Lampson, the British 'liaison officer' in China, looked like a very casual person, dressed simply and looking very common. He didn't have the Victorian pride of the previous British Minister to China, Jordan. Hearing that He Rui was willing to have a sincere dialogue with him on diplomacy, Lampson stated what he cared about most, "According to Mr. Morrison's description of your country's economic thinking, I believe China can become a very large market within five years. I wonder how Your Excellency regulates access to the Chinese market."

"Mr. Lampson, China has a very large market. With such a market scale, the demand for imports and exports is almost infinite. From an economic perspective, adopting a high tariff policy is of no benefit to the Chinese economy. However, China is a backward country in terms of industry, so we must adopt certain trade protection to promote the development of China's local industry. Under two seemingly opposing demands, we will adopt two policies."

"I would like to hear the details," Lampson asked calmly.

"For industrial products that can be produced in China—please note, industrial products—we will adopt reciprocal tariffs with trading countries. For example, if Britain imposes a 20% tariff on Chinese textiles, we will also impose a 20% tariff on British textiles. If you impose a 1% tariff on Chinese textiles, we will also impose a 1% tariff on British textiles."

Lampson knew very well that Britain needed a huge market. Although the Chinese market was not large yet, it had great potential. If he could obtain a share of the huge Chinese market, it would be of great benefit to the current British free trade system, and Lampson himself could receive generous rewards for this contribution. Lampson listened attentively to He Rui's narration and tried his best to understand the meaning of He Rui's words. The British recorder beside Lampson was also recording quickly, striving not to miss a single word.

"For commodities that China cannot produce at this stage, we have decided to adopt a trade policy of filling the gaps. We encourage enterprises producing these commodities to invest and build factories in China, and we give tax incentives to these enterprises. However, for such commodities, we will adopt relatively high import tariffs. This is our basic trade thinking."

Hearing this, Lampson's first thought was that China wanted to imitate production. But such a thought did not make Lampson unhappy; imitating British industrial products was something all countries in the world were doing. The United States copied and imitated Britain, Germany copied and imitated Britain, and even France copied and imitated Britain. Adding a new China was not too many.

However, Lampson asked, "Your Excellency, what do you think about the patent system?"

"China is already establishing a patent system and will continuously improve it. In promoting research and development, the patent system has its promoting role. Technology transfer will also improve industrial development efficiency, and China will not oppose it."

After listening to He Rui, Lampson wanted to refill his water. The orderly beside him took the empty kettle, brought a bottle of freshly boiled water, and refilled water for He Rui and Lampson. Lampson also took this time to sort out what He Rui said.

He Rui had several nicknames in the British Foreign Office before, one of which was 'Elector of the East.' This nickname borrowed from the Prince-Elector system of the Holy Roman Empire. The British Foreign Office at that time hoped that China would be de facto divided, with various 'Electors' maintaining China's actual division and legalizing this division by taking turns in power.

Of course, He Rui also had other nicknames. Britain believed that China might be unified through a bloody civil war. Those who held this view called He Rui the 'Warlord Philosopher.' British Far East diplomatic personnel first knew of the existence of such a figure as He Rui because of the book *Elementary Understanding of Geopolitics* and a series of manuscripts on Far East politics.

Lampson's understanding of politics came from the education he received in Britain, and he understood the British political order very well. The British Prime Minister automatically serves as the First Lord of the Treasury, while the Second Lord of the Treasury actually runs the Treasury, and the power of the Chancellor of the Exchequer must be firmly held in the Prime Minister's hands. Except for electing a wartime Prime Minister during wartime, in peacetime, Britain tended to have politicians with a financial background serve as Prime Minister.

From this perspective, even if the content He Rui said was provided by He Rui's Minister of Finance, being able to explain it so clearly and plainly proved that He Rui was undoubtedly a politician.

