How bad did Hunan go? Lost 1 infantry and 1 fighter? That happens sometimes.
You pretty much can never go wrong with a minor IC on FIC early in the game as it is close to your cash islands and it is adjacent to the burma road. You can also never go wrong with fighter purchases on japan.
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Do not airbase Korea. You are better off getting a sub and rolling kamis on dds that attempt to wack it. Typically USA will not try to sink a few subs as it requires him to send a DD to detect the subs and then enough air to discourage a 3 fighter scramble… which would put his stuff off the coast of Japan… which is a very one dimensional position for USA to have his naval… and then he has to hope your kamikazes miss the destroyer.
Anyway you better off getting hard units and not something that is a liability to protect. I prefer an airbase on FIC simply because it can wack the entire burma road, scramble a more critical position, and wack anything in Japan waters.
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Germany advice: always maximize your odds for attacking a capital. You will not regret sending too many units to conquer a country. It does not matter if it is just one guy, sending 10 to take a capital is totally worth it… unless you can find a better deal than -30 for him and +36 for you and then -30 for him every round after and +6 for you.
Also remember to buy that destroyer so he cannot sub defend.
Use Italy to bomb UK’s airbase if he repairs it.