Chapter 398
Translator: crow
Chapter Title: Quad
The cold currents between the two superpowers posed a grave threat to the nations that had been playing both sides shrewdly.
“Whichever way it goes, getting on the wrong side of either Korea or the United States means economic ruin.”
“This is getting really suffocating.”
If one had to name a country that suffered the most from this conflict, it would undoubtedly be the Republic of China.
“Rely on Korea for the economy, the United States for security.”
For China, which had been shouting this slogan while revving up its economic growth engine, the Korea-U.S. rift was nothing short of a catastrophe.
“We were just starting to catch our breath, and now this disaster on top of everything else. What a bolt from the blue.”
Chongqing’s President Li Yuanchu let out a deep sigh first.
Since Korea’s invasion of China in 1938, Chongqing hadn’t known a single day of peace.
When Korea was quiet, the warlords stirred up trouble, and when the warlords were quiet, the masses rose up.
“Hyperinflation, counterfeit money, refugees, economic panic, oil shocks, grain shocks—just thinking about it chokes me up.”
After Chiang Kai-shek, who had tried to establish order in China by any means, collapsed, the country had fallen into such a state that it was embarrassing even to call it a nation.
The peak of this was the year-long period of anarchy triggered by the Hong Kong handover crisis.
Taking advantage of that chaos, criminal organizations like the Triads proliferated across China, and warlords expanded their dominance.
“This is paradise on earth. Who’s going to crack down on us for selling a little drugs and women? Huh?”
The man who cleaned up this dire situation was Chiang Kai-shek’s son, Chiang Ching-kuo.
The “Rebuilder” who reconstructed the Republic of China cracked down decisively on the criminal syndicates and demonstrated finesse in gaining Korea’s favor.
“If China is in turmoil, the borders between Korea and the EA won’t stay peaceful either.”
After long efforts to persuade Korea, Chiang Ching-kuo finally secured their investment and attempted to rebuild the ruined nation.
Through these efforts, Chiang Ching-kuo achieved astonishing economic growth in China from the 1970s through the 1980s.
“No golden age like this in Republic of China history will come again.”
People even called it the “Miracle on the Yangtze.”
But there was a price to this growth.
“Trade with Korea accounts for 34%, with the EA 65%.”
Chiang Ching-kuo’s Republic of China had to rely heavily on Korea and the EA for growth, which deepened its subordination to Pyongyang in the process.
The saying went that if Pyongyang caught a cold, the Republic of China came down with pneumonia.
“So what can we do? We have no choice but to watch Pyongyang’s mood.”
This situation fueled discontent among pro-U.S. factions who sought closer political and security ties with America.
“Don’t forget, Korea are the enemy-like bastards who destroyed this country! The right path for us is a pro-U.S. line!”
Since many in the Republic of China’s military and government favored friendship with the United States, Chiang Ching-kuo couldn’t ignore this.
“Do you think I like Korea? I have no intention of changing the country’s diplomatic line, so put your worries to rest.”
The President officially prioritized diplomatic and security relations with the United States over those with Korea.
In this context, Chiang Ching-kuo placated the pro-U.S. faction by championing the slogan of “Korea for economy, America for security.”
“You know security matters more than the economy.”
President Li Yuanchu, who succeeded Chiang Ching-kuo, was no different.
But then, Korea and the United States began growling at each other in earnest.
So how should Chongqing position itself in this setup?
It was a headache-inducing problem for President Li Yuanchu.
The Chinese government was tearing its hair out over how to receive the Korean Prime Minister scheduled to visit China soon.
“The Korean Prime Minister is the second in the executive protocol order and fifth in the national protocol order—a high-ranking official. Treating such a figure’s visit lightly is bound to cause problems.”
“But if we fawn over the Korean Prime Minister, the Americans will be displeased for sure. Don’t forget—the United States is also one of our major trading partners!”
While the Chinese government hesitated, the Korean Prime Minister visited Chongqing.
Upon Korean Prime Minister Kim Duksun’s arrival, the Chinese government sent the Foreign Minister to the airport for a reception—calibrated to be neither overly enthusiastic nor rude.
This measured approach continued at the banquet hall.
The Korean Prime Minister also showed proper courtesy to the Chinese President.
The atmosphere remained decent until the luncheon began, with smiles on everyone’s faces.
That lasted ‘only a moment.’
Soon after, as the summit between the Chinese President and the Korean Prime Minister (Korea sent its Prime Minister to regional leader talks) began, Kim Duksun brought up a sensitive topic.
