The forges seem slightly over powered to me, soon in some areas they will have a bigger impact then palaces.
The main area they will have a bigger impact is in those areas with palaces, because palaces increase basic income. In fact, if you are going to create an industrial centre anywhere, moving the palace there is a fantastic idea. This is largely because of how I've divided up the way industries work.
Primary Industries such as Farms, Pastures and Mines will always produce a flat industry bonus to income. Primary industries will usually always get you roughly the same return on your investment, no matter where they are built. This makes them great for building in low-economy areas to generate revenue.
Secondary Industries such as Forges, Tanneries, Mills and so on will produce a percentage bonus based on
basic income. Secondary industries vary in their return, so they work best in developed areas or in the capital where basic income is much higher.
I have calculated thresholds for Forges and Smithies such that there is a point of basic revenue at which they become as profitable in terms of returns as Primary Industries. After that point, they are more profitable. Below that point, they are not as profitable.
Building a Forge/Smithy in your capital will get you a fantastic bonus, it's been deliberately set up that way. Right now you'd need to seriously improve any other territories to get that big a bonus or even to make it worthwhile versus Primaries because you'll need to up the basic income.
More Secondary Industries are possible to research, usually based off a particular Primary Industry. I
may make tertiary industries such as Finance work differently still, but I don't think I will.
Yes, you can attack Astrid West from Storm West. It's within 2 territories.