Chapter 192: Iron and Blood

Shanghai. This city was known as a paradise for adventurers, yet even among these Western adventurers, there was a distinction between the elite and the commoners.
Although everyone tried to maintain the superficial dignity of being white, often times so-called ordinary Westerners would completely lose their dignity in front of the Chinese, which angered those white people who considered themselves noble.
Decades later, when the Russian Empire collapsed, these whites were outraged by the White Russian prostitutes in Shanghai. In this timeline, they had even more pride.
Yet even these proud whites were still far from the top of society. They had never entered the International Settlement, nor had they become high-ranking officials. Though they could maintain a domineering presence in front of the Chinese, they behaved like slaves in front of these powerful figures.
One of the places they admired was this small villa in the British concession. Everyone knew that this villa hosted regular small salons, but no Easterner had ever been invited, nor had any lowly person ever joined such a salon.
Those usually arrogant adventurers would speak of these salons in a mysterious tone, mentioning the luxuries inside—though they had only heard about them.
In fact, this Jewish man’s villa could hardly be described as luxurious, with few luxuries at all. Yet being able to attend such a private salon was in itself a symbol of status.
Today, the dozen or so powerful figures in the salon were deeply troubled. A few were playing cards, but they weren’t really focused on winning or losing.
They had already received a huge deal. Due to the prolonged war, the French Republic had decided to shift its procurement routes from Hong Kong to Shanghai. Whoever secured this contract might be able to return to Europe ahead of time.
Though they were the top figures in Shanghai, they were considered second-rate in Europe and America. If not for certain factors, they would never have come to the Far East to expand their business.
Although they had gained much in this country, they had also lost much. If they had enough money and status, they would still prefer to return to their homeland, to the world of civilized people.
The French consul had already revealed the scale of this order. Although they didn’t know the full details and lacked some highly profitable military goods, the mere fact of becoming a supplier to the French military was enough to spark competition among many.
Moreover, the total value of this deal was likely to exceed one million pounds, with substantial profits. Even in Shanghai, such a business would draw fierce competition.
A fat man put down his cards and asked his future competitors, “How much supplies do the French want to purchase? To the point where Hong Kong can’t meet their needs?”
Another British man laughed, “They probably won’t be able to win this war without spending ten million pounds!”
“With those Black Flag troops?” The fat man couldn’t understand it. “They’re just a bunch of insignificant rebels!”

“That’s right! They’re just a bunch of insignificant rebels, yet they wiped out two entire French brigades—no one survived!”
“Am I listening to a knightly novel?” Although Fat Man was well-informed, he usually only paid attention to developments in the Yangtze River region. “Two infantry brigades? I thought they only had five or six thousand men?”
The Briton enjoyed this feeling greatly and took a satisfying puff from his cigar. “This is insider information! Just a month ago, the French lost twenty thousand soldiers near Hanoi—all local troops, not a single one survived. It’s said they were besieged by two hundred thousand Black Flag Army soldiers!”
“Two hundred thousand?” Fat Man, who had experience with the Taiping Rebellion, asked, “Two hundred thousand refugees?”
“You’re too close to Vietnam!” the Briton sneered at Fat Man, who was usually well-informed. “Look at the merchants here—who isn’t aware of this?”
Fat Man wasn’t convinced. “I’ve read newspapers and know the French have suffered some losses, but I’m only involved in silk and tea trade in the Yangtze River region!”
“But this year, no Chinese are buying Western goods, and we can’t export tea to the West either, right?”
This economic crisis affected not only the Chinese but also the merchants engaged in transit trade in Shanghai, who suffered huge losses. They had to seek more opportunities.
“The English-language newspapers in the concessions must uphold the dignity of white people, so their reports rely as much as possible on French official statements. The real situation could be terrible—so terrible that even if the French threw in ten million pounds, they still wouldn’t be able to win this war!” a Dutchman interjected. “I know more about this war than you do.”
Fat Man glanced at the Dutchman. He seemed new and not a big shot from Shanghai. Judging from his tone, his business scale was far smaller than those of the real big players. But he had to ask why. “Why? Because the Black Flag Army has two hundred thousand men?”
“Because they have Western-style weapons—at least fifty thousand rapid-fire firearms, hundreds of the most advanced European weapons, and one hundred thousand soldiers trained in European tactics!” The Dutchman clearly knew a lot about Vietnam. “Now they’ve gained even more weapons from the French, making them even stronger!”
“Really?”
“They’re just one step away from capturing Saigon!” The Dutchman pointed out an undeniable fact. “They’re still besieging Hanoi and Saigon—just one step away from completely defeating the French!”
“But I heard the French are sending more troops to Vietnam. This purchase is to prepare for that reinforcement!” Fat Man still tried to hold on to his doubts. “Besides, how could rebels have so many Western weapons?”
Everyone present listened attentively to this debate. Now, the Chinese issue wasn’t their top concern anymore—it was Vietnam. Only by truly understanding the situation in Vietnam could they reap the greatest profits.