Thinking of this, Lampson took a sip of hot tea ready to speak, but the tea was too hot and scalded his lips instead. He pursed his lips and couldn't speak. The waiter beside him poured a glass of cool boiled water for Lampson. After Lampson drank it, he felt the scalded area was much better. Only then did he speak, "Your Excellency, we all know very well that the British Empire has many imperialists and many racists. However, the British Empire is not narrow-minded; we will frankly admit that even in Britain, you are one of the very few most outstanding figures. Therefore, I hope to conduct the following conversation with you at the height of top European politicians. Is that okay?"

Seeing He Rui nod, Lampson continued, "At present, the British Empire must restore order in the Far East, so we require China to recognize all previous treaties. I believe you can understand the necessity of doing so."

He Rui did not answer. The unhappiness of Li Shiguang and Yan Huiqing beside him was already revealed in their expressions.

Lampson knew that He Rui was a reasonable person, but He Rui's subordinates might not be. Especially in the current moment of military victory, let alone Chinese officials, officials of any country would be hijacked by nationalist sentiments and make irrational choices. Persuading these people to restore rationality was the job of diplomats.

Lampson looked at Li Shiguang and Yan Huiqing, then turned to He Rui. "Your Excellency, you know very well that the government of the British Empire is not stupid. What cannot be obtained on the battlefield will definitely not be obtained at the negotiation table. Even if all treaties are restored, the British Empire will not send troops to China to be your hostages. The British Empire will convene an international conference to recognize the status quo. The customs and sovereignty issues already in your government's hands will be resolved at once."

Hearing this, Li Shiguang frowned tightly, and Yan Huiqing looked solemn, but there was a look of deep thought in his eyes.

He Rui did not answer Lampson's words but skipped this topic. "Let's exchange views on specific issues."

Lampson felt his heart drop back into his stomach. Getting He Rui to accept the recognition of old treaties was the hardest step. Lampson felt that He Rui chose to face reality like those shrewd politicians. This was a good foundation. On this basis, Lampson put forward the British request, "Concessions are British assets. You have seized the concessions and confiscated the assets without compensation. We require you to redeem them at a discount according to the method of the Shandong issue."

After listening, He Rui answered immediately, "This is impossible. We absolutely do not recognize the rights and interests Britain plundered through war. We will never recognize this part of assets. However, for the part belonging to private enterprise investment, we can give those private enterprises discounted redemption. As for the assets of law-abiding British merchants, we didn't confiscate them in the first place, so there's nothing to talk about."

"Are you not prepared to recognize the indemnities?" Lampson asked. Although he knew He Rui would not make concessions in this regard, this matter had to be made clear.

He Rui also answered unambiguously, "I just said that we do not recognize any rights and interests plundered by foreign governments from China through war. Whether it is so-called concession investments or war indemnities. The Republic government absolutely does not recognize them."

"Your Excellency, you are not being sincere in doing this," Lampson replied.

"I can understand Mr. Lampson's meaning, and I can also understand the British public opinion faced by the British government. I can point out to Mr. Lampson the best way to alleviate the pressure on the British government. That is for the British government to take the lead, unite with European and American countries, and organize an expeditionary force of 1 million troops to launch an expedition against China. I am not talking nonsense with numbers. Based on the performance of European and American countries in the European War, the heavy firepower you equip these 1 million troops with can indeed ensure that 1 million troops have the strength to confront 2 million Republic National Defense Force troops. Only when forces are evenly matched is it possible to win. After all, you are on a tired expedition, while we are waiting at ease, occupying a defensive advantage."

Lampson was truly disappointed in his heart. Such a smart politician as He Rui actually played the trick of nationalist sentiments, which made Lampson feel it shouldn't be something He Rui could do.

