Sino-German trade slowed between 1930 and 1932 because of the Great Depression; Chinese progress towards industrialization was further hampered by conflicting interests between various Chinese reconstruction agencies, German industries, German import-export houses and the German army. Events did not pick up speed until the 1931 Mukden Incident, which showed the need for a concrete military and industrial policy aimed at resisting Japanese encroachment. In essence, it spurred the creation of a centrally planned national defence economy. That consolidated Chiang's rule over China and hastened industrialization efforts.