegation visited the UK openly. Because Britain and most Western countries now recognized Nanjing as China's "legitimate government," British newspapers reported on the delegation's movements in the UK, including which cities it visited and which executives it met with.

Zhang Qun's proposal to buy 80 tanks was the intention of the Ordnance Department and the Nanjing military. There are now many different opinions on the final summary and conclusion of the Nanchang Battle in Nanjing. Regardless of the legend, no one believes that the Whampoa Military Training Division had only six "tank vehicles" and was late in most battles.

Moreover, many officers concluded that the fact that the training division was a mixed group of tanks and armored vehicles during the battle was that

—The Whampoa Military Academy was short on tanks, so they used armored vehicles as tanks!

So the Ordnance Department had to buy 80 tanks at once.

He Zhonghan's opinion was that the Vickers 6-ton tank would likely become obsolete in the future, so it would be wise to buy a small batch now to form the national army's tank unit, and then slowly purchase more to supplement it in the future.

However, He Zhonghan's opinion from the Ministry of Foreign Affairs did not prevail. The Ordnance Department initially signed a contract with Vickers for two batches of 80 tanks, the first batch of 20 A-configuration tanks and 20 B-configuration tanks, and the second batch would be discussed two years later when the order was placed.

维克斯MK.E号称6吨坦克，实际上重7吨多点，分A构型和B构型，A构型有两个机枪塔,各搭载—挺维克斯7.7毫米机枪机枪;B构型单炮塔,搭载1门47毫米短管炮和1挺维克斯机枪。

The armor is still weak, 13-19 mm, and can be penetrated by a heavy machine gun from the side within 100 meters.

Its greatest advancements were its much more reliable powertrain and running gear. Its trolley-style suspension system provided exceptionally smooth operation on dirt roads and off-road terrain, significantly improving its reliability compared to tanks of the early 20s. A wide range of engine options were available, ranging from 90 to 130 horsepower, with a maximum road speed of 35-37 km/h. This significant improvement in power was precisely the reason the Soviet Union decided to base the design of the T-26 on the Vickers 6-ton model.

If the training division had a small batch of these tanks, it would have been much easier to conduct combined exercises between armored regiments and armored and motorized units between 1930 and 1932. On the Soviet side, Chen Tianheng intended to discuss the design of a new tank with the Soviets (considered a joint design), but if they continued to tinker with it, the first T-26 might not be delivered until 1933.

After Vickers sent off the Nanjing government's arms delegation, the Hong Kong commercial agent forwarded a letter of intent from the Guangzhou government to order tanks.

"The Guangzhou government plans to purchase 20 Vickers MK.Es, all in B configuration." "Well, that's great."

Although it was a small order, Rex Pearson, vice president of Vickers-Armstrong Ltd., still smiled.

Since 1928, when the British Army tested the Vickers 6-ton tank and concluded that it "did not meet the standards" and would not be put into service, Vickers has been looking for buyers for this tank around the world. So far, apart from the two governments of China, only the Soviet Union is interested in the Vickers 6-ton tank, but the Soviet Union proposed to purchase the patent and manufacture it themselves.

Therefore, this order of 40+20 vehicles will be the basic rations for Vickers' production line in the next two years.

"The Guangzhou government's ordnance department has made some requests for improvements to the Vickers MK.E's B configuration..."

Rex Pearson: "Hmm?"

"First, Guangzhou hopes to replace the main gun of the B configuration vehicle from a 47mm short-barreled gun to a 37mm long-barreled gun."

Rex Pearson: "Do we have a 37mm cannon readily available off the shelf?"

"some."

"That's not a big problem," Pearson said. "What about the second one?" "The task distribution of the two crew members in the turret. The commander focuses on command, and the gunner also serves as the loader. The commander needs a 360-degree panoramic view from the top of the turret."

"Increase storage space in the turret. There should be 40 liters of storage space on each side of the turret, and 80 liters at the rear of the turret."

Pearson: "What do they need storage space for?"

"The Chinese say tank crews need space for their afternoon tea."

"Oh," Pearson thought. This made perfect sense; tank crews also had afternoon tea. But the turret would have to be modified significantly, even its shape would have to change.

These Chinese, Cantonese people? They get paid little but have to do a lot of work.

A week later, Rex Pearson was once again muttering, "Guangdong people have little money but a lot of work."

"The Guangzhou government hopes to purchase 10 Vickers-Armstrong Carden Lloyd ultralight tanks."

Rex Pearson: "Vickers and his team bought 20, but Carden Lloyd only bought 10. Are they buying toys?"

"Mr. Manager, just like Vickers, the Guangzhou government has made several additional revision requests."

