Following several days of negotiation between Imperial ambassadors and representatives of our newfound independent friend, the Republic of Magellan, the Empire has agreed to a series of treaties and talks that aim to work in the benefit of both states. The first, and perhaps the most important clauses of these talks (for the Empire at least), has been the official purchase of both Easter Island (and its small surrounding islands) and Salas y Gómez. The combined territories have officially been reformed into an Austro-Danubian Colony of two names: Die Imperiale Kolonie von Osterinsel (The Imperial Colony of Easter Island), and The Imperial Colony of Rapa Nui (out of respect for its native inhabitants).
Based from its capital of Hanga Roa, the Imperial Colony of Easter Island is home to a unique branch of Polynesian peoples called the Rapa Nui. It is also host to a UNESCO World Heritage Site known as the Moai, which were the Rapa Nui's way of honouring their deified ancestors by carving them into humanoid sculptures. The island's population currently stands at around 8,000 inhabitants, all of whom are already receiving the benefits of life under the Empire.
The Empire is already investing heavily into the island to improve the quality of life for its locals and to build early relations with the Rapa Nui people. The Empire is working to achieve what the Chileans (and then Magellans) could never manage to do: to become actual friends of the Rapa Nui people. An Imperial Governor-in-Name has already been dispatched to the island to work closely with the people there until they elect their first Imperial Governor on their own.
The Directory has not yet released its intentions for the future of the island, but there have been some talks of creating a small New Bucharest-esque Austrian settlement on the island along with a military base out of distance from the Park or the defacto capital of the Colony, Hanga Roa. The Directory has released, however, that the waters surrounding the Empire's first Pacific colony are to be under the joint control of the ADE and the Magellan Republic.
An Imperial Banner has been created for the Imperial Colony of Easter Island, incorporating blues to represent the Pacific Ocean, the Imperial Standard to represent the Empire, and a red reimiro to represent the Rapa Nui people (they often wear these ornaments in public).
Emperor Martin von Habsburg-Lorraine is expected to speak on this subject in his upcoming speech next week, but he has released an official statement in the meantime officially welcoming the Rapa Nui people into the glorious Austro-Danubian Empire.
The Directory has recently released official reports involving the Empire's involvement with the Magellan Republic's secession. Like many had assumed, the Empire worked closely with Magellan secessionists to provide them support in their decision to pursue self sovereignty. The reports are still lacking specificity, but one can only think that, with the deals with the Magellan Republic that were recently announced, that the Empire pulled some major strings in order to assure the Magellan peoples their safety.
Besides being the first nation to officially recognize the Magellan Republic as a sovereign entity, the Empire formed an official Defensive Alliance with them immediately upon their secession. The fleets participating in War Games in the South Atlantic were put on alarm right away, and were to form a protective shield around the infant Republic. Following the deals regarding the acquisition of Easter Island, the Atlantic Fleet swung around the southern tip of the Magellan Republic to safeguard the Pacific from any assault from the Federation of Socialist Republics. The 25,000 Reichswehr soldiers (accompanied by 10,000 Foreign Legionaries) that were recently sent to New Bucharest rushed to the Magellan/FSR border to provide a defense against any FSR incursion by land, as well.
After the Magellan Republic received recognition and guaranteed protection from several nations around the world, the Empire opened up a round of discussions with the Magellans. As you already know by now, Easter Island and Salas y Gomez were sold to the Empire to form the Imperial Colony of Easter Island, but a list of other deals were made as well. The Empire was given permission to host military bases within Magellan territory (three are already scheduled for creation), and the cities of Valparaiso and Arica/Iqueque were opened up as free ports for the ADE. In return, the Empire agreed in a series of economic gestures that would ensure the Magellan Republic doesn't collapse under the heavy weight of seceding from the FSR.
Both the Atlantic Fleet and the Mediterranean fleet are currently protecting the new Republic's waters, while the 35,000 troops on the Magellan border are to prevent any rash thinking from officials within the FSR.
Following the negotiations with the Magellan Republic, the Empire has decided to honor its obligations to assist the Magellan economy. Austrian economists have gathered to create a solution that helps the Magellans with as little damage to the Austrian economy as possible. Together they evaluated all aspects of the Austrian situation with trade with the former Austro-Danubian Imperial Colony of Krasendof, and the conclusion was made that it would be best if the Directory provided a means to redirect the Empire's trade with Krasendof to the Magellan Republic.
The entirety of the Directory's capabilities were put to use, and with the help of some of Austria's most well-known economists, a plan was devised that would provide Austrian corporations with the cheapest means of redirecting all (or most) of their Krasendoffer products with Magellan-made products. This is possible because products the Empire mostly bought from Krasendof could easily be replaced with Magellan products (both economies being raw material based economies that produce some the same goods/materials). The plans for smoothly redirecting trade were approved by the Magellan government (which currently still holds quite a bit of control over its economy), and were sent to all Austrian companies that participated with imports from Krasendof. After giving said plans to the Empire's corporations, the Empire sent representatives in the name of the Directory to *assist* the said corporations to approve of them, and then the dice was rolled.
The Directory then released that it was going to raise Krasendoffer tariffs of the goods that major Austrian corporations purchase to over 250% (besides the import of oil, diamonds, and coffee) on March 20th (OOC: or until they can IC respond), smoothly transitioning the Empire's trade from Krasendof to the Magellan Republic.
This move is expected to hurt Krasendof's economy quite a bit, but many across the Empire are seeing it as justified as Krasendof had allowed itself to fall to an undemocratic corporate dictator. Many speculate that this action was in some way shape or form a long time in the making due to Krasendof's constant hostile attitude and slander of the Empire, but currently we can only see what is to come of these recent happenings. The March 20th date gives Krasendoffer corporations time to redirect trade to other nations, however.