But they did not believe the facts presented by the Dutchman. In this Eastern world, having 200,000 troops seemed like a feasible plan, but 50,000 modern rapid-fire rifles, several hundred European-style cannons, and 100,000 soldiers equipped with European tactics was simply fantastical. Even the most powerful army in this Eastern country, the Huai Army, could at most gather that many rifles and cannons, but it was utterly incapable of assembling such a large number of well-trained soldiers. In this Eastern world, there was only one country with such a powerful army: the Japanese Empire. A German expressed his doubts in a questioning tone: “I believe the French certainly didn’t lose to enemies with such advanced weapons. They can only fight effectively under the leadership of dwarfs and women!” “It’s simple—they really do have that many weapons!” The Dutchman smiled, took a sip of wine, and then slowly replied, “Because quite a number of those weapons were sold to them by me!” “Traitor!” “A shame to the West!” If such facts were published in the newspapers, headlines and attacks would immediately follow. But in this salon were the real power brokers of Shanghai. They were more concerned with interests; they were a group of Western adventurers who had come to the East, and now they had enough status and wealth to stand above ordinary Westerners. They didn’t care whether this arms trade was legal or whether it severely harmed the interests of Westerners, especially the French. They only wanted to know more facts. “Are there really that many weapons?” “What’s their financial situation?” “What kind of goods do they need?” Questions poured out from these merchants. Although they could obtain some information from documents or even hire experts for intelligence, this Dutchman became their most popular friend: “Mr. Desmond, welcome to our salon!” “I’m equally glad to meet so many like-minded friends!” Desmond had already exchanged business cards with them. He felt that even if he gained nothing from his trip to Shanghai, it would still be very rewarding. These power brokers of Shanghai, who had once seemed out of reach to him, were now treating each other as brothers. Of course, Desmond couldn’t reveal everything; he gave a selective account: “The Black Flag Army once purchased arms worth one million Spanish piastres from me—thousands of rapid-fire rifles and a large amount of military supplies. I must say that they can produce some breech-loading rifles and bullets on their own…” “What kind of rifles? Do they really have 50,000 rifles? And yes, several hundred cannons too!” Desmond revealed part of the truth: “All I know is that the Black Flag Army obtained about 7,000 rapid-fire rifles from me, along with kits sufficient to assemble thousands more rifles. As for the combat effectiveness of their troops, it’s clear from the performance of the French army!”

