German East Asia Squadron
Schmundt joined the German Imperial Navy ("Kaiserliche Marine") as a cadet in 1908 and was commissioned as a lieutenant in 1911. He was serving with the German East Asia Squadron aboard SMS Scharnhorst between 1910 and 1913 and returned to Germany in 1913. During World War I he was flag lieutenant of the 3rd destroyer flotilla and commanded the destroyer "V71" being promoted to Kapitänleutnant in 1918. Schmundt was awarded the Iron Cross first and second class.