Chapter 1505 - 40: Regional Economic Cooperation Organization (2)

Chapter 1505: Chapter 40: Regional Economic Cooperation Organization (2)

"The primary role of the Common Market is to revitalize the market and expand the pie, thereby strengthening the competitive capabilities between our countries and other economies, especially in this era where international competition is increasingly intense."

World War I, due to interference from extraterritorial countries like East Africa and the United States, did not lead to a fundamental change in the European Continent and the overall world structure. In other words, the global market pie was not redistributed due to this unprecedented war.

Therefore, the conflicts between nations have not disappeared but have rather become more acute to some extent. However, the great powers of Europe currently lack the energy and capability to start another world war, so they can only continue to maintain the operation of the old order.

This results in a consequence akin to the inability of an electronic product’s system to get timely updates, causing the functioning of the product to lag. Reflected in international commerce and trade, this means countries are tripping each other up, thus affecting the normal operation of the world market.

The specific manifestation is that after the war, the tariff barriers originally established by various countries not only remain unbroken but have been further strengthened, leading to a contraction in international trade and a global economic slump.

In the past, European countries could mitigate these problems through colonial expansion, but by the end of the last century, the world had basically been divided up, and this approach has obviously become somewhat outdated now.

Of course, using warfare means to seize others’ colonies and markets remains a feasible plan, but World War I was a result of such a plan. Amidst interference from extraterritorial countries, the two major interest groups in Europe merely conducted fruitless internal consumption, benefiting only extraterritorial powers like East Africa, the United States, and Japan.

This also led to European great powers harboring intense resentment towards the United States and East Africa after the war.

The European countries whose interests were harmed also enacted more extreme tariff policies post-war to delay the economic development of East Africa and the United States as much as possible.

Of course, this is the diplomatic phrasing; the undiplomatic phrasing is guarding against East Africa and the United States further capturing territories in the global market and preserving whatever assets they have left.

To counter the European countries’ backlash, East Africa and the United States certainly cannot stand idle.

For instance, the Southeast African Common Market that East Africa wishes to promote aims to form alliances and expand and maintain its market share, safeguarding East Africa’s economic transformation.

"Crown Prince Friedrich, under this so-called Southeast African Common Market, will East Africa interfere with our countries’ or colonies’ development?" the Italian representative asked tactlessly.

Italy itself was not very keen on this conference from the start. After all, it is obvious to all that East Africa’s establishment of this Southeast African Common Market is essentially about money-grubbing and clique-forming. In reality, if restrictions are completely lifted, which nation present could truly compete with East Africa? Ultimately, they would all become objects of East Africa’s exploitation and plunder.

Since that is the case, why did Italy still send representatives to this begrudgingly attended meeting? The reason is quite simple: they do not have the strength to say "no" to East Africa.

This situation is similar to the current Caribbean Sea Region; the United States is the Supreme Emperor of the Caribbean, and if a country does not give face to the United States, the U.S. has many ways to make life unbearable for nations in the region.

And Italy faces the same situation with East Africa; the Red Sea Colony is now Italy’s most significant colony, with a total population of millions, yet this colony is under East Africa’s nose.

Therefore, Italy must send government representatives to negotiate with East Africa; Spain and Belgium are in the same position.

In the past, their concerns were clearly not unfounded. From the late 19th century to the early 20th century, East Africa’s usual modus operandi was dominated by imperialistic arrogance.

Since the South African War, East Africa has initiated more than one aggressive war and preferred threats, intimidation, and even resorting to force in international affairs, especially those involving its own interests.

However, the direction of East Africa has now shifted; in the economic development sector, Ernst believes that tyrannical ways are not conducive to East Africa’s future international image. Furthermore, as East Africa’s economy and industry develop, a better integration into the international market indeed requires a more positive international image as assistance.

Take the Soviet Union in the previous life as an example; in the cold war’s later stages, it essentially became an undesirable presence. Many countries, guided by Western public opinion, collectively resisted this evil empire, which accelerated the Soviet Union’s disintegration.

Although the reasons are undoubtedly more complex, judging by the United States’ performance in the 21st century in the previous life, international opinion and image have become crucial factors that a country must consider in the global structure and competition.

Therefore, Crown Prince Friedrich soothed, "Italian representative, do not worry about East Africa exploiting this organization for profit. As I previously stated, our founding of the Southeast African Common Market originates from the intent to strengthen cooperation between various countries."

"And cooperation, of course, is carried out on an equal bilateral basis. So, East Africa certainly won’t let everyone suffer losses; rather, it will actively assist in your development."

That’s the rhetoric, but in economic cooperation between East Africa and these countries, East Africa will inevitably be in a leading position, given East Africa’s economic scale, industrial strength, and capital advantages that these nations cannot compare to.