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Chapter 815

~6 min read 1,152 words

First Volume, Chapter 815: Isn't That Already the Case Now?

"Lord Li, the more free the market, the more it attracts merchants from all corners of the land—only then can your nation be revived in a short time."

"The world vilifies me, Qin Feng, accusing me of never abandoning my desire to destroy the Di Kingdom—but what they don't realize is that I, Qin Feng, am the one who cares most about your nation. Only when your economy prospers can those of us stationed on the frontier, who rely on cross-border trade, profit."

"Conversely, war and turmoil are the very things I least wish to see."

"Isn't your nation the one most starved for silver money? Once the market opens, a flood of merchants will pour in, bringing scorching streams of silver that will permanently resolve your nation's urgent crisis."

"Just collecting trade taxes alone would make you rich."

Trade taxes were not a new invention by Qin Feng; since ancient times, trade between nations has always been subject to certain taxes.

Yet for the vast majority of nations, trade taxes are merely trivial gains—the main tax revenue still comes from the contributions of domestic civilians.

But the method Qin Feng proposes can greatly increase trade tax revenue, delivering a powerful stimulant to the Di Kingdom's weak economy.

Li Yu fell silent, his mind racing.

The second demand he had intended to reject outright was trade taxes.

Why should trade taxes be set by the Liang Kingdom?

But after hearing Qin Feng's words, he began to waver—if Liang and Di jointly led the effort, with surrounding nations eagerly joining, trade volume would surge dramatically, and the most direct trade tax income alone would amount to a vast fortune.

The most crucial point: Qin Feng cannot manipulate the trade taxes.

After all, this directly interfaces with the Di Kingdom's Ministry of Revenue—outsiders cannot insert even a single finger.

"Then… how exactly would the trade taxes be structured?"

Seeing Li Yu swayed, Qin Feng naturally spoke fluently, answering every question fully and without reservation.

"Under normal circumstances, commercial tax is two percent of profit. During wartime, commercial tax spikes sharply—this is unavoidable, so we'll set it aside for now."

"Moreover, this two percent commercial tax is far too vague."

"Commercial tax isn't a single payment—it includes numerous types: market tax, customs duty, city-entry tax, transit tax, escort tax, and more—this undoubtedly crushes the merchant's space for survival."

"As the saying goes, Shinan Nonggong—merchants have always been viewed as lowly livelihoods, and their neglect is understandable. But who would turn away from money? To earn profit, you must lift all restrictions on merchants."

"Therefore, my preliminary proposal is: for foreign merchants, eliminate all the complicated tax types and retain only two—market tax and transit tax."

"Keep the market tax at two percent, but raise the transit tax to eight percent!"

"In plain terms, transit merchants must pay one-tenth of their profit as tax."

Li Yu felt a quiet thrill within—heavy tax on profit, one in ten—this would be unprecedented for reviving the entire Di economy.

Initially, Li Yu had feared Qin Feng would manipulate trade to his advantage.

Yet after hearing it all, Qin Feng seemed genuinely strategizing for Di's revival—as if he truly wished for Di's prosperity so he could profit.

What he didn't realize was that Qin Feng had already planted many traps here.

A tax rate of one in ten profit is not high, but certainly not low—combined with the extra capital costs of cross-border trade, it will automatically filter out many merchants with relatively weaker economic strength.

To prevent a flood of merchants from rushing into the Northern Border and damaging Liang's commercial environment.

Second, trade is reciprocal.

It cannot be that Liang exports exclusively while Di only imports.

Whenever Di merchants cross the border, Liang naturally collects its own tax.

Since the two nations' commodities differ greatly—Liang primarily exports manufactured goods, while Di exports cattle and sheep—this becomes a process of exchanging manufactured goods for raw products.

Moreover, the Di Kingdom is rich in iron ore, and Qin Feng has long had his eyes on it.

Once trade begins, Qin Feng will spare no effort to gradually turn the Di Kingdom's strictly restricted, banned iron ore into a tradable commodity exported to Liang.

Of course, he also yearns for the Beidi Horse.

Highland Horses are excellent, but too few—truly cultivating large cavalry forces requires the superior, abundant Beidi Horse.

In this trade, Di may earn a small profit, but Qin Feng will reap enormous gains.

Li Yu is shrewd—he knew Qin Feng must have hidden many unsavory "tails."

But compared to the confident Liang Kingdom, Di lacked such confidence.

Thus, reviving Di's strength is fundamentally a process of trade-offs.

How much risk is Di willing to bear to restore its national strength?

If benefits outweigh harms, proceed; if harms outweigh benefits, reject it.

"This trade tax is basically feasible."

"Market freedom may bring some problems, but they lie within the acceptable range of our great Di—after all, rapidly boosting commerce is urgently needed by Di now."

"Maintaining neighboring trade routes is also maintaining our great Di's interests—this point can be approved immediately."

"As for foreign merchants enjoying the same rights as our own merchants, this requires further discussion."

"For example, if Liang merchants flood into our territory, they will inevitably weaken our own merchants' competitiveness, causing domestic commerce to wither."

"Even if money is eventually made, if all the merchants are foreigners, that's hardly a good thing."

The fact that Li Yu could see this meant he had some understanding of commerce.

Qin Feng immediately explained: "Lord Li, you need not worry—remember, foreign merchants are already burdened by trade taxes, and your merchants primarily trade in domestic goods; the commodity types differ greatly, so there is no direct competition."

"If anything, our Liang merchants, on their return journey, will bring your goods back to avoid empty trips—but similarly, your merchants will do the same."

"This is a win-win situation, not a one-sided gain for Liang."

Li Yu nodded and added: "It's merely a matter of how much profit each side gains—our Di merchants, even in sheer numbers, cannot match Liang's. As one grows, the other shrinks—most profits will still end up in Liang's pockets."

"Still, considering all nations will participate, not just our two, it's not entirely unacceptable."

"But over time, the gap in national strength between Di and Liang will only widen further."

"Must our great Di forever remain beneath Liang's shadow?"

Hearing this, Qin Feng did not answer—he asked instead: "Isn't that already the case now?"

These words left Li Yu speechless—after this war, Di had lost all ability to encroach upon Liang's rear area; conversely, under Qin Feng's management, Liang's Northern Border still had reserves, and had even seized Sangzhou.

Even if unwilling to admit it, the fact that Bei Di is trampled underfoot cannot be changed.

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End of Chapter

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