Chapter 627: Trade Disputes
Wisgen Street in Munich had gathered around four to five hundred people, mostly workshop owners, artisans, and laborers from Munich, along with a small number of shop owners.
They held high wooden signs emblazoned with slogans like "French goods out!" and "Raise tariffs!", as well as a straw man effigy labeled "Kajetan Dietrich."
Dietrich was the diplomat who had signed the Rhine-Seine Treaty on behalf of Bavaria.
Berlant and his sons joined the procession, shouting slogans protesting French goods alongside the surrounding crowd.
Moments later, a horn blast rang out at the front of the line. Gabriel, a senior councilor of the Munich Chamber of Commerce, stood atop a carriage, waving vigorously and calling out:
"Everyone, follow me to that damned department store!"
He had come in a personal capacity, but such a large-scale protest would never have been organized without the involvement of the Munich Chamber of Commerce.
The crowd erupted in cheers and surged en masse towards the France Department Store, following Gabriel.
Three black carriages passed by the protesting crowd. The window of the middle carriage suddenly opened, and Lord Grenville, the British Foreign Secretary, leaned out, studying the words on the signs with keen interest.
"Sir, may I ask what you are protesting?"
It took considerable effort for Berlant to understand his Low German, but he rasped:
"Our shops are going bankrupt, milord. Those damned officials, to curry favor with the French, set the tariffs incredibly low. Everyone is buying French goods. We cannot let this situation continue."
He had forgotten, of course, that when the Rhine-Seine Treaty was first signed, these same workshop owners had celebrated the prospect of entering the vast French market.
As he spoke, he quickened his pace to catch up with the main group.
Grenville, meanwhile, recalled similar protests that had occurred in Vienna not long ago and immediately instructed his coachman to follow the procession.
In front of the France Department Store, Berlant and the others set fire to the straw effigy of Dietrich, waved their signs, and cursed loudly. Soon, they clashed with customers trying to enter the store, and a brawl even broke out.
Half an hour later, the police and military arrived, one after another. Blowing their whistles, they dispersed the protesting workshop owners and arrested some of the most aggressive instigators.
Inside the carriage, Lord Grenville's assistant watched as the middle-aged man they had just spoken with was led away by two policemen, shaking his head as he remarked:
"These poor fellows, to think a mere few hundred people could influence the entire trade landscape."
Grenville, however, gazed with interest at the chaos outside the department store, stroking his walking stick as he said:
"Kevin, this is just one city.
"Throughout Bavaria, there are likely thousands of such protestors. And from what I've gathered, in Austria, Württemberg, Salzburg, and other places, there are also many people dissatisfied with the low tariffs."
Kevin shrugged. "Yes, my lord, they will keep the local armies busy for a while."
Grenville closed the carriage window and smiled at his assistant. "Kevin, you must consider that their anger stems from the same cause: French goods are stealing their business."
"What are you suggesting, my lord?"
"If these people could be united, that would be an astonishing force. And their target is France."
Grenville leaned back against the seat and instructed his assistant:
"Kevin, we will not proceed to the Southern Netherlands for now. Arrange meetings for me with Pappenheim and Dietrich—oh, and the president of the Munich Chamber of Commerce."
Pappenheim was the Bavarian Foreign Minister, while Dietrich was the Trade Commissioner.
A week later.
In the hall on the second floor of Schönbrunn Palace, Cobentzel, the Austrian Minister of Interior, watched the suddenly arrived Grenville with a solemn expression, and nodded, saying:
"As you've just stated, my country's financial situation is far from optimistic. Last year, new debt exceeded five million florins."
He was already doing his best to hide the full extent of Austria's debt from his British visitor. In reality, Austria's new debt last year was nearly ten million florins, and its total debt exceeded one hundred million florins.
Cobentzel continued, "However, His Imperial Majesty has approved a plan to issue paper currency. This will greatly improve our financial situation. I hope your country can support our paper currency in terms of trade..."
"Paper currency is indeed a very effective financial tool," Grenville interjected loudly. "However, you should perhaps be more concerned with your nation's trade imbalance, otherwise the deficit will only continue to accumulate."
"Yes, our trade income has seen some contraction."
"It should be a significant contraction," Grenville corrected him bluntly. He had already acquired a general understanding of Austria's recent trade data through various channels.
"Meanwhile, your country's trade expenditures have continuously risen. If I may be frank, if this situation does not change, Austria's finances will soon face collapse."
Hearing this, Cobentzel exclaimed with delight, "Then, are you offering my country a loan?"
Count Rheinfels, the newly appointed Foreign Minister, also smiled. "Or perhaps we could facilitate a new trade cooperation agreement?"
Grenville shook his head. "You misunderstand. I intend to help your country solve its trade imbalance problem.
"You must have noticed that the Rhine-Seine Treaty has severely worsened Austria's trade situation.
"A large volume of French goods has flooded your country. You have paid a great deal of gold for this. Meanwhile, your products have little market in France and are even beginning to lose ground in the South German market.
"I believe this agreement is extremely unfair."
Cobentzel and Count Rheinfels exchanged glances, both remaining silent.
Grenville continued, coaxing them: "Your country must renegotiate the tariff rates with France to reverse this situation."
Cobentzel immediately shook his head. "France and Austria share a deep friendship; we are not prepared to do that."
He paused, then added, "Your suggestion would only provoke France, possibly even leading to war for our country."
Trade disputes were the second leading cause of war in this era, surpassed only by issues of succession.
"You needn't worry." Lord Grenville, however, offered a confident smile. "My country will fully support your nation's trade demands."
Without waiting for the Austrians to refuse, he continued: "To be frank, before coming here, I visited Bavaria and Salzburg. They also believe the Rhine-Seine Treaty urgently needs revision.
"I can help you convince Württemberg, Augsburg, and all other signatory nations to unanimously demand a renegotiation of the Rhine-Seine Treaty.
"Under the combined pressure of so many nations, France will have no choice but to compromise."
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