Rank and File
A Clerk’s War
1st December to 31st December 1937
Early in the month we had the opportunity to upgrade our Intelligence Networks. This gave us a short term (20 day) increase of about 5% in Espionage, though at the cost of about 10% of our available revenue.
The Aircraft Carrier team had another breakthrough, designing an engine system suitable for a carrier vessel, but were sent straight back to improve to at least a 1934 level.
News from Far East came quick and often as the year came to an end. The onset of winter seems to have little impact on the Imperial Japanese Army (nor the Navy). Word was received on 3rd December that Admiral Fukodome’s fleet had been sighted escorting troopships off Shanghai: we don’t know if a serious invasion is being carried out or if it is a test of the defences. We also received an update from Northern China which contained no surprises.
A powerful Japanese fleet cruising off the Chinese coast, escorting troopships who appear to invading Shanghai.
Situation map, Northern China, based on information received that was dated 3rd December.
It is possible that Japan is using a lot of its military stockpiles to keep its troops in combat, as our trade desk has approved a sale of supplies to Japan.
On the 10th, the Hainan expeditionary force launched an attack across the Hainan Straits. Details as usual are few and far between, but we know that about 40 regiments are involved, and we believe that about 10 of these belong to the Guangxi Clique. The Japanese have at least 2 bomber wings supporting the attempt to get a foothold on the mainland.
Attempted crossing of the Hainain Strait by Japanese infantry supported by air: there seems to be strong Guangxi defensive force.
On the subject of bombers, the Luftwaffe has welcomed another geschwader of Dornier 17 medium bombers, and once again allowed the contract to roll over. The built-in discounts now represent about 25% of the original cost, and the increase in technical skills means it takes 46 days less to complete the production cycle.
Our production has also been increased by a political decision to Nationalise certain industry groups, although this has made a few people upset. It is expected the increase is temporary, but nevertheless, Minister Schacht authorised the call-up of another infantry division.
Somehow the Soviet Union has plenty of cash, as it has again made a huge offer to purchase military supplies. How do the Communists manage to outdo the Capitalists in trade deals? It doesn’t really matter as the Foreign Office documents show that the offer was rejected by order of the Cabinet. There is no way we will assist the Red Army with any supply issues it may have.
The Japanese provided us with more news of their progress in Northern China, simultaneously with the announcement in Moscow that Communist China has been accepted into the Comintern. This news, in the third week of December, sparked a rash of memos and meetings within both OKH and the Foreign Ministry. The common theme was: would this lead to a Soviet intervention in China? There has been no contact as yet between the IJA and the Chinese Communist People’s Liberation Army, but as the Japanese advance, such a clash is inevitable. The consensus (contained in the briefing paper sent to the Kanzler’s office which I read with interest) was that it was likely that the Russians would send an expeditionary force, similar to our Condor Legion in Spain. This might be sufficient to change the balance of power in China, and perhaps allow the Chinese to rally and push back the invaders. In any event, it would seem unlikely that we either could or would do anything about this. The Kanzler was emphatic that we would not accelerate our own plans to deal with the Communists.
Updated December situation map of Northern China
Slipped in at the bottom of the pile of documents received from the Japanese was a single page informing us that the Hainan Army was “consolidating its position”. The comments written on it indicate that our military have translated this to mean that the Japanese attack on Xuwen has been beaten back, at least for the moment. There was no news of an invasion of Shanghai, and we have no indication what happened to the fleet. Our naval officers suggest it was a feing to determine the strength of the defenders.
A day after the news of the Communist Chinese entry to the Comintern, Japan announced they were imposing an embargo on the Soviet Union. Minister von Neurath dashed a memo to the Fuhrer to say how rash he thought this was, but apparently the Japanese are not worried about upsetting the Communists. Maybe they think they can repeat the lesson they handed out to the Russians back in 1904-1905.
Our spies in Siberia and Mongolia put themselves at great risk to smuggle out information regarding the movement of military units near the borders, and this has been incorporated in our master maps of Northern China and the Vladivostok area. There are disturbing signs that the Red Army is reinforcing the area. It seems unlikely that this is routine, and we have passed on the intelligence to the Japanese. (The telegraph messages were in code, but luckily for me both the coded and plain versions were sent to me for filing, so I had no difficulty in reading them).
Soviet forces along the Soviet and Mongolian border with western Manchukuo and China
Soviet build-up in the Vladivostok area
Towards the end of the month Minister Schacht tore past my office on his way to the Fuhrer’s office down the hall. He was visibly excited and could not wait to pass on his information to the Fuhrer. Later that day when the daily bundle of documents from the Kanzler’s office was deposited for filing, I rifled through them looking for a Ministry of Armaments or Economy file. When I found it, to my mind it was not all that exciting: a technological improvement in oil refining. The Minister, however, had attached a handwritten note to the Fuhrer boasting that this would lead to a 10% efficiency gain in the conversion of oil to fuel. All I can think of is that he worries about fuel a lot more than me!