"—, instead of accepting a fixed forward-firing Vickers machine gun, they requested a weapon mount capable of 360-degree rotation."

"Second, the number of passengers should be increased to three."

"Third, there should be 40 liters of storage space on each side of the vehicle."

Rex Pearson: "I see. Even the crew of a light tank has afternoon tea, right?"

Guangzhou.

Vickers-Armstrong's response came quickly. The British said they could make all these changes, but it would cost a little more.

Among them, the Carden Lloyd ultra-light tank increased in weight significantly, from 1.5 tons to 1.8 tons, because China insisted on having a third crew member.

"Reconnaissance tanks, especially armored reconnaissance units operating in southern environments, should have amphibious capabilities, otherwise it would be very inconvenient to cross the river."

Dai Anlan felt that his vision for the armored forces had not been fully realized.

Chen Tianheng: "Carden Lloyd could easily convert it into an amphibious reconnaissance tank. It weighs only 1.5 tons, and with a few pontoons it would be unsinkable."

Dai Anlan: "But the British don't have an amphibious version with pontoons. So, we still need China's own tank factory. Even if we have to import engines, gearboxes, and some complex parts, we can still assemble our own tanks."

Qian Deng Ruoxian: "But doesn't our training division have a car repair shop? They add steel plates to half-tracks. After these imported tanks arrive, can we also have them repair them?"

The instructor's auto repair shop is located in Panyu County, Guangzhou (now Tianhe District). Dai Anlan was right. The auto repair shop is no longer a small shop, but a large auto repair shop with 4 workshops that can carry out armor installation projects on 8 half-track trucks at the same time.

All workshops have mobile slide devices above their heads, which can lift heavy objects such as armor plates, engines and even turrets and install them on armored vehicles/tanks.

Chen Tianheng: "Let me check the timetable... Next year, in 1930, the Ministry of Military Industry will invest in the auto repair shop again. After the expansion, the hardware will basically make it a tank and armored vehicle assembly plant. However, this plant lacks engineering design capabilities."

Li Qiang: "So the biggest problem lies in the talent pool. Without engineers, this factory will only be able to assemble equipment according to existing blueprints. We can't expect them to design their own blueprints according to our requirements. The armor design for the P15N was designed with the assistance of the French factory."

Du Jinming: "But now Guangzhou, no, the whole of Guangdong is short of engineers and skilled workers."

The current situation in Guangzhou isn't that there aren't enough engineers and technicians; it's simply that there aren't enough of them, and this applies to every industry. For example, there are now double-digit numbers of shoddy car assembly plants and workshops scattered across Guangzhou. Even small assembly plants need engineers and experienced technicians; otherwise, putting cars together would be difficult.

After October 1927, Guangdong established a large number of junior colleges or technical schools, such as Qingyuan Mechanical Engineering School, Guangzhou Chemical Engineering Technical School, and Iron and Steel Junior College. The current situation of these schools is that the first batch of students are still one year away from graduation, and factories are already recruiting them.

"Director Chen, Minister Li!"

Mao Runmin appeared and strode towards the two of them. Before he even arrived, he began to speak:

"Wall Street in New York, the stock market plummeted yesterday! Today, which was last night, the stock market continued to plummet!"

Chen Tianheng: "Hmm..."

Mao Runmin: “It’s really interesting.”

In fact, the stock market had already been experiencing significant volatility in the days leading up to the Wall Street crash. Large-scale selling of stocks occurred from time to time, but the influx of hot money quickly bought back these stocks, causing stock prices to recover and even rebound.

In September 1929, the U.S. Congress began debating the Smoot-Hawley Tariff Act. If this bill were passed, the United States would significantly increase import tariffs on almost all countries, and the stock market would also fluctuate violently.

从9月到10月，华尔街股市就曾经大幅度下跌,道琼斯指数一度蒸发17%,但到10月中旬,道琼斯指数再见起色，不但涨回来了，而且指数还超过了1929年9月初的最高峰。

A few people considered this large fluctuation to be an ominous sign, but most Americans who were dazzled by their wealth thought it was nothing and continued to make money.

In late October, a British investment company took short positions worth up to $10 million in batches on Wall Street. However, this $10 million short position was just a "relatively interesting small investment behavior" in the context of the Wall Street stock market with a total market value of tens of billions of dollars.

This blind confidence lasted until October 28, 1929.

The Dow Jones Industrial Average fell 12.82% that day. The next day, the day Mao Runmin rushed to the auto repair shop to report the major stock market crash, it fell 11.73%.

On the third day, October 30, it fell 11.94%.

