Chapter 599: World "First"
New Year and Christmas in East Africa were lively events, but in Ernst's memory, these two holidays always needed snow to feel complete. At this time, most regions in East Africa were at their hottest, and celebrating New Year and Christmas in summer felt very awkward.
The arrival of the new year also marked the end of East Africa's 1880. The entire country functioned like a precise machine, operating flawlessly. In the blink of an eye, East Africans were busy once again, continuing to participate in national development.
In this regard, East Africans lived harder lives. Other regions enjoyed long winters, which meant extended breaks. But East Africa, with little seasonal variation, had a climate ideal for year-round labor—capitalists' favorite.
...
"Is this a car?" Konstantin exclaimed.
In front of the Swete Palace square, one of the world's first automobiles had just been assembled. Thanks to the Hechingen consortium's long-term research and some of Ernst's creative ideas, East Africa's first car was already highly advanced. Notably, it came with a windshield and roof—not an open three-wheeler.
It was referred to as "one of" the first cars because the Hechingen consortium simultaneously prepared a vehicle in Germany, Austria, and East Africa. Thus, there were three total.
The purpose of this was for Germany, Austria-Hungary, and East Africa to each claim the honor of having the world's first car, helping to expand sales.
For the automobile industry to succeed, market support was essential. Germany and Austria-Hungary were mature markets with many nobles and wealthy people who could afford cars.
All three cars were gifted to their respective royal (or imperial) families by subsidiaries of the Hechingen consortium. As luxury items, cars needed noble endorsement—and royalty was the most prestigious advertisement, especially in Germany and Austria-Hungary, both global powers.
"Father, this is definitely a revolutionary product. The automobile industry will become the world's greatest industry, replacing horse-drawn carriages and eventually becoming a household commodity," Ernst declared proudly.
"You said before that cars can run without horses. Does this car run on coal too?" Konstantin asked.
"Of course not. It runs on gasoline, which is refined from crude oil. Right now, the world's top oil-producing country is the United States—but we're also investing in Romania," Ernst replied.
Many people in the U.S. had become rich from oil, especially in the western regions with their many oil fields. But due to uneven global distribution, East Africa's domestic oil supply was likely limited.
That couldn't be helped. However, East Africa had a geographic advantage—it was close to the Persian Gulf, one of the world's most important oil-producing regions. As long as the East African Navy didn't fall behind, it would be hard to use oil to threaten East Africa.
In addition, East Africa was not far from the oil-rich regions of North and West Africa. So Ernst wasn't overly concerned about future energy issues.
East Africa's domestic oil supply could meet basic needs, especially for future military use. Unlike Germany during World War II, it wouldn't suffer from fuel shortages. East Africa also had a presence in Kalimantan (Borneo), part of the oil-rich South Seas, even if the fields weren't in the Lanfang Overseas Province. Plus, the royal family owned Alaska—another oil-producing region.
In short, East Africa had access to all major oil-producing areas and could secure its national energy needs through force if needed. Unlike the Far East Empire, which depended on the Malacca Strait for energy transport, East Africa, as a two-ocean country, had no such vulnerability.
In Ernst's ideal scenario, East Africa would secure a foothold on the Persian Gulf coast. That would make East Africa's energy security foolproof—but the opportunity hadn't yet come.
Currently, the Persian Gulf was divided among the Ottoman Empire, Persia, Oman, and Britain. It was not easy for East Africa to intervene.
And no one yet knew how rich the Persian Gulf's oil reserves were. Many future oil-rich nations still lived in poverty—nomadic herders and pearl divers—so destitute it would be an understatement. No one could imagine that, in the 21st century, these lands would become wealthy due to oil. But Ernst always had his eye on the region.
As refueling completed, the driver ignited the engine. The world's first car began cruising smoothly around Swete Palace square.
"It's moving! And no billowing steam like a steam engine!" the crowd exclaimed.
The black smoke from the exhaust pipe was ignored—compared to steam engines, it was insignificant.
As the car accelerated and reached a top speed of 30 km/h, the East African audience erupted in cheers.
Reporters from East Africa's state media recorded this historic moment, writing: "A horse-less carriage, moving miraculously under its own power…"
At the same time in Berlin and Vienna, similar demonstrations were underway—though with even more fanfare.
The Hechingen consortium deliberately scheduled the three nations' unveiling events at the same time. Since Germany, Austria-Hungary, and East Africa all sat roughly in the UTC+2 time zone, the timing worked out.
Each country could now claim that the world's first automobile had debuted within its borders—an amusing but clever marketing ploy.
"We'll set up several state-run automobile factories to serve domestic needs. Meanwhile, Hechingen Bank will invest in private automakers focused on international markets," Ernst told Konstantin.
"What's the difference?" Konstantin asked.
"There's a huge difference. Our domestic market is very limited. Most people can't afford such a luxury item. So demand will mainly come from government vehicle purchases and a few highly paid technicians. That's a small customer base.
Export is where the real profits lie. Many countries are poor, but their wealth gap is massive—meaning they have a sizable elite class. Like the Far East Empire. That's why international sales must be handled by Hechingen's professionals. State-owned enterprises don't care about cost or profits. Let them handle domestic demand. The global market needs experts," Ernst explained.
Automobile industry growth needed market flexibility. If managed by state-run companies through administrative directives, it could work—but private enterprises were more agile and often less ethical, which made them more competitive. Not always true, but generally valid.
"So if you think the auto industry has great potential, why not build everything in East Africa? Why give Germany and Austria a share?" Konstantin asked.
"Because we can't monopolize it. Our industrial base is incomplete. Many parts must be imported, and even our domestic parts are inferior to those from Germany or Austria. That's why I insist on having some state-run factories—they generate orders that support other local industries. Otherwise, we couldn't compete internationally; our cost-performance ratio would be too low," Ernst explained.
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