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Chapter 1:
Re-building the Fatherland

Germany is destined to become a super power in Europe, if not the world! The Fatherland will have the most modern armed forces, lead by the most skilled commanders. In order to achieve this, however, the military, and the country itself, need to be rebuilt essentially from the ground up.


It begins with a minor shake-up of the cabinet. I briefly considered installing one of the +5% IC/+10% industrial research armaments ministers, but with only 3 industrial projects, the extra 5% IC from Schacht is simply too valuable. Diels' benefit will be useful in the short-term, but we will revisit the security minister sooner rather than later.

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German technical schools and industrial centers are bustling with activity, as funding for new research projects pours in from the revitalized economy.

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With limited spare capacity for fresh units, the promise to the Kriegsmarine of 2 powerful new capital ships simply cannot be kept. The fast battleships Scharnhorst and Gneisenau are scrapped on the ways. Few tears will be shed for these inadequately armed ships. Their 11-inch gun barrels will go to better use in other applications (railway artillery, anyone?).

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In order to economize on government expenditures, several old destroyers are transferred to convoy duty with the merchant marine. The Kriegsmarine is scarecely weakened by the loss of these decidedly un-modern ships.

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V-25 class destroyer in top notch condition awaiting sale


This bolstering of the merchant fleet comes at an auspicious time, as Germany hopes to implement a significant trade surplus, with the hopes of achieving a wartime reserve of resources.

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Through a combination of bribes, deceit, political intrigue, criticism, rude gestures, and foul language, undesirable elements of the Wehrmacht officer corps are either shifted quietly to non-essential positions or forced into retirement. Enraged by the heavy-handed manner of the new government, a clique of 'Old Prussians' forms a small resistance ring, which is quickly uncovered. The guilty parties are summarily executed, most meeting their end honorably by firing squad.

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The government, confident of the fervent nationalism of its people, now feels confident abrogating the terms of the treaty of Locarno, and in re-militarizing the Rhineland. German citizens line the streets in awe of the latest Wehrmacht-issue, saddle-equipped, Mark I horse.

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England and France, the chief enforcers of the Locarno treaty, do little more than issue a weak protest. Privately however, the gears of war begin to churn.

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Emboldened by the timidity of the Western Allies, and spurred by the need to maintain national secrecy with regards to her war aims, Germany commences an aggressive counter espionage-campaign. The Soviet Union remains the chief ideological enemy of the Reich, and so receives top priority for infiltration of secret agents, along with the USA and the UK. France is deemed weak enough that some funding is diverted to other areas.

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Although production of 2 new fast battleships had recently been cancelled, the Kriegsmarine did receive a new unit in the form of the KMS Graf Spee. Though termed a pocket battleship by French and British observers, and armed with relatively heavy guns for her displacement, the Graf Spee and her sisters are no replacement for true capital ships.

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KMS Graf Spee in harbor. Note the long line of scuttles, betraying her lack of an armored belt.

With the influx of funding from the acquisition of the Rhineland, a freeing up of production with the completion of the Graf Spee, and increasing espionage costs, the decision is taken to reduce somewhat the expenditure on industrial research. Germany remains confident of achieving a technological superiority, however. The surplus of money will help fund the acquisition of foreign technology, once a suitably large force of agents has been established.

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So the KM won't have Battlecruisers...do you plan to build real Battleships?
Or will you go for a mainly Sub fleet?
 
Cool, it is back.

Mj. General Mico ready to kick ass with his Alpenjaeger division, sir! :D
 
Rebuilding the Fatherland (cont)

The Reich Economic Office takes an even firmer hold over the national industrial complex, centralizing manufacturing and standardizing production. Many are outraged by the heavy handed-ness of the government, and national dissent soars to nearly 20%.

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Wehrmacht forces receive marching orders for their first campaign, though there will be little enough glory to be won. The entire army is to be used in the subjugation of the national opposition. An unpopular method, perhaps, but critics cannot argue with the results. German production capability reaches new heights.



The Kriegsmarine scarcely lays eyes on its most recently produced destroyer flottilas before they, too, are sold to the civilian merchant marine as escorts for the convoys.

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Due to reduced funding being channeled into the private sector, it is not until the beginning of June that the first new technologies are developed. IG Farben does not rest on its laurels, but immediately launches a new campaign of discovery.


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Degussa is not far behind IG Farben in terms of research speed. New agricultural products and techniques will encourage the population to grow, providing a steady stream of new recruits for the Wehrmacht.

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A slow trickle of new equipment means that it has taken nearly six months for the headquarter's staff of Heeresgruppe A to be re-rated as an HQ '39.

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Staff officers are particularly pleased with the ultra-modern communications equipment

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Six months after taking office, the current government can take satisfaction in the large gains made in terms of national policy, though there are fewer successes in terms of actual production or research. A medium sized spy network has been established, and although not totally satisfactory, there is promise for future operations.

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2 Research projects have already been completed, and several others nearly so.

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The first militia division is nearly ready for assembly, as well as a flottila of transport ships. The first new panzer divisions won't be ready until September.

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National dissent has been almost totally eradicated by a combination of strongarm tactics, and mollification of the population by extensive public improvement projects.

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The people of Germany have reason to be pleased. The Fatherland is well on the way down the road to recovery. 2 events occur, however, which will have far reaching consequences for Germany and her prospective allies. In Spain, on the heels of an important election, right-wing extremists murdered Jose Calvo Sotelo. The very same day, half a world away, the Guangxi Clique declared open warfare upon Chiang's Nationalists.

