The aftermath of World War II saw the rise of two superpowers, the Soviet Union (USSR) and the United States (US). The aftermath of World War II was also defined by the rising threat of nuclear warfare, the creation and implementation of the United Nations as an intergovernmental organization, and the decolonization of Asia, Oceania, South America and Africa by European and East Asian powers, most notably by the United Kingdom, France, and Japan.
Once allies during World War II, the United States and the Soviet Union became competitors on the world stage and engaged in the Cold War, so called because it never resulted in overt, declared total war between the two powers. It was instead characterized by espionage, political subversion and proxy wars. Western Europe and Asia were rebuilt through the American Marshall Plan, whereas Central and Eastern Europe fell under the Soviet sphere of influence and eventually behind an "Iron Curtain". Europe was divided into a US-led Western Bloc and a USSR-led Eastern Bloc. Internationally, alliances with the two blocs gradually shifted, with some nations trying to stay out of the Cold War through the Non-Aligned Movement. The war also saw a nuclear arms race between the two superpowers; part of the reason that the Cold War never became a "hot" war was that the Soviet Union and the United States had nuclear deterrents against each other, leading to a mutually assured destruction standoff.
As a consequence of the war, the Allies created the United Nations, an organization for international cooperation and diplomacy, similar to the League of Nations. Members of the United Nations agreed to outlaw wars of aggression in an attempt to avoid a third world war. The devastated great powers of Western Europe formed the European Coal and Steel Community, which later evolved into the European Economic Community and ultimately into the current European Union. This effort primarily began as an attempt to avoid another war between Germany and France by economic cooperation and integration, and a common market for important natural resources.
The end of the war opened the way for decolonization from the great powers. Independence was granted to India and Pakistan (from the United Kingdom), Indonesia (from the Netherlands), the Philippines (from the US), as well as Israel and a number of Arab nations from specific Mandates which had been granted to great powers by the League of Nations. Independence for the nations of Sub-Saharan Africa came in the 1960s.
The aftermath of World War II saw the rise of communist influence in East Asia, with the People's Republic of China, as the Chinese Communist Party emerged victorious from the Chinese Civil War in 1949.
At the end of the war, millions of people were dead and millions more homeless, the European economies had collapsed, and much of Europe's industrial infrastructure had been destroyed. The German people as a whole, but its youth in particular, ended up being deeply scorched psychologically by the ordeal which they went through during the previous decade, from the time when the Nazis took power promising them a thousand years of world dominance, until their major cities were destroyed, turned to rubble by the Allied bombardments.[1] The trauma caused to them was multifaceted as it permeated all levels of society, by means of the systematic Nazification of the country with the strategic creation of the Reich Ministry of Public Enlightenment and Propaganda which took over the media and all institutions, and put in place the systematic indoctrination of the very young via the creation of the Hitler Youth, the Deutsches Jungvolk, the League of German Girls and the Jungmädelbund. Then by the end of the war, once their major cities were devastated, ensued a widespread famine, which was followed by the wave of denazification which swept throughout their humiliated country, ending with the pervasive shame of their parents who believed in the illusive promises of their defeated Führer.
The Soviet Union, too, had been heavily affected. In response, in 1947, U.S. Secretary of State George Marshall devised the "European Recovery Program", which became known as the Marshall Plan. Under the plan, during 1948–1952 the United States government allocated US$13 billion (US$177 billion in 2023 dollars) for the reconstruction of the affected countries of Western Europe.
By the end of the war, the economy of the United Kingdom was one of severe privation. More than a quarter of its national wealth had been consumed. Until the introduction in 1941 of Lend-Lease aid from the US, the UK had been spending its assets to purchase American equipment including aircraft and ships—over £437 million on aircraft alone. Lend-Lease came just before its reserves were exhausted. Britain had placed 55% of its total labour force into war production.
In spring 1945, the Labour Party withdrew from the wartime coalition government, in an effort to oust Winston Churchill, forcing a general election. Following a landslide victory, Labour held more than 60% of the seats in the House of Commons and formed a new government on 26 July 1945 under Clement Attlee.
Britain's war debt was described by some in the American administration as a "millstone round the neck of the British economy". Although there were suggestions for an international conference to tackle the issue, in August 1945 the U.S. announced unexpectedly that the Lend-Lease programme was to end immediately.
The abrupt withdrawal of American Lend-Lease support to Britain on 2 September 1945 dealt a severe blow to the plans of the new government. It was only with the completion of the Anglo-American loan by the United States to Great Britain on 15 July 1946 that some measure of economic stability was restored. However, the loan was made primarily to support British overseas expenditure in the immediate post-war years and not to implement the Labour government's policies for domestic welfare reforms and the nationalisation of key industries. Although the loan was agreed on reasonable terms, its conditions included what proved to be damaging fiscal conditions for sterling. From 1946 to 1948, the UK introduced bread rationing, which it had never done during the war.[2][3][4][5]
The Soviet Union suffered enormous losses in the war against Germany. The Soviet population decreased by about 27 million during the war; of these, 8.7 million were combat deaths. The 19 million non-combat deaths had a variety of causes: starvation in the siege of Leningrad; conditions in German prisons and concentration camps; mass shootings of civilians; harsh labour in German industry; famine and disease; conditions in Soviet camps; and service in German or German-controlled military units fighting the Soviet Union.[6]
Soviet ex-POWs and civilians repatriated from abroad were suspected of having been Nazi collaborators, and 226,127 of them were sent to forced labour camps after scrutiny by Soviet intelligence, NKVD. Many ex-POWs and young civilians were also conscripted to serve in the Red Army. Others worked in labour battalions to rebuild infrastructure destroyed during the war.[7][8]
The economy had been devastated. Roughly a quarter of the Soviet Union's capital resources were destroyed, and industrial and agricultural output in 1945 fell far short of pre-war levels. To help rebuild the country, the Soviet government obtained limited credits from Britain and Sweden; it refused assistance offered by the United States under the Marshall Plan. Instead, the Soviet Union coerced Soviet-occupied Central and Eastern Europe to supply machinery and raw materials. Germany and former Nazi satellites made reparations to the Soviet Union. The reconstruction programme emphasised heavy industry to the detriment of agriculture and consumer goods. By 1953, steel production was twice its 1940 level, but the production of many consumer goods and foodstuffs was lower than it had been in the late 1920s.[9]
The immediate post-war period in Europe was dominated by the Soviet Union annexing, or converting into Soviet Socialist Republics,[10][11][12] all the countries invaded and annexed by the Red Army driving the Germans out of central and eastern Europe. New satellite states were set up by the Soviets in Poland, Bulgaria, Hungary,[13][page needed] Czechoslovakia,[14] Romania,[15][16] Albania,[17] and East Germany; the last of these was created from the Soviet zone of occupation in Germany.[18] Yugoslavia emerged as an independent Communist state allied but not aligned with the Soviet Union, owing to the independent nature of the military victory of the Partisans of Josip Broz Tito during World War II in Yugoslavia. The Allies established the Far Eastern Commission and Allied Council for Japan to administer their occupation of that country while the establishment Allied Control Council, administered occupied Germany. In accordance with the Potsdam Conference agreements, the Soviet Union occupied and subsequently annexed the strategic island of Sakhalin.
In the east, the Sudetenland reverted to Czechoslovakia following the European Advisory Commission's decision to delimit German territory to be the territory it held on 31 December 1937. Close to one-quarter of pre-war (1937) Nazi Germany was de facto annexed by the Allies; roughly 10 million Germans were either expelled from this territory or not permitted to return to it if they had fled during the war. The remainder of Germany was partitioned into four zones of occupation, coordinated by the Allied Control Council. The Saar was detached and put in economic union with France in 1947. In 1949, the Federal Republic of Germany was created out of the Western zones. The Soviet zone became the German Democratic Republic.
Germany paid reparations to the United Kingdom, France, and the Soviet Union, mainly in the form of dismantled factories, forced labour, and coal. The German standard of living was to be reduced to its 1932 level.[19] Beginning immediately after the German surrender and continuing for the next two years, the US and Britain pursued an "intellectual reparations" programme to harvest all technological and scientific know-how as well as all patents in Germany. The value of these amounted to around US$10 billion[20] (US$156 billion in 2023 dollars). In accordance with the Paris Peace Treaties, 1947, reparations were also assessed from the countries of Italy, Romania, Hungary, Bulgaria, and Finland.
US policy in post-war Germany from April 1945 until July 1947 had been that no help should be given to the Germans in rebuilding their nation, save for the minimum required to mitigate starvation. The Allies' immediate post-war "industrial disarmament" plan for Germany had been to destroy Germany's capability to wage war by complete or partial de-industrialization. The first industrial plan for Germany, signed in 1946, required the destruction of 1,500 manufacturing plants to lower German heavy industry output to roughly 50% of its 1938 level. Dismantling of West German industry ended in 1951. By 1950, equipment had been removed from 706 manufacturing plants, and steel production capacity had been reduced by 6.7 million tons.[21] After lobbying by the Joint Chiefs of Staff and Generals Lucius D. Clay and George Marshall, the Truman administration accepted that economic recovery in Europe could not go forward without the reconstruction of the German industrial base on which it had previously been dependent.[22] In July 1947, President Truman rescinded on "national security grounds"[23] the directive that had ordered the US occupation forces to "take no steps looking toward the economic rehabilitation of Germany." A new directive recognised that "[a]n orderly, prosperous Europe requires the economic contributions of a stable and productive Germany."[24] From mid-1946 onwards Germany received US government aid through the GARIOA programme. From 1948 onwards West Germany also became a minor beneficiary of the Marshall Plan. Volunteer organisations had initially been forbidden to send food, but in early 1946 the Council of Relief Agencies Licensed to Operate in Germany was founded. The prohibition against sending CARE Packages to individuals in Germany was rescinded on 5 June 1946.
Following the German surrender, the International Red Cross was prohibited from providing aid such as food or visiting POW camps for Germans inside Germany. However, after making approaches to the Allies in the autumn of 1945 it was allowed to investigate the camps in the UK and French occupation zones of Germany, as well as to provide relief to the prisoners held there. On 4 February 1946, the Red Cross was also permitted to visit and assist prisoners in the U.S. occupation zone of Germany, although only with very small quantities of food. The Red Cross petitioned successfully for improvements to be made in the living condition