“道琼斯指数从381点跌至230点,美股市值蒸发300亿美元，超过美国M1流通货币总数。影者在伦敦的公司已经完成空单交割,进账690万美元。似乎保守了。”

"Financial families like the Durant and Rockefeller families have been making high-profile investments in the stock market in an attempt to stabilize public confidence. What will the future hold for the U.S. stock market and the U.S. economy?"

——Chen Ying sent a telegram from Hong Kong.

Chapter 55: Truce on the battlefield of guns and war on the battlefield of economy

"This piece of paper, you say it's worth 100 dollars?" "Tsk tsk. Tsk tsk."

"Just think of it as a banknote."

"But that's also a large banknote."

At the United Government State Council meeting, Chen Tianheng saw sample banknotes and coins of the "national currency." Other representatives, including Chen Tianheng, were presented with exquisitely printed Zhongyuan coins, each with wide eyes, admiring them closely.

The idea of ​​issuing a national currency, or Chinese currency, was conceived as early as 1928. However, it was a massive undertaking, requiring several years to complete. By November 1929, only the sample banknote design had been completed; everything else was still under preparation. Compared to the other preparations for issuing currency, designing the banknote was the easiest and most straightforward.

“国币”的最大面值纸币100元，相当于100银元，这在日常生活中恐怕很少用到，仅用于银行结算和大额交易。日常使用频率较高的是1、2、5、10元纸币和5角、2角、1角、5分、2分、1分硬币。

The obverse of the 100-yuan national currency features a portrait of Sun Yat-sen, and the reverse features the Great Wall.

The words "United Central Bank" on the front were written by Chen Duxiu. In addition, Chen Duxiu also designed the four-character seal "President's Seal" in seal script on the back. These two logos can be found on banknotes of all denominations.

In short, the first edition of "national currency" was designed well and the printing technology was also fine. It used gravure printing and watermark technology and was printed by De La Rue and Ward Road. In the future, technical equipment may be introduced from China to establish a mint.

Chen Tianheng held the banknote up to the light, and a portrait of Sun Yat-sen appeared on the blank left side of the note. ... However, watermarking is not a cutting-edge technology; it has a history of hundreds of years. The prototype of the modern assembly line machine for producing banknote watermarks appeared around the mid-19th century.

Mao Runmin: "Originally, we planned to start issuing national currency on a small scale in mid-1930 and gradually circulate it. However, the recent Wall Street stock market crash triggered a chain reaction, and financial turmoil occurred in Britain, France, and Japan. The future trend of the world economy is very uncertain. We must prepare in advance. Therefore, the United Bank now plans to start a small-scale trial issuance of national currency in February 1930, which is around the Spring Festival."

"The small-scale trial issuance is considered the first stage of the national currency. During this stage, the United Bank will consider how many silver dollars it has on hand. The number of national currency issued will not exceed the number of silver dollars. In essence, this is still a silver dollar exchange certificate, without inflation."

Lin Boqu: "This is how it was when the national currency was first issued. Two years ago, during the Northern Expedition, the Guangzhou Nationalist Government issued a large number of military notes. It was very difficult for citizens to exchange them for silver dollars. In the early stages, we had to be conservative to build people's confidence in the paper currency."

Li Zizhong: "But silver itself is depreciating. Silver-based currencies naturally tend to depreciate, which is beneficial for economic development, especially export trade. Over the past ten to twenty years, international silver prices have been steadily declining. Following the industrialization of silver, many large silver mines have been discovered in the Americas. Gold is still scarce, but silver is no longer as scarce."

"Manager Li, Everbright Bank has some different views on the relationship between national currency and silver."

Li Zizhong is from Guangdong Bank, and the person speaking now is Lin Yequn, the manager of China Everbright Bank.

However, Lin Yequn was the spokesperson at this meeting, speaking for Mr. Chen Guangfu, the chairman of China Everbright Bank who did not want to reveal his name.

"Silver prices have generally been declining for decades, mainly because large silver mines have been discovered in various places since industrialization, and supply has fully met demand. However, silver prices may not continue to fall in the next few years."

"Currently, the monetary policies of the US, UK, France, and Germany are all facing difficulties, and everyone is familiar with the specific situation. Everbright Bank believes that in order to alleviate their financial difficulties, these countries will inevitably take measures in the next few years to decouple their currencies from gold, or redefine and significantly dilute the gold content of their currencies, so that the financial system can devalue its currency and increase the money supply."

"This will lead to an appreciation of silver relative to the currencies of major industrial countries, as the currencies of various countries have depreciated. If silver is regarded as a commodity, it can be said that the price of silver has increased; if a currency is anchored to silver, then the currency has appreciated relative to other currencies."