“I’ve heard that the Chinese government recently received an invitation to the U.S.-led Quad.”
It was undeniable that talks were underway to form a quadrilateral alliance centered on the United States, linking Australia, New Zealand, and the Republic of China.
When Li Yuanchu confirmed it, Kim Duksun reacted sharply.
“I hope China handles this matter wisely.”
Li Yuanchu momentarily doubted his ears.
What did this arrogant bastard just say?
Hoping China acts wisely?
But he couldn’t show displeasure on his face.
The other side was the world’s second superpower.
There was no benefit in offending them with China’s national power.
Li Yuanchu brushed it off politely, saying Korea’s concerns were overblown.
Prime Minister Kim Duksun didn’t press further.
But the issue didn’t end there.
Soon after, at a meeting where Korea’s Foreign Ministry Director for East Asia summoned the Chinese ambassador, he delivered these words.
“If China joins the Quad, we have no choice but to inflict great pain on Chongqing—keep that in mind.”
Considering how smooth relations between China and Korea had been since the Chiang Ching-kuo era, this was an outrageous statement.
In any case, Chongqing recognized that the Quad issue had become a serious matter tied to the “Korea-U.S. conflict.”
“Even so, we can’t back down on this. If we yield once, Korea will treat us like their property.”
The pro-U.S. officials’ argument had merit.
“But if we join the Quad, will Korea just sit still?”
“Your Excellency President, if we’re pressured on this, the United States is obligated to help us.”
President Li Yuanchu hesitated on the decision.
In the meantime, the pro-U.S. Foreign Ministry struck first.
“The Republic of China is keeping all options open regarding Quad negotiations.”
Korea immediately rebuked the Foreign Ministry’s interview.
“China, as a small nation between two great powers, needs to act with caution.”
The Chinese government explained it as a “misunderstanding” to the Korean side, but the Koreans didn’t buy it.
They had explained, but Chongqing couldn’t help feeling displeased.
“This is a sovereignty issue from the start—why is Korea interfering?”
Such sentiments began boiling within China.
It didn’t take long for public opinion to harden.
“Don’t bow to Korean pressure!”
As the domestic mood in China swung toward hardliners, Chongqing made its decision.
Opposing Quad membership here would topple the regime.
“Begin Quad membership negotiations.”
Korea then rolled out “retaliatory measures.”
“The Korean Foreign Ministry has designated China (Chongqing) as a no-travel zone.”
“Why?”
“Due to poor food hygiene, bad public safety, and overall insecurity.”
Everyone knew that was just an excuse and that it was really to pressure them over the Quad.
As soon as Korea took action, not only Third World countries but also Second World nations reacted.
“We’ll designate China as a no-travel zone too.”
No country was willing to stay friendly with China against the will of Korea, the bloc leader.
“Might as well score some points with Pyongyang while we’re at it.”
This brutal measure dealt a severe blow to the Republic of China’s economy, which relied heavily on tourism revenue.
But Korea’s retaliation didn’t stop there.
“Withdraw funds from Chongqing.”
As Korean capital withdrew en masse, it shocked the entire Republic of China economy.
“How can we not get any money?”
“The banks are out of won.”
The exchange rate skyrocketed suddenly, causing many Republic of China companies surviving on importing parts for assembly to go bankrupt without paying for components.
Korea’s merciless assault on the Chinese economy pushed unemployment past 40% in an instant.
U.S. emergency funding allowed Chongqing to catch its breath, but the damage was already fatal.
“But won’t this kind of pressure just breed hatred among the Chinese people?”
The Korean government had the brains to know such pressure tactics weren’t very effective.
The high-handed attitude Korea displayed this time evaporated the goodwill the Chinese masses had built up over years.
At this rate, even existing influence would evaporate.
Of course, Bae Sung-jun hadn’t made this bold move without calculation.
Korea’s high-pressure stance on the Quad was a message to all nations.
‘If you stand with the United States and take the lead, you’ll end up like China.’
Bae Sung-jun used China as an example to intimidate U.S. allies and friends from rashly siding with Washington.
“That doesn’t mean the First World will be scared off.”
“On the surface, perhaps.”
But once they started calculating actual gains and losses, no country would rush to take the lead.
If pushed to the front, they’d all hesitate in fear.
For Korea, even achieving that much was a sufficient gain, not an overstatement.
In any event, Korea’s actions this time were enough to be interpreted as an “attack.”
Starting with Bae Sung-jun’s preemptive strike, the United States entered full-scale maneuvers as well.