You may be right. I tend to play as Germany, so I usually don't focus too much on my navy. But my experience with the Royal Navy tells me that large ships are fairly easily sunk, once you get some decent airplanes, and since large ships tend to cost lots of IC, they seem to be a bad investment. I don't really know about the situation in South East Asia, though, but I'd imagine that the Japanese aircraft tech is behind the German one.
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