The type of subject nation created depends on its location in the world.Īny nation can benefit fully from overseas territories, even very distant ones, if they choose to make that territory into a state. This is accomplished primarily by creating colonial nations, which are AI-controlled subject nations that will produce their own military and navy but will provide trade power and other benefits to the colonizer, and creating trade companies, which are semi-autonomous provinces that provide substantial trade bonuses in trade nodes that the colonizer can control. This is because colonized territories overseas can provide large boosts in trade income to the colonizing nation, as well as provide staging points for naval and land warfare around the world. The main benefit of colonialism is to improve the income generation and military logistics of the colonizing country.
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