For an Eastern force capable of defeating Western armies, their first reaction was hatred, but their second reaction was a huge business opportunity—they would deal with the devil for profit. They were more concerned about the Black Flag Army’s financial situation and payment ability. They knew that some Black Flag bills were in limited circulation in Shanghai, and this military group had already become something like a small nation, with considerable payment capacity. However, their credit seemed poor. After the war began, French merchants in Haifang and merchants from various countries suffered severe losses—a situation so bad that even those far away in Shanghai heard about it. “I heard that before the war, you purchased military supplies worth six or seven million francs from Haifang, but you never paid!” Demons laughed. “Gentlemen, it was the French who started the war, not us. Only the Oriental Bank of Haifang suffered some losses. But who asked them to support the French’s unjust war?” It wasn’t just the Oriental Bank that suffered; these merchants were concerned about whether they could get some return. They asked, “Mr. Demons came to Shanghai, surely to seek opportunities?” Just as the French turned their attention to Shanghai, the Black Flag Army also wanted to gain sufficient support in this paradise for adventurers. “The Black Flag Army’s financial situation is very good, but to continue the war more effectively and flexibly, we need to borrow 300,000 pounds in Shanghai!” 300,000 pounds wasn’t a small amount—on the contrary, it was a huge sum in that era. But that didn’t mean these powerful figures didn’t have the means. In fact, they had previously participated in military loans for Zuo Zongtang’s western campaigns, one of the most profitable investments in history, benefiting everyone involved, including Zuo Zongtang himself. But lending to the Black Flag Army was a problem they had never encountered before: “What will the Black Flag Army use as collateral?” Demons conveniently produced a stack of lists. “To clarify upfront, some of these properties conflict with those of the Oriental Bank!” These were the top mines in China and South Vietnam. In addition, the Black Flag Army offered significant interests in Vietnam, from ports to road-building rights—everything. If a commercial consortium handled this deal, it would involve millions of pounds. “But you’re not a legitimate fighting group, and you’re at war with the French!” The fat man pointed this out clearly. Such an investment carried extreme risks—there was a possibility of losing everything, unlike other investments that at least retained some residual value. Moreover, unlike previous unfair loans, where the Qing government would yield after just diplomatic efforts, such a good outcome wasn’t likely here. But Demons laughed. “That’s why the return is high!” “It’s not high!” The fat man saw it clearly. “It’s not much higher than the interest rates we charge the Qing government or local governments! And the amount is too small!” “How do you plan to proceed?” Demons smiled. “I can follow your advice!”

“Five hundred thousand pounds!” The fat man blurted out such a large sum crisply: “We can invest another million pounds, and that at a 30% discount!”
“35% is the best I can do with my authority!”
In these unequal loans, most required discounts on paper value; the Qing government deducted discounts and issuance fees, often leaving little more than half of the amount. A 30% discount from the fat man was already considered a good deal.
“What kind of return will we get?”
“You can choose the projects you like from the list, and the Black Flag Army will guarantee your ownership! Starting now!” Desmond assured them: “Besides, I believe you’ll invest more soon!”
“Is the war coming to an end?” The fat man clearly understood the ins and outs: “Do the French still want to send more troops?”
“They can’t send more troops!” Desmond was clearly stating completely unreliable information: “They’ve suffered another major military setback!”
Everyone present became excited—such insider information was exactly what they loved. They could take this opportunity to carry out a large-scale operation and earn some extra money.
“30%! If the Black Flag Army can secure a victory!”
Demons smiled: “No problem! You’ll hear news of victory soon!”
……
Countless bullets struck the steel plates, producing loud explosions. The French, with incredible courage, had broken through seven lines of defense and advanced toward Hanoi.
Their new tactic had paid off. In the eyes of the Navy Ministry bureaucrats, it was a huge success, as no ships had to return to Haiphong due to damage, unlike usual. Moreover, normally, about 30% of personnel lost would be casualties, but so far, among the 3,000 soldiers packed into the ships, the total casualties were no more than 500.
“No more than 500?”
Major Mason, who personally commanded the operation, sighed bitterly: “Or rather, we’ve paid the price of an entire infantry battalion!”
Yet the morale of the entire fleet finally recovered to a decent level after the initial setbacks, and the Black Flag Army couldn’t break through the French’s new tactic. During the decades-long Taiping Rebellion, the Hunan Navy had used this tactic before. They tried countless methods to block the Taiping forces’ attacks but eventually found that charging head-on resulted in the fewest losses.
Now, the French could only do the same.
“Thank God, all this suffering is coming to an end!”
During this short journey, the Black Flag Army had used every ounce of their strength to attack any moving targets at sea. They even used torpedo boats to blow up a steamboat to pieces.
But in any case, this ordeal-filled journey was finally over.
He wasn’t aware that just a few hundred meters ahead, Liu Yu was personally leading the artillery to monitor these brave enemy ships.
“Tokyo Express? The French are resorting to such tactics too!”

