Records showed that with the end of the threat from Mexico trade between the US and Hawaii began to massively expand. Hawaiian investors began to heavily invest in California. The money from Hawaii meant that recovery would be sped up.
Hawaii made a lot of investment in two countries: the United States of America and Australia. There were many reasons for this1) lack of resources in Hawaii, and 2) limited space in the Kingdom to build. Thus the Hawaiian Government invested in a number of Companies in the US and in Australia it formed a joint partnership.
Hawaii had seen much co-operation with the administrations of Theodore Roosevelt and Leonard Woods. They had often reach agreements regarding trade and Mutual Security. Hawaii and the United States had both shared a desire that Mexico remain a stable state. There was no desire for a third war with Mexico and many hoped that the intervention by Spain and Neuva Granada would finally leave the country with Stability. President Roosevelt had used secret forces to crush a threat to the border region and this had allowed the Mexican Government to regain control of the region. Hawaii was not sure what a return to the Presidency of Theodore Roosevelt might mean for relation in the region.
The American President had expressed a desire to see the Canal in the Central American Republic expanded and improved.
While relations between the US and Hawaii grew quite close during the first two terms of Teddy Roosevelt and the two terms of Leonard Woods some uncertainty in the relationship appeared when Teddy Roosevelt was elected for a third term as President. The Hawaiian Prime Minister and the American President got along quite well but when it became clear that someone else would run for President in 1920 uncertainty appeared. The new President did not live long enough to establish a relationship. The Calvin Coolidge became the new President and the warm relationship that had existed with the previous President never came to be.
Indeed it wasn't until Alfred E Smith was sworn into office that a close relationship once again developed.
In January of 1929 Edward J Gleason arrived in Hawaii he held papers identifing him as an envoy for the incoming President of the United States Alfred E Smith. He was taken to the Hawaiian State Department where he met with the Secretary of State and presented his credentials. He also Presented a letter from the President Elect to the Secretary asking that Mr Gleason met with the Hawaiian Prime Minister as soon as possible. Mr Gleason had served in the US Army from 1917-1919 and had seen combat. He had been a stock Broker and was currently serving in a special capacity for an old family friend who just happen to be the President elect.
Edward J Gleason met with the Hawaiian Prime Minister and presented papers from the President Elect to the Hawaiian Prime Minister. In them he asked for a meeting with the Prime Minister to take place at a site at which both parties could agree to.
The incoming Smith Administration was proposing to the Hawaiian Prime Minister that the US would be willing to hold talks with other powers aimed at stopping a Naval arms race from taking place. President elect Smith preferred to spend the money completing the reconstruction rather than build bigger and bigger capital ships. The American leader was clear that he was determined to stop the Naval race from continuing and that he felt that Britain and Hawaii would agree and help to gather support for a treaty with the other powers.
The Hawaiian Prime Minister wrote the following " Dear Al, I am more than willing to discuss your proposal for a naval arms limitation treaty. I would propose that we meet on Catalina in February so that we may see where we both stand on the issue. I expect that the Navy Chiefs of our countries will have some objections but I do see a need to control spending if we can come up with a proposal that will insure the security of all of the nations>."
In Late February the Hawaiian Prime Minister and the American Prime Minister met on Catalina for a four day series of meetins where the two leaders hammered out what they could agree to and what seemed to be a problem. Both could see the wisdom of some limits on capital ships as neither nation could afford an arms race. Hawaii just had to worry about the Pacific but the US would have to worry about the Atlantic and the Pacifc as well as other areas.
George Kamehameha arrived in the United States of America to meet with some of the Companies that the Government of Hawaii did business with. It was a well known secret that the Hawaii Government owned a lot of the stock of several aviation Companies and weapons manufacturers.
George was in the US with members of the Royal Hawaiian Navy and Air Force. Hawaii was beginning to think about replacing two of its older capital ships and was looking at weapons and ideas. The Air Force was looking at the Curtis P40 which was under design. George was expected to visit Australia where the new ships would be constructed
once a design was approved by the Navy and the Legislature agreed to fund the project.
George Kamehameha had been chosen by his party to lead them and after meeting with the King he was officially asked to form a government. George knew that the security of the nation depended upon maintaining the free flow of marine traffic to and from the Hawaiian Nation To that end he proposed to modernize the Navy by replacing some of the older ships with more modern designs. To this end Hawaii would build two new capital ships and scrap two older vessels. The largest Construction project would be the building of 25 new destroyers these would replace 10 older vessels which would be scrapped. The American 5"/38 had been selected as the main armament.
The Hawaiian House passed the Naval budget for 1933 and in it was more than a million Hawaiian Dollars to begin work of possible designs for a new Battleship. The House Committee gave the Nave 3 years to come up with a design to be submitted for funding. Meanwhile the New Fox Class destroyer began to be built in Hawaii.
The Royal Hawaiian Navy was still working on the design of a new Battleship but it was not expected to be approved until 1936 and then the design would go to the Legislative body Meanwhile a new heavy cruiser was being built in Australia along with 2 destroyers.
George traveled to Australia to speak to the Australian Prime Minister and to talk to the company that would build Hawaii's next battleship. Hawaii wanted to work with its allies and discuss military issues.
The Hawaiian Prime Minister would be traveling to Europe. He would visit Portugal, Ireland, Great Britain. Netherlands, Austria, Germany and France. He would stop in the US and the way home to Hawaii and speak to President Smith.
The Hawaiian Prime Minister would be meeting with his Canadian counter part and the American President in Vancouver. This would be the first meeting for the Hawaiian and Canadian Prime Ministers with the new American President.
The three leaders met in Vancouver and discussed a variety of issues including trade,defense and foreign policy.. Canada and Hawaii had reached an agreement on building the Hawaiian designed destroyers in Canada for the Canadian Navy. The US agreed to consider the design for the US Navy. The three nations signed a trade agreement which would decrease barriers between the three nations.
The three leaders agreed to work on some joint naval warship designs. The American 5"/38 would be the main weapon for the destroyers for the three nations . The Hawaiians had developed an improved 8"/55 gun for heavy cruisers and the American 6"/47 seemed to be the choice for light cruisers.