I must've missed something in that tea conversation...I didn't see any swords at all.
I could not find a video of their fight at the end of the film in which the fight magnificently but switch weapons accidentally. Huo does OK with a katana but Tanaka is overwhelmed by a three section staff. Huo stops the fight and offers to exchange weapons, and Tanaka agree's. It ends with Huo being poisoned by the other team, Tanaka figuring this out (and being really pissed off that his men acted so dishonorably), then watching as Huo uses a move that would have killed Tanaka had Huo not pulled it out of respect.
Tanaka acts up the hit, then declares Huo the winner and sotto-voice a threat to his side if they contest the decision.