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I hope that our glorious generals will see some action in Spain soon.
 
Chapter 1
Rebuilding the Fatherland (cont)

The Spanish Civil War, a bloody and ferocious conflict, erupted in the early summer of 1936 following a revolt by ultra-nationalists, led by a number of senior army generals. Manuel Azana, leader of the republic, was unable to mediate between the various left- and right-wing parties then in existence in Spain, and the revolt quickly spread.

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The right-wing parties eventually fused into a single entity led by General Francisco Franco. United as they were by their anti-communism, the Francoists quickly found support from Fascist Italy and Nazi Germany.

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Though the US lodges formal protests regarding foreign expeditionary forces and their involvement in the growing conflict, many see this as mere posturing, as Ford, Studebaker, and General Motors continue to supply both the Francoists and the Republican Loyalists with large numbers of trucks and machine tools.

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Nationalist troops on parade, in US built trucks.​


The Spanish state is fractured into several distinct regions. Franco and his rebellious army control the north-west, along with small enclaves in the south and east, particularly in the area of Cadiz-Seville. The Loyalists control the south-central areas, including the major centers Madrid, Valencia, and Barcelona. Meanwhile, Basque Nationalists seized their ancestral homeland from the Francoists, and sided tentatively with the Republicans.

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Although supplied with funds and materiel by the Soviet Union, the Republican fortunes quickly took a turn for the worse, as Nationalist forces overran the Basque and Catalonian regions by the end of August. The seizure of these areas was ruthless and brutal. Nearly 500 Basque freedom fighters were shot as traitors, and the town of Guernica was terrorbombed by the German Condor Legion and the Italian Aviazione Legionaria.

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An aerial photograph of the ruins of downtown Guernica


Meanwhile, German technological conquests are equally furious, with new discoveries in the study of light and fleet carriers, submarines, destroyers, interceptors, and computing machines.

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Newly raised Wehrmacht units begin to appear as well, including transport ships, militia divisions, and the first mountain troops, all of which are ready for action before the end of August.

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These additions are quickly followed by 2 new panzer divisions in September.

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Chapter 1
Rebuilding the Fatherland (cont)

January 1, 1937 is the anniversary of the accession of the current government. The Chancellor assembles his cabinet for a review of the state of affairs. Public support for the administration is strong, mainly due to the fact that domestic dissent is dealt with harshly by military forces. As a result, many diplomatic policies are forced through the Reichstag against meek opposition.

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Aided by governmental subsidies and a centralized administration, German industry has begun producing the military units necessary to a strong Fatherland. Though the lack of motorized infantry divisions is distressing, the panzer arm has increased in size by 133%.

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German engineers and scientists, though often hamstrung by lack of funding, have made significant technological advances. Many current projects are nearing completion as well.

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These theoretical advances are being put to the test by 'advisors' on loan to the Spanish Nationalists via the Condor Legion. Opposed by an enemy equipped with modern weapons, the Republicans have been driven to the brink of destruction.


Meanwhile, in the Far East, Nationalist China has made little progress in its war against the Guangxi Clique.

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Over the course of the next 6 months, further advances are made regularly by German scientists and technicians.

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Apart from technical advances, German efforts in the field of espionage and military intelligence receive a boost when both Japan and Italy agree to sign the anti-comintern pact on March 2, 1937.

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On the military front, Germany's aid to Franco during the war against the Loyalists has been critical. The Nationalists have united the country in little more than 9 months. Articles of annexation are signed in Madrid on April 26, 1937.

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The opportunity for practical experimentation has passed, however the knowledge gained will prove quite useful. Cadres of experienced warriors are able to pass on the lessons learned to their units back in Germany.

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Not long after the return of the Condor Legion from Spain, German diplomats learn of a clash between Japanese 'protection troops' and Kuomintang forces near the Marco Polo bridge in Beijing. The bellicose Japanese are not long in opening general hostilities against Nationalist China as a result of this skirmish.

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Nice progress, but I think we should produce more interceptors.
What intel do we have about the Entente air forces?
 
Rebuilding the Fatherland (cont)


In the eighteen months since the accession of the new government, Germany has been invigorated by a centralized economic policy and social unity.

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The German people are highly nationalistic, and public rallies become more and more common.

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Thousands of Germans turn out to show their support for sandwiches.


More and more equipment is being issued to the Wehrmacht, most being of very modern design.

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The Kriegsmarine, however, comes a weak third out of the 3 major services, and modern ships are scarce. More noticeable is the lack of young and energetic officers and sailors.

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Artists impression of 'young' German sailors aboard a training vessel, late 1930s.


Saving funds by cutting back on the production of ships has, however enabled the industrial sector to make many new advances. By July 1, 1937, German technical know-how in many areas is cutting edge.

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Several new advances are made within 6 months.

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The contrast in particular between modern aircraft is significant. On Dec 26, 1937, the day of the maiden flight of the elegant He-111 medium bomber, the majority of RAF bombardment wings were equipped with the Handley-Page Heyford, with no satisfactory alternative having yet been developed.

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With a top speed of only 140 mph, the Heyford was hopelessly obsolete even before it entered service in 1932.

Spying efforts have also been ramped up, with a focus on industrial and military espionage.

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Stolen enemy intelligence flows into Germany from a plethora of sources. Some of it is immediately put to use, some of it not.

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