Austria's Historical Russian Zone: Was It Ever Occupied?

After World War II, Austria was divided into four occupation zones by the four victorious Allied powers: the Soviet Union, the United States, the United Kingdom, and France. This division lasted from 1945 until 1955, when the Austrian State Treaty was signed, restoring Austrian sovereignty and declaring the country's neutrality. During this time, Vienna was also divided into four sectors, with the central district, jointly administered by the Allied Control Council. The Soviet Union's zone included Burgenland, Lower Austria, and the Mühlviertel area of Upper Austria, north of the Danube. While the Soviet Union did attempt to exploit Austria economically, the country was never incorporated into the Soviet sphere of influence, and the Soviets ultimately agreed to withdraw from the country as part of the Austrian State Treaty.

The Soviet Union's economic exploitation of Austria

After World War II, Austria was divided into four occupation zones, jointly occupied by the United Kingdom, the Soviet Union, the United States, and France. The Soviet Union's occupation policies in Austria were largely shaped by the Moscow Declaration of 1943, which stated that Austria was the first victim of Nazi Germany but would also have to pay for its participation in Nazi aggression.

Confiscation of Property and Extraction of Reparations

The Soviet Union interpreted "German external assets" in Austria very broadly, confiscating industrial equipment worth around $500 million in less than a year. Moscow also deployed NKVD (Soviet secret police) teams to seize industrial plants, production installations, and other goods amounting to 31,200 freight cars.

Occupation Costs

Austria was responsible for the costs of maintaining the occupying troops. In 1946, occupation costs were capped at 35% of Austrian state expenditures, equally split between the Soviets and the Western Allies. From 1946 to 1955, Austria paid the Soviet Union 36.8 billion Schillings, or about 2% of its accumulated GDP.

Control of Natural Resources

The Soviet Union controlled 65% of Austrian agricultural output and nearly all of its oil, which complicated the Western Allies' efforts to feed the population in their zones.

USIA Conglomerate

In 1946, the Soviets expropriated hundreds of businesses in their zone and amalgamated them into the USIA, a conglomerate of over 400 enterprises. While the USIA controlled less than 5% of Austrian economic output, it held a substantial or monopolistic share in key industries like glass, steel, oil, and transportation. The USIA's products were primarily shipped to Soviet-controlled areas, and its profits were confiscated by the Soviets.

Food and Supply Shortages

The Soviet Union's occupation and economic policies contributed to food shortages and overall deprivation for the Austrian population. The daily calorie rations for urban Austrians dropped significantly, and the country relied on aid from the Allies, particularly the US, to feed its people.

In summary, the Soviet Union's economic exploitation of Austria involved confiscating assets, imposing occupation costs, controlling natural resources, establishing the USIA conglomerate, and contributing to food shortages, all of which had significant negative impacts on Austria's economy and society in the post-World War II period.

The Austrian State Treaty

The full title of the treaty is "Treaty for the re-establishment of an independent and democratic Austria, signed in Vienna on 15 May 1955". The treaty's basis was the Moscow Declaration of October 30, 1943, which stated that Austria would be regarded as the first victim of Nazi aggression and treated as a liberated and independent country after World War II.

The negotiations for the treaty began in 1947 but were stalled due to tensions during the Cold War and disagreements over German assets and Austrian neutrality. The death of Soviet premier Joseph Stalin in 1953 and the subsequent improvement in relations known as the Khrushchev Thaw helped to advance the negotiations. The final agreement was reached after Austrian promises of perpetual neutrality, and Austria was granted full independence on May 15, 1955, with the last occupation troops departing on October 25, 1955.

The Soviet Union's heavy reparations demands

Austria was divided into four occupation zones after World War II, jointly occupied by the United Kingdom, the Soviet Union, the United States, and France. The Soviet Union's occupation policies in Austria were largely shaped by the Moscow Declaration of 1943, which stated that Austria was the first victim of Nazi Germany but would have to pay the price for its participation in Nazi aggression.

The Soviet Union demanded German assets in Austria as reparations, which, according to historian Günter Bischof, resulted in Austria paying more than five times what Stalin originally demanded. The Soviets deployed NKVD (Soviet secret police) teams to extract these reparations through seizures and confiscations. In June 1946, 30% of Austria's national budget went towards covering the occupation costs. From 1946 to 1955, Austria paid the Soviet Union 36.8 billion Schillings, or two percent of its accumulated GDP.

The Soviet Union also imposed burdensome reparations on Austria, including the dismantling and shipping of industrial equipment to the East, valued at around US$500 million. This contributed to the impoverishment of the Austrian population. In addition, the issue of mass sexual violence and wild looting by Soviet troops during their occupation of Austria was a significant concern for Austrians.

The Soviet Union's military presence in Austria

Following World War II, Austria was jointly occupied by the United Kingdom, the Soviet Union, the United States, and France. This occupation lasted from 1945 to 1955 and saw the division of Austria and its capital, Vienna, into four zones. The Soviet Union's military presence in Austria was characterised by its occupation of one of these zones, which included the capital, and its implementation of Soviet occupation policies.

