Equestrian-Qilinian war

The Equestrian-Qilinian war was fought between Equestria and the Crystal Empire against Qilinia.

This war resulted in the creation of the Equestrian colony of Loong Kong.

Precedents
After the independence of Iskayntinsuyu, Equestria's trade balance became a concern due to losing access to their gold and silver mines.

In order to make up for the reduced inflow of gold and silver, strict trade restrictions were imposed on Qilinia, ending the Qilinmania.

Qilinia, in return, imposed trade restrictions of their own on importing Equestrian machinery and Crystalline crystals as well as limiting the exports of zhi.

The restrictions proved unpopular and resulted in protests in major Equestrian cities with important trade connections. In response, the Equestrian government tried to promote local goods and create new industries to satisfy the demands, but was unsuccessful due to limited access to the raw goods and lack of Ponies experienced in the relevant crafts.

Zhi sourcing in particular was a remarkable issue as Qilinia held a monopoly on its production and had strict controls over its seeds.

Equestria made the decision to send spies as ambassadors to steal zhi seeds so Equestria could build independent zhi plantations. However, the spies were caught and, under Qilinian law, were given the death penalty.

Equestria claimed that the execution of the spies violated the agreements on diplomatic immunity while Qilinia claimed that the agreements were breached when the spies engaged in subversive actions against the government.

Development
Equestria and the Crystal Empire declared war on Qilinia using the death of the spies as a casus belli.

The Equestrian navy landed on the island that would later be known as Loong Kong.

The two Equestrian powers would then suffer a string of naval defeats against the Qilinian tarasque ships, but on land they fared better.

Equestria used the then sparsely inhabited Loong Kong as a base of operations to arrange a series of land incursions, but these became hard to sustain as the Qilinian naval supremacy made it hard to supply the island.

The Equestrian navy then started using fireproof spells, which made their ships more effective against the tarasque ships and they managed to resupply the army stationed at Loong Kong.

The war culminated in the Cantonlot landing, where the Equestrian army managed to land in the Qilinian capital. They were driven out by the Qilinian Imperial Guard, but not before they plundered several neighborhoods and caused heavy civilian casualties.

Although the powers were similar in military power, the Qilinian army was inexperienced in invasions and could only fight defensively while staying efficient. To avoid further damage to Qilinian cities, the Qilinian government decided to start peace negotiations, which Equestria agreed to as a continued land invasion would be unsustainable due to the defensive capabilities of Qilinia.

Treaty of Cantonlot
The peace treaty, signed in Cantonlot by Princess Celestia and Empress Eternal Spring, consisted of the following points:


 * The island of Loong Kong becomes an Equestrian province.


 * Allow the export of all zhi products to Equestria and the Crystal Empire, including live plants, seeds, leaves and flowers.


 * Allow Equestrian and Crystalline imports in Qilinia with no tariffs.


 * Allow Qilinian exports to Equestria and the Crystal Empire with no tariffs or restrictions.


 * Allow Qilinian artisans to migrate to Loong Kong and perform work there with no restrictions.

Consequences
The war is considered a turning point in Equestrian-Qilinian relations. Prior to the war, the two empires were considered friendly at best, neutral at worst; however, after the war, the relation between them was considered one of rivalry.

The war led to the development of Equestrian rocketeer units after Qilinian rocketry proved devastating in the field.