There was less excitement when a dull looking paper arrived from the School of Military Theory: a study of Large Front tactics that if adopted would apparently increase the shock impact of our attacks while also cutting supply consumption by headquarters units.
The comments I saw a while ago about the antique nature of our field artillery have obviously hit a nerve somewhere. Two new projects have started, one to improve artillery barrels and ammunition, the other to develop better sights and towing arrangements.
In the last days of December we heard that our only spy in Xibei San Ma, the Nationalist puppet state, had been arrested, tried and shot (all within a day). Minister Frick was not happy as he had intended to provide a briefing on the country early in 1938, as the Japanese were now fighting with the borders of the country and Cabinet needs to have some basis on which to evaluate reports.
The news from Northern China dated 31st December showed that Xibei San Ma has now been cut in half. Otherwise, Japanese troops are keeping up the relentless pressure on the Shanxi. A report from Hainan indicated that a massive build up of air-power has taken place. Perhaps another assault is being planned.
Final update for 1937 of the Northern China situational map
Hainan, 31st of December – the prsence of a large airforce would indicate another attempt at crossing the strait is being considered.
The final Cabinet meeting for 1937 was dominated by end of year reports. Details of the land, sea and air forces of the Reich and our allies were presented, generally showing steady progress. Some mention was made of the fact that Japan has lost 3 motorised regiments and a brigade of artillery, and has only increased its land forces by 8 regiments. This compared with the Reich’s increase of 49 regiments, and Hungary’s 19. Admittedly Italy only added one infantry brigade in the whole year, but the feeling was that Japan was not reporting its real casualty figures. There has been little change in the naval forces, though Japan has lost a troopship (we hope empty!) and gained a submarine. Air forces are generally unchanged, except for the Luftwaffe, which has seen a 50% increase in a single year!
Extracts from the military summaries for land, sea and air forces for the Axis powers. The Cabinet was generally pleased, though there was some concern about the Japanese: have they suffered unexpectedly large losses in China?
The economy is still surviving the stress of rapid expansion, and stockpiles of all raw materials, fuel and military supplies are increasing, if not as rapidly as would be liked.
Manufacturing and stockpile summary for the end of the year
The modernisation of the Heer, Luftwaffe and Kriegsmarine is continuing as fast as possible, and industry and theoretical research are also high priorities. The breakdown of completed projects was provided and the Fuhrer thanked all who had contributed, congratulating them on a magnificent effort in completing 35 projects this year, more than 50% up on last year. The summary of completed projects:
Heer: Medium tank brigades, 4 medium tank projects, Mountain and Arctic Warfare Equipment, Marine Brigades
Kriegsmarine: 4 Destroyer, 4 Aircraft Carrier, 2 Submarine, 1 Battleship, 1 Battle-cruiser , 1 Heavy Cruiser, 3 Light Cruiser projects
Military Theory: 2 Guerrilla Warfare, 2 Large Front, 1 Schwerpunkt
Air Theory: Fighter Ground Control, Naval Strike, Logistical Strike
Industrial: Education, Supply Throughput, Oil Refining
While 1937 saw a huge number of naval projects, leading into 1938 the bulk of projects relate to land based research.
All this research, as well as the growing technical expertise in our factories, is reflected in our “State of Knowledge” table. The increase in naval engineering is obvious, but the level of practical light plane and medium bomber construction skills is leading to significant savings. We have started to see some growth in infantry, mobile unit and automotive skills, and hope this will escalate with our production priorities now leaning towards the Heer. Our theoretical knowledge is still weak, and will probably remain so until we have real life combat reports to study. Last but not least, construction engineering is showing slow but definite progress, which will be essential to keep costs down as we expand infrastructure and build more factories and defensive installations.
The Reich’s “State of Knowledge” at the end of 1937
As is now a tradition for the end of month Cabinet meeting, Ministers Frick and Goebbels gave the espionage report. Research disruption continues, with the British, Omanis, French and New Zealanders all involved. The only industrial disruption has been traced to some Irish. 15 enemy agents were detected, and we now have 166 spies on assignment abroad.
On that sobering note, the Cabinet meeting finished, the last formal event in the Reichskanzlei for 1937. The saloons whisked the Fuhrer and the Ministers away, amid the flurries of snow. Humble bureaucrats such as myself left hours later, after finishing the necessary sorting and filing. No luxury car for me, just a brisk trot to the Bahnhof and a crowded train ride home. But tonight is Silvester, there will be fireworks and a lot of drinking and singing. And I don’t have to work in the morning.