"Appreciation will lead to many adverse consequences. It is a form of deflation, which will reduce liquidity. It will also cause foreigners to rush into the country with foreign currencies to buy silver and silver dollars, which will further exacerbate the deflation of the domestic currency."

"Therefore, Everbright Bank's opinion is that in the initial stage, the national yuan should be based on the value of silver or one silver dollar. This is feasible, but in the future, the national yuan should be gradually untied from the silver dollar, so that the national yuan can become a true credit currency."

Several bank managers/chairmen on the Joint Reserve Committee knew who the chairman behind Everbright Bank was, and they began to seriously discuss Chen Guangfu's views.

Mao Runmin: "Chen Tianheng, did your cousin offer any suggestions regarding Guoyuan's future direction?"

The bank managers of the Joint Reserve Committee turned their attention to Chen Tianheng again. "Ah!"

The money earned by Yingzhe Investment was from "Kobe and I scored 81 points together". Only Chen Tianheng and Chen Ying knew about this.

Of course nothing could be revealed in such a meeting, so Chen Tianheng had to reluctantly "convey the message on behalf of Chen Ying".

"My cousin's views are basically consistent with those of the top management of China Everbright Bank." The managers of the Joint Reserve Committee all exclaimed in sudden enlightenment.

Chen Tianheng thought for a moment and added, "My cousin also believes that in addition to countries diluting their currencies and increasing the money supply, there's also the possibility that a country abandoning the gold standard might buy up large amounts of silver in the market to make its gold-free monetary system more stable. While silver isn't as valuable as gold, it's still a relatively valuable commodity. With thousands or tens of thousands of tons of silver in the treasury, trust in your currency will always increase slightly."

Li Zizhong: "This country, Ms. Chen, are you referring to the United States?" Chen Tianheng: "Yes."

Li Zizhong: "If the US abandons the gold standard and then frantically purchases silver globally, the price of silver or silver-based currencies will not appreciate relative to the depreciation of other currencies, but will instead experience an uncontrollable and drastic appreciation. This is because the US economy is simply too large."

"Yes, yes," Lin Yequn said, "If this happens, the price of silver will not fluctuate in the short term, but will remain high for several years. It will be a vicious deflation. In a few years, there will be no silver dollars on the market. They will either be bought up or everyone will hide them and not spend them."

Chen Guangfu, founder of the Bank of Communications, and "investment tycoon" Chen Ying both hold this view, so the Federal Reserve Board and the government's Ministry of Finance have basically formed a majority opinion: there is a high probability that silver will experience roller coaster-like fluctuations in the future.

Be prepared for this.

How to prepare? Everyone at the meeting had their minds blown, and the final strategy was:

Stab Nanjing.

"Guangdong's current trade is not only in surplus with foreign countries, but also with the area controlled by Nanjing, and the margin is much larger."

"We should continue to work harder to expand sales to the Nanjing-controlled area. We can offer some policy incentives to stimulate our industry and commerce."

Li Zizhong suggested.

This meant selling Guangdong's light industrial products to the Nanjing-controlled area and collecting the silver dollars there. If the price of silver rose in a few years, paper money would be circulating in Guangdong's markets, and the bank vaults would be full of silver. This situation would be much more comfortable.

Chen Tianheng agreed: "Manager Li's suggestion is very sharp. During this truce, we can stop fighting on the battlefield of guns and fight on the battlefield of economy."

As for the economy and finance in the Nanjing-controlled area... who's in charge? If we don't plunder this silver, it will go to foreign countries at a disadvantage. Not only will the Japanese secretly buy up the silver dollars among the people, but the silver dollars stored in the bank vaults will also be stolen by people.

Mao Runmin: "Shanghai's light industry is certainly strong, but Guangdong isn't far behind either. Guangdong's small-scale handicraft products are a bit inferior in quality and price-performance compared to those in industrialized countries, but they can still be sold to Nanjing. Alas, as I said, Guangdong's manufacturing industry is still a bit lacking. If it could be strengthened a little, and if it could scrape 100 million silver dollars a year from the Nanjing-controlled area, then it would be a sure win."

Chen Tianheng: "Minister Mao, speaking of this, we are developing rapidly. Our exports are not that strong right now, but it will be different in a year. For example, GAC's joint venture cars will be sold everywhere."

Mao Runmin: "For the Citroën, no, Wuling light trucks that will go into production next year, we can only make the shells. Complex equipment like the engines have to be imported."

Chen Tianheng: "Selling cars to the Nanjing-controlled area is the same as exporting them. Selling cars to Nanjing earns you silver, which is the same as hard currency."