Seeing Lampson's resentful look, He Rui couldn't help laughing out loud. "Hehe, Mr. Lampson. You must have misunderstood me; my words are by no means a threat. London, Manchester, Birmingham, Winchester—supporters of British conservatives will show extremely belligerent reactions when far away from the battlefield. Only when the conscription notice is delivered to their doorstep and they are asked to sign it can those British people understand that their actions of threatening the British government by expressing belligerent remarks during the day come at a price, and they have to pay the price for their political stance. Since they incite war, they should participate in war. If a million-strong European and American army defeats the Republic National Defense Force, China will naturally be at the mercy of the victorious nations. Even if harsher treaties are formulated than before, China has to accept them. If Europe and America do not win, hundreds of thousands of body bags of sacrificed young lads can make those who shamelessly incite war sober up and treat the British government's policy of seeking long-term peace rationally. Mr. Lampson, do you understand?"

Lampson had heard Jordan recount this kind of threat from He Rui. At this time, he only felt that He Rui repeating the old trick was meaningless, and replied unhappily, "Your Excellency, you won't ask me to issue a warning to the Viceroy of India next, warning them that they will be attacked by the Chinese army, right?"

He Rui explained with a smile, "Of course you have to issue a warning to the Viceroy of India, but the content is not that the Chinese army will launch an attack. The Chinese army will not attack Britain. Countries like Burma will invite China to suppress bandits because armed bandits claiming to be the British Empire have appeared in their countries and attacked them."

Lampson originally wanted to keep a straight face, but seeing He Rui's serious manner, he couldn't help laughing through his nose with that unique British accent. "Hmph, as the person who wrote *Elementary Understanding of Geopolitics*, Your Excellency actually says the names of countries that do not exist in the world; it is truly incomprehensible."

He Rui replied seriously, "Mr. Lampson's geography was learned from Britain, and my geographical knowledge was learned from Chinese history books. Whose education is correct indeed needs full verification."

Seeing the meeting end with such a result, Lampson sighed, "Your Excellency, it is truly disappointing to get such a result from this meeting."

"No, I don't think so. Mr. Lampson, you are just a British subject in China. However, out of personal friendship, I will present you with a copy of the Republic government's vision for the future. Please correct me if there are any mistakes." After speaking, He Rui waved his hand, and the secretary immediately delivered two documents to Lampson.

Lampson opened them and took a look. Both documents had Chinese and English versions. They were the Republic government's plan for handling foreign assets in China and the content that the Chinese government would provide legal protection to foreign legitimate merchants.

At this point, there was no point in talking further. Lampson picked up the two documents and bid farewell to He Rui.

After Lampson left, Li Shiguang looked at Yan Huiqing beside him, then turned to ask He Rui, "Chairman, why didn't you accept Lampson's suggestion?"

Yan Huiqing actually wanted to ask this question but didn't quite dare. He didn't expect Li Shiguang to ask so frankly. But recalling Li Shiguang's sharp gaze just now, Yan Huiqing felt the determination of the young officials never to yield, and felt both moved and uneasy in his heart.

He heard He Rui reply, "Lampson just said that what cannot be obtained on the battlefield will definitely not be obtained at the negotiation table. We have neither reason nor necessity to make concessions. If we want Britain to accept our proposal, we have to force Britain to the negotiation table through war."

Hearing this, Yan Huiqing really couldn't help but ask, "Chairman, if we go to war with Britain, will it cause Britain to continuously expand the war?"

He Rui replied calmly, "Britain will definitely try to threaten us by expanding the war. But expanding the war will only increase Britain's financial burden and bankrupt Britain. Moreover, in 1916, the Allied Powers and the Central Powers wanted to negotiate peace, but the main reason why peace negotiations failed was that Germany refused to spit out the land and advantages it occupied. But we are different; we have no intention of annexing Burma, let alone Assam or other territories. If Britain wants a truce, we will negotiate peace with Britain. If Britain is willing to sign the Sino-British Joint Communiqué on establishing diplomatic relations, our troops will withdraw back to the country."

Yan Huiqing wanted to offer some of his own views, but Yan Huiqing found that all his past diplomatic experience contained content related to He Rui's strategy. He couldn't even make a suggestion if he wanted to.

It seems I am really old! Useless! Such thoughts lingered in Yan Huiqing's mind, making Yan Huiqing feel dejected.