Reuenthal's reluctance to go into arms against the Kaiser is described as a very sad affair for him. The assassination attempt on Reinhard comes across as extremely shameless; a man of Reuenthal's moral and military status wouldn't have ever taken such shady measures for seizing power. Ifs and buts at this point.
That does not stop Reuenthal from sentencing Truniht to jail no basis whatsoever. Sure, he was always a dick and the lowest of scum, but he hasn't done anything that goes against Neue Land's laws. In that act we see where Reuenthal and Lohengramm's dynasties differ, as the latter would have upheld the law over his feelings on the man. Julian further comments on how Reuenthal's ruling methods do not necessarily make him a bad governor, and indeed ponders whether he would have led the Empire through more peaceful times had he been born in another era.
What's more interesting here is Reuenthal's offer to Iserlohn: all of the former Alliance territories in exchange for the protection of the Iserlohn Corridor. Reuenthal's ambitions are clearly less expansive as the Kaiser's, and indeed he is not against reversing the flow of history for his own purposes. Will Julian, on the other hand, accept such a compromise? It would mean undoing everything that's been done by Reinhard and by Yang. The only distinction from the political map at the beginning of the show would be the lack of a Phezzan acting as an intermediary. And, I guess, the nobles are not there so that's cool shiznitz.