Every warship was covered in blood. Liu Yu thought that if it were him, he would rather break through by land, using several infantry battalions to advance steadily and mobilize his main forces. But he wasn’t a French commander, so he naturally couldn’t understand the French army’s intentions. He simply said to Liu Suiyun, “There’s no limit on shells today—anything fired is a good shell!” Just then, a motorboat entered range, but the Black Flag Army didn’t start shooting; instead, they waited quietly for the entire fleet to be within range. The motorboat was fast and quickly passed through the ambush position. The French army was well-organized and moved swiftly, and soon two gunboats were also within range. Liu Yu was about to breathe a sigh of relief when he heard a sharp whistle—the French fleet suddenly accelerated. “Enemy ambush! Enemy ambush!” Now he could see more clearly. The French method of rapid deployment was like putting people on top of cannons. Although they had lost many soldiers along the way, the decks were still packed with soldiers. They also became nervous and began firing their rifles aimlessly. The Black Flag Army’s artillery opened fire almost simultaneously. The two sides’ cannons exchanged fire at close range, with several shells destroying one of the Black Flag Army’s artillery positions. But the Black Flag Army’s artillery wasn’t weak either. Several shells were fired instantly, hitting the decks and turning the soldiers on them into a mass of blood and flesh. Then a huge wave surged over the decks, washing away all traces of the battle. “Speed up! Speed up!” To the Black Flag Army’s surprise, the French didn’t use their superior firepower to crush their artillery. They even abandoned a gunboat hit by several shells and headed straight for Hanoi. The small gunboat and its soldiers emitted sharp whistles, but the entire fleet ignored them and continued full speed toward the north, toward Hanoi. The Black Flag Army had deployed dozens of large and small cannons in this area, and the shells they fired instantly turned the river into a sea of fire. Yet the French fleet passed through these firestorms without any intention of fighting and headed straight into the distance. “Damn it!” The Black Flag Army’s artillerymen had just started shooting when they realized the French had already fled. They were furious and could only vent their anger on the two damaged gunboats. These two gunboats launched a full-scale counterattack. Though in a desperate situation, they had great courage, and their soldiers used their comrades’ corpses to fight back. But against the barrage of shells, all resistance was almost meaningless. Liu Yu clearly saw shells coming from all directions, completely destroying one gunboat. Even its designer probably wouldn’t have recognized it as his own creation. After the bombardment, nothing remained of that gunboat but scrap metal and corpses.

The main French fleet, fleeing in the distance, was attacked once again. They likewise avoided engaging in prolonged battles, using firepower to clear a path before the entire fleet moved forward at full speed.
“Compete with me in terms of casualties?”
Liu Yu had such a absurd thought. What he didn’t expect was that the French had such a strong attachment to Hanoi—they were willing to do anything to hold onto the city, even to interfering in tactical decisions.
In his opinion, what the French should do now was abandon Hanoi outright and retreat to the coast, forming a defensive position like a hedgehog that the Black Flag Army couldn’t break through no matter how they attacked.
What was the point of sending three more infantry battalions to reinforce Hanoi today? They had already suffered heavy losses on the road, and in the Black Flag Army’s territory, any reinforcements would be quickly exhausted.
Yet the French continued to waste their troops in this meaningless battle for Hanoi—only to create an even more favorable situation for the Black Flag Army.
No matter what war resources France possessed, they would be completely depleted in such a struggle.
“It seems I must teach the French high command a lesson: on the battlefield, steel is more powerful than carbohydrates—or rather, human will alone can’t decide everything!”