The Soviet Union's occupation policies in Austria were largely influenced by the 1943 Moscow Declaration, in which the British, Americans, and Soviets acknowledged Austria as the first victim of Nazi Germany, but also held the country accountable for its participation in Nazi aggression. As a result, Austria was treated as a defeated Axis power but avoided some of the harsher consequences that Germany faced. For example, Austria did not lose any territory, and its citizens were not expelled or subjected to ethnic cleansing.

The Soviet Union occupied parts of Austria, including Vienna, with troops from the 3rd and 2nd Ukrainian Fronts. The Red Army suffered significant casualties in Austria, with 26,006 killed and 68,179 wounded. The Soviet occupation was marked by systematic sexual violence against women, looting, and repression of civilians, which damaged the Red Army's reputation. Moscow attempted to address this by issuing orders forbidding violent interrogations and instructing troops to respect Austrian civilians and their property.

To extract reparations, the Soviet Union deployed NKVD (Soviet secret police) teams to seize industrial plants, production installations, and goods. This, along with the burden of feeding and clothing the large number of Soviet troops, imposed a significant economic toll on Austria. From 1946 to 1955, Austria paid the Soviet Union an estimated 36.8 billion Schillings, or approximately two percent of its accumulated GDP during that period.

During the occupation, the Soviet Union exercised control over its zone and influenced Austrian politics. The Soviets supported the appointment of Karl Renner, an Austrian socialist politician, as the provisional prime minister of the first post-Nazi government. They also pressured Austria to appoint a government that included Austrian Communists. However, the Western Allies suspected the establishment of a puppet state and refused to recognise Renner's government.

The Soviet Union pulled out of Austria in 1955, along with the other occupying powers, after Austria promised to remain neutral during the Cold War. The Soviet occupation of Austria had a significant impact on the country, leaving a legacy of political and social upheaval.

The Soviet Union's political influence in Austria

Following World War II, Austria was jointly occupied by the Western Allies and the Soviet Union from 1945 to 1955. The Soviet Union's political influence in Austria was significant during this period, and it played a crucial role in shaping the country's immediate post-war landscape. Here is an overview of the Soviet Union's political influence in Austria during this time:

The Moscow Declaration of 1943

The Moscow Declaration of 1943, agreed upon by the British, Americans, and Soviets, set the tone for Austria's post-war status. The Declaration stated that Austria was the first victim of Nazi Germany but also acknowledged its participation in Nazi aggression. This declaration paved the way for Austria's eventual independence from Germany and its treatment as a defeated Axis power.

Division of Austria into Occupation Zones

Similar to Germany, Austria was divided into four occupation zones, with the Soviet Union controlling the zone bordering future Warsaw Pact states. This division allowed the Soviet Union to exert direct influence over the administration and governance of their assigned zone.

Soviet Influence on the Austrian Government

The Soviet Union played a pivotal role in the formation of the first post-war Austrian government. Initially, Joseph Stalin favoured establishing a cabinet of Austrian communists in exile. However, the Soviet commander Fyodor Tolbukhin's interactions with the Austrian politician Karl Renner led to a change in Stalin's preference, and Renner was instructed to form a provisional government. Renner's cabinet included Austrian Communists in key positions, and the Soviets actively supported the re-establishment of district administrations and the appointment of local mayors.

Soviet Occupation Policies and Repercussions

The Soviet Union's occupation policies had a significant impact on Austria. Moscow demanded and obtained entitlement to German assets in the Soviet occupation zone, resulting in the extraction of reparations and the confiscation of industrial assets. Additionally, the presence of Soviet troops placed a significant burden on the war-ravaged country, as local governments were obliged to feed and clothe the Red Army. The Soviet secret police, the NKVD, were also active in extracting reparations through requisitions and confiscations.

Political Violence and Repression

During the initial months of occupation, the Soviet repressive apparatus acted with relative restraint compared to other countries occupied by the Red Army. However, Soviet military tribunals arrested and prosecuted Austrian civilians for various charges, including membership in the Nazi Werewolf resistance group, espionage, maltreatment of POWs, and war crimes. By 1955, the Soviets had arrested around 2,400 Austrians, with some being executed or receiving lengthy prison sentences.

Sexual Violence, Looting, and Hunger

The conduct of Soviet troops in Austria, particularly regarding sexual violence and looting, remains a dark chapter. Widespread sexual assaults and looting by Soviet soldiers occurred, despite orders from commanders discouraging criminal conduct. This behaviour undermined Soviet rule in their occupation zone and delegitimized their Austrian allies. The food shortages and hunger that defined the end of the war for most Austrians were also exacerbated by the presence of occupation troops.

Austrian Independence and Neutrality

In 1955, the Soviet Union, along with the Western Allies, withdrew from Austria in exchange for promises of Austrian neutrality during the Cold War. The Austrian State Treaty, signed on May 15, 1955, marked the restoration of Austria as a free, independent, and democratic country. The Soviet Union's influence during the occupation years contributed to shaping Austria's post-war trajectory, including its neutrality in the Cold